Fostering employee work engagement and sustainable employment during COVID-19 crisis through HR practices, employee psychological well-being and psychological empowerment

Abstract

Purpose This study aims to investigate employee behavior toward work engagement with an integrative research framework that combines human resource practices, employee psychological empowerment and well-being. Moreover, the moderating effect of transformational leadership is tested between employee engagement at workplace during crisis such as COVID-19 and sustainable employment. Design/methodology/approach This study empirically investigates research framework with 353 responses retrieved from employees working in private sector organizations. The data were collected through structured, closed-ended questionnaires. For inferential analysis, structural equation modeling approach has been used. To test the predictive power of the research framework, blindfolding procedure Q2 is incorporated. Findings Statistical findings indicate that HR compensation, HR training, opportunity enhancing, motivation enhancing, psychological well-being and empowerment have explained substantial variance (R2 = 67.5%) in employee work engagement during crisis. Concerning with sustainable employment, the transformational leadership and work engagement have shown significant variance (R2 = 20.6%) in determining sustainable employment. Moving further psychological empowerment has revealed maximum effect size (f2) to determine employee engagement behavior at work place during pandemic crisis. The blindfolding procedure Q2 has exhibited substantial power to predict employee work engagement and sustainable employment during crisis such as COVID-19 pandemic. Practical implications This study has several contributions to theory and practice. Theoretically, this study develops an integrative research framework with the help of human resource practices and employee psychological factors such as employee well-being and empowerment. Therefore, practically, this research suggests that factors such as opportunity enhancing, transformational leadership and employee psychological empowerment need managerial attention to increase employee engagement at workplace and sustainable employment during pandemic crisis. Social implications With the growing concerns of layoff during pandemic crisis, employees have shown lack of interest at workplace because of psychological fears. Nevertheless, this study has established that policymakers could enhance employee engagement at workplace and sustainable employment during crisis by redesigning HR practices and improving employee psychological well-being and empowerment. In addition to that, employee psychological well-being and empowerment are considered healthy factors for human beings and nurture society at large. Originality/value This research is original as it establishes an integrative research framework grounded in HR practices, employee psychological empowerment and employee psychological well-being to investigate employee behavior at work place during crisis such as pandemic. In addition to that, this study has enriched leadership literature by examining the moderating effect of transformational leadership between employee work engagement and sustainable employment.