EFFECT OF JOB INSECURITY ON JOB PERFORMANCE: LOOKING THROUGH THE LENS OF SUBJECTIVE WELL‐BEING

Abstract

Business compe titi on, rapid technological changes, and government reforms or deregula ti ons around the globe have put companies in di ffi cult situa ti ons resul ti ng in the risk of job insecurity, which deteriorates the well ‐ being of the em ‐ ployees, leading to decreased job performance. This research extends the knowledge of the link between job insecurity and job performance by exploring the poten ti al media ti ng mechanism of Subjec ti ve well ‐ being in the food and bever ‐ age industry. Data from 357 employees of the food and beverages industry from two districts in Pakistan were collected through a pretested ques ti onnaire. Structural equa ti on modeling (SEM) was used to test the hypotheses using Smart ‐ PLS so ft ware. Reliability and validity checks were applied to assess the measurements and structural models. The fi nd ‐ ings reveal that job insecurity has a nega ti ve impact on job performance, whereas subjec ti ve well ‐ being has a signi fi cantly posi ti ve in fl uence on job performance. Furthermore, subjec ti ve well ‐ being mediates the nega ti ve rela ‐ ti onship between job insecurity and job performance. Mul ti‐ industry analysis can give more ‐ robust and ‐ generalizable results. In addi ti on to subjec ti ve well ‐ being, other mediators and moderators can be added for this rela ti onship. Man ‐ agers can improve their team performance by reducing on ‐ the ‐ job insecurity and improving the working condi ti on and personal care of employees