Employee performance assessment is one of the most important functions of human resources management. It starts immediately after the employees get hired and goes further throughout the employment process. Emotional intelligence is considered to have a greater impact on the performance of nurses and groups as measured against traditional intelligence. Emotionally intelligent nurses in the organization result in better overall organisational performance. But emotional intelligence alone not able to define the changes in employee performance and from the literature it is found that leadership has indirect effect on employee performance but majority of the researchers are not considering leadership indirect affect while preparing employee performance model. In this context present research validates the mediating effect of emotional intelligence on transformational leadership and employee performance.