The double-edged sword of job insecurity: When and why job insecurity promotes versus inhibits supervisor-rated performance

Research findings on the effects of job insecurity on performance are mixed. Some studies show a negative relationship between job insecurity and performance; while others indicate a positive association, a curvilinear or a null relationship. We suggest that the relation between employees' subjective job insecurity and supervisor-rated performance is more complex than previously assumed. Based on stress appraisal theory, this study investigates when and why job insecurity is associated with supervisor-rated performance via two different pathways. Specifically, we pro-pose that these two mechanisms (i.e., impression management and workplace deviance) are contingent on the dyadic leader-member exchange (LMX) between the subordinate and his/her supervisor. In a three-wave survey using data collected from 314 subordinates and their 69 su-pervisors in China, we found the paradoxical relations between job insecurity and supervisor -rated performance at different levels of LMX. Specifically, on the one hand, job insecurity was positively related to supervisor-rated performance via impression management when LMX was high; on the other hand, job insecurity was negatively related to supervisor-rated performance via workplace deviance when LMX was low. Finally, the theoretical and managerial implications are discussed.

Automated summary

Research findings on the effects of job insecurity on performance are mixed, with some studies indicating a negative relationship, while others show a positive or null association. A study conducted in China suggests that the relationship between subjective job insecurity and supervisor-rated performance is more complex than previously assumed. The study found that the effects of job insecurity on performance are contingent on the quality of leader-member exchange (LMX), with impression management being a positive pathway at high LMX levels, and workplace deviance being a negative pathway at low LMX levels.