The association between job insecurity and innovative work behaviour in organisations

Organisational effectiveness and survival are supposed to be dependent on innovation (Nononka, 1991, Shalley, Zhou & Oldham, 2004). Organisational innovation is achieved by employees who intentionally introduce and apply new ideas, processes, products or procedures, new to their role, group or organisation, aiming to benefit the individual, the group, organisation or wider society, hence performing innovative work behaviours (IWB) (West & Farr, 1989, p.16). Until now, the effect of hindrance stressors on innovative behaviours has been neglected. Several meta-analyses and literature reviews, however, have demonstrated the detrimental impact of hindrance stressors such as job insecurity; the feeling of being threatened by unemployment (Mohr, 2000) on employee behaviour. However, the question if and why job insecurity and IWB are related have not been touched upon. In reply to this gap, this PhD aims to investigate and explain the relationship between job insecurity and innovative work behaviour (IWB). In line with the dominant stream of research on IWB, idea generation and idea implementation were considered as distinctive phases in the innovation process. Hence, our first aim is to explore whether a (negative) relationship exists between job insecurity and both components of IWB. In addition, the second aim of this PhD is to explain this relationship by integrating several theoretical frameworks. We constructed a model in which job insecurity is negatively related to innovative work behaviours trough an unjust social exchange or through experienced strain. Both pathways are operationalised in two ways, as both psychological contract breach and effort reward imbalance are examples of an unjust exchange and both a decrease in information processing and limited cognitive self-direction are manifestations of rigid thinking, caused by experienced strain. ii The theoretical framework was put to an empirical test in three studies. The first study examined the relationship between job insecurity and IWB, as well as the role of psychological contract breach in explaining this relationship. No direct relationship between job insecurity and both phases of IWB was found. However, an indirect relationship between job insecurity and idea generation through psychological contract breach was discovered. Surprisingly, psychological contract breach was positively related to idea generation. The second study further explored the association between job insecurity and idea generation. The results indicated that job insecurity was negatively related to idea generation and that psychological contract breach explained this relationship. The third study investigated whether job insecurity causes strain, which decreases information processing, leading to lower levels of both idea generation and idea implementation. The results were in line with threat rigidity theory. In general, results suggest that the association between job insecurity and IWB may be mediated by psychological contract breach and a decrease in information processing following strain. Therefore, this PhD confirms that job insecurity is negatively associated with behaviours that are crucial for organisational survival and growth. The striking result from study 1 could be attributed to the specific nature of that sample. Future studies should concentrate on further validating the theoretical framework.