The relationship between job insecurity, job satisfaction, affective organisational commitment and work locus of control

Abstract

The world that is becoming more advanced and complex, induces acute competitiveness and immense challenges for organisations and employees. This, along with the increased demands from current operating economic conditions around the globe oblige organizations to embark on adaptive strategies such as downsizing, restructuring and temporary employment as a mechanism to sustain their continued existence in a hastened transformation era. Although these impetuses affect the content and structure of work directly, they also have indirect inherent effects as they create pressures of uncertainty and feelings ofjob insecurity. It is apparent that job insecurity may negatively affect employees' job satisfaction and affective organisational commitment. It is deemed important to identify the negative impacts of these changes on individual employees and devise change management and coping interventions to empower employees in lowering the stress that they may experience due to transformations within their organisations. Thus, the objectives of this research was to investigate the relationship between job insecurity, job satisfaction, affective organisational commitment and work locus of control and how demographic groups might differ in their experience of job insecurity among employees (N = 286) in a co-operation industry. A cross-sectional survey design was used. The constructs were measured by means of the Job Insecurity Scale (JIS), Minnesota Satisfaction Questionnaire (MSQ), Organisational Commitment Questionnaire (OCQAffective- subscale), Work Locus of Control Scale (WLCS) and a demographic questionnaire. The research method consists of a brief literature review and an empirical study. Confirmatory factor analysis was used to assess the construct validity of the MSQ, OCQAffective, and WLCS. Alpha coefficients were also computed to assess the internal consistency of the scales. Descriptive statistics, Pearson-product moment correlation coefficients, MANOVA, and ANOVA were used to analyse the data. Multiple regression analyses were used to further examine the potential mediating effect of work locus of control in the job insecurity-outcomes relationships. Simple principal component analyses confirmed appropriate factor structures for the JIS. MSQ and OCQ. Although Spector proposed that the WLCS is a unidimensional scale, various previous studies have obtained evidence supporting a two-factor structure. In a similar vein, simple principle component analysis delivered a two-factor structure. All scales used demonstrated an adequate level of internal consistency. Job insecurity indicated a practically significant positive correlation with intrinsic job satisfaction, although the relationship between job insecurity and extrinsic job satisfaction was not statistically significant. A statically significant positive correlation was found between job insecurity and affective organisational commitment. Work locus of control demonstrated a practically significant correlation with job insecurity. Work locus of control demonstrated a practically significant positive correlation with affective organizational commitment, as well as both job satisfaction dimensions. Regression analyses indicated that work locus of control mediates the relationship between job insecurity and intrinsic job satisfaction. Work locus of control was also found to be a mediator of the relationship between job insecurity and affective organisational commitment. It was established that employees with tertiary qualifications such as degrees and postgraduate degrees experienced lower job insecurity as compared to employees with lower qualifications such as Grade 10 to Grade 12. No further significant differences were established in terms of gender, culture, age and tenure in the experience of job insecurity. Conclusions are made, limitations of the current research are discussed and recommendations for the organisation and future research are outlined.