Job Insecurity and Intention to Quit: The Role of Psychological Distress and Resistance to Change in the UAE Hotel Industry

Abstract

Hotel organizations today are in a state of constant change due to high competition, the emergence of pandemics, and cyclical economic crises. Hospitality employees are currently affected by job insecurity. The purpose of this research was to investigate the effect of job insecurity on intention to quit among hospitality workers, integrating the mediating effect of psychological distress and resistance to change and their mutual relationship. A total of 312 surveys were completed in four four- and five-star hotels in the UAE (Dubai and Sharjah). The SmartPLS 4 software was used to test the hypotheses in a mediation model with the bootstrapping method. The results showed that all of the direct links were positive and significant, and mediating relationships were confirmed. This study found that job insecurity predicts intention to quit through psychological distress and resistance to change acting as mediators, and these factors themselves also impact significantly on intention to quit. Resistance to change is impacted significantly by job insecurity and psychological distress, which suggests that a deeper approach to employees’ resistance to change should be taken, especially when conducting performance appraisals in the hotel industry, by searching for its roots and aiming to minimize employees’ intention to quit.

The Effects of Job Insecurity on Turnover Intention of Stars Hotel Employee in DKI Jakarta: Mediating Role of Job Stress

“…According to research conducted by Kim et al (2020) states that job stress can function as a variable that can increase job insecurity. The results of this study are also in line with research conducted by Baquero (2022) which states that work stress has a role in increasing employee job insecurity regarding turnover intention. Job insecurity creates psychological tension and anxiety for employees which can affect their effectiveness in completing their work.…”

“…Based on research conducted by Kim and Kim (2020) states that job stress can function as a variable that can increase job insecurity. The results of this study are also in line with research conducted by Baquero (2022) which states that job stress has a role in increasing employee job insecurity toward turnover intention.…”

“…job loss) will actually occur, which puts them under pressure and has negative impacts on their attitudes and behavior at work, such as plans to quit, a lack of commitment, and a lack of satisfaction (Niesen et al, 2018). Job insecurity occurs in two forms, namely, affective and cognitive job insecurity, including anxiety about possible job loss and possible benefits from job loss, respectively (Baquero, 2022).…”

“…Hospitality such as hotel business is one of the most stressful sectors due to the nature of the job that caused the low job security due to the stability of the business (Baquero, 2022). Stress emerges when an employee cannot control the difficult situations at work and resorts to a reactive mechanism as a survival technique.…”

“…The risk or uncertainty of what might happen with the current job in the future is psychologically vulnerable to the employees. In spite of the contingency plans by hotel industry to survive past the COVID-19, employees will have a sense of job insecurity which will change their attitude toward the company (Baquero, 2022). Stress and insecurity occur when critical resources are under threat or irretrievable or when central resource are out of bounds or unachievable even after a persistent effort (Rangrez et al, 2022).…”