Probably each of us has experienced, or at least heard of, the practice of using job insecurity as a motivational tool at some point in our careers. A well-known example of this is stack-ranking performance reviews, where bonuses are given to top performers and those at the bottom are let go. While we may not personally like this method of motivation, it would be beneficial to have some data on its effectiveness.
Such data seems to be provided by an interesting meta-analysis conducted by Jiang, Lawrence, and Xu (2022). The authors conclude that although job insecurity has curvilinear relationships with some employee workplace behaviors, such as task performance and organizational citizenship behavior (OCB-organization) (i.e., they first decrease and then increase with increasing job insecurity after reaching a certain inflection point), it is not a good motivational strategy for several reasons:
A plot of the curvilinear relationship between (overall) job insecurity and task performance where the blue line is the fitted curve, whereas the red, straight lines are based on the interrupted regression results from the two-lines test.
All in all, low levels of job insecurity seem to be more beneficial as they are related to higher levels of task performance, OCB-I, OCB-O, creative performance, and safety behavior, as well as lower levels of CWB-O, without unwanted negative impacts on employee attitudes and well-being.
For more interesting details of the study, check the original paper here.
For attribution, please cite this work as
Stehlík (2024, July 1). Ludek's Blog About People Analytics: Does a stick work?. Retrieved from https://blog-about-people-analytics.netlify.app/posts/2024-07-01-job-insecurity-and-behavioral-outcomes/
BibTeX citation
@misc{stehlík2024does, author = {Stehlík, Luděk}, title = {Ludek's Blog About People Analytics: Does a stick work?}, url = {https://blog-about-people-analytics.netlify.app/posts/2024-07-01-job-insecurity-and-behavioral-outcomes/}, year = {2024} }