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Investigating the effect of financial precarity on employee engagement and innovative work behaviour: evidence from India

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  • S. Muhammed Nowfal
  • S. Sreejith

Abstract

The sudden outburst of the pandemic, the subsequent economic ramifications and widespread feeling of job insecurity have cast employees across the globe under the shred of financial uncertainty. Employees are experiencing significant financial precarity, which is detrimental to both organisations and employees. In this context, the study explores the mechanism that accounts for the relationship between financial resources and financial worry and also investigates the effect of financial worry on employee engagement and innovative work behaviour. Data were collected from employees working in different organisations in the financial services sector in India, and the sample comprises 254 employees. The study found support for self-esteem as a mediator in the relationship between financial resources and financial worry. Furthermore, the results demonstrate that financial worry negatively affects employee engagement and innovative work behaviour. Financial worry mediates the association between financial resources, employee engagement and innovative work behaviour.

Suggested Citation

  • S. Muhammed Nowfal & S. Sreejith, 2024. "Investigating the effect of financial precarity on employee engagement and innovative work behaviour: evidence from India," International Journal of Indian Culture and Business Management, Inderscience Enterprises Ltd, vol. 32(1), pages 114-132.
    • Handle: RePEc:ids:ijicbm:v:32:y:2024:i:1:p:114-132
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