["Business Ethics, the Environment &Responsibility, EarlyView. ", "\nABSTRACT\nUsing empirical data, this research aims to explore the interplay of sustainability‐driven leadership (green transformational leadership) and its influence on environmental performance. It delves into the connection between green transformational leadership, facilitated through green innovation, and its effects on employee environmental performance. Additionally, it investigates how employees' green behavior moderates this relationship within Ghanaian industries. A multi‐item survey questionnaire was used to collect data from employees and their supervisors working in the manufacturing and service industries in Accra and Kumasi, Ghana. Analysis was conducted on 373 valid responses using SPSS AMOS and PROCESS analysis. The study's results unveiled that green transformational leadership positively influences green innovation, subsequently impacting employee environmental performance within the organization. Moreover, it was discovered that employee green behavior played a moderating role in the connection between green innovation and employee environmental performance. Based on the study's findings, the implications for practitioners are discussed.\n"]