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This study contributes to the research on internal communication by introducing perceived organizational authenticity as the mediating variable between authentic leadership, strategic communication and employee engagement. A model of authentic leadership, symmetrical and transparent communication, perceived authenticity, and employee engagement is proposed and tested in the Chinese context. Derived from surveying 406 participants in China online, the results confirm that perceived authenticity is the mediating variable between authentic leadership and symmetrical and transparent internal communication that in turn, leads to employee engagement. That is, authentic leaders’ engagement in symmetrical and transparent communication positively affects the organizational authenticity as perceived by employees that drives their engagement. Theoretical and practical implications are also discussed.