Abstract

While Green Human Resource Management (GHRM) is increasingly recognized as a sustainability enabler, limited empirical evidence examines how it operates through dual pathways—employee-centric and organization-centric mechanisms—particularly in knowledge-intensive healthcare settings. This study examines the direct and indirect effects of GHRM practices on organizational sustainability in clinical research organizations (CROs) in India, a sector facing unique environmental compliance pressures due to regulatory scrutiny and ethical standards. Using data from 300 employees across multiple CROs, we employ structural equation modeling to test a parallel mediation model where employee green behavior and environmental performance simultaneously transmit GHRM's influence on sustainability outcomes. Results reveal that GHRM significantly enhances organizational sustainability both directly (β = 0.34, p < 0.001) and indirectly through employee green behavior (β = 0.21, p < 0.01) and environmental performance (β = 0.28, p < 0.001). Notably, environmental performance emerges as a stronger mediator than employee behavior in this regulatory-intensive context, contrasting with findings from less-regulated sectors. We further examine organizational age and regulatory certification status as boundary conditions, finding that GHRM's effectiveness amplifies in newer CROs and those with international certifications. Theoretical contributions include advancing a context-sensitive understanding of GHRM mechanisms and practical insights for HR leaders in regulated industries seeking to align talent management with environmental mandates.