This study examined the influence of psychological capital on job search among displaced employees. On the basis of a sample of 179 retrenched professionals, managers, executives, and technicians, we found that psychological capital (self-efficacy, hope, optimism, and resilience) was positively related with displaced employees' level of perceived employability, a coping resource. Perceived employability was positively related with problem-focused and symptom-focused coping strategies. Whereas problem-focused coping was positively related with preparatory and active job search, symptom-focused coping strategy was not. The relationship between psychological capital and preparatory and active job search was mediated by perceived employability and problem-focused coping. Implications of our findings are discussed.

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