Impact of employability perception on job satisfaction of new managers in information technology industry: mediating role of initial compensation

Abstract

The study aims to analyse the employability perception of new managers that may enhance their propensity to gain better initial compensation and increased job satisfaction. Moreover, the study investigates whether initial compensation drives these managers to be satisfied in their new jobs. PLS-SEM path analysis technique was used to evaluate a dataset of 250 newly employed managers in the information technology industry. Results indicate that external employability perception towards university brand, course credibility and market demand positively affects initial compensation. However, internal employability perception of self-confidence and self-awareness positively affects job satisfaction. Interestingly, findings suggest that mediation of initial compensation would lead new managers who perceive themselves as worthy in the external job market to experience reduced job satisfaction. The study prompts industry practitioners to capitalise on the managerial psychology of new managers to drive sustainability at a time of speedy technological advancement.