CEO Sentiment as a Leadership Signal: Introducing CADI and Its Influence on Career Perceptions and Employee Advocacy

Abstract

This study introduces the CEO Approval-Disapproval Index (CADI) as a sentiment-based measure of leadership perception and examines CADI's influence on employees' career growth perceptions and employee advocacy. Grounded in signaling theory, implicit leadership theory and employer branding perspectives CADI functions as a leadership signal and it shapes employees' organizational experiences. Using sentiment analysis on 272,714 employee reviews OLS regression, moderated mediation models (PROCESS) and interaction tests are done to assess CADI's impact on career-related outcomes. Findings confirm that CADI significantly predicts career growth perceptions (β = 0.13, p < .001) and recommendation likelihood (β = 0.31, p < .001). Moreover, organizational culture (β =-0.016, p < .001) and job satisfaction (β =-0.014, p < .001) moderate these relationships. Senior management perceptions mediate CADI's effect (β = 0.15, p < .001). These results highlight the role of CEO approval as a leadership cue that signals organizational stability and career prospects. The study extends leadership measurement frameworks by positioning sentiment-driven indices as superior alternative to traditional CEO ratings which often suffer from self-report biases. The findings highlight the