This research paper explores the leadership styles and its impact on employee creative behavior and interested to find out whether the psychological empowerment has the mediating effect or not. For this purpose, the data was collected from the 189 employees of non-profitable Organizations working in four cities of Pakistan. The convenience sampling method was used for data collection. The results show that the transformational leadership style has negatively associated with employee’s creativity while the servant leadership style has positively associated with employee creativity. Moreover, another imperative discovery was made that the mediating role of psychological empowerment has significantly revealed between transformational leadership style, Servant leadership style and employee creativity.
Keywords: Transformational Leadership Style, employee’s creativity, non-profitable organizations, psychological empowerment, servant leadership style
