Impact of Job Stress on Job Performance and Innovative Work Behavior in the Construction Industry of Pakistan: Role of Psychological Capital (PsyCap) as a Mediator

Abstract

The current research explores the relationship between job stress, job performance and innovative work behaviour, as mediated by psychological capital (PsyCap), in the construction sector in Pakistan. More specifically, it investigates as to whether PsyCap indeed helps to mediate the interaction between job stress and job performance. For this purpose, cross-sectional survey research design was adopted and questionnaires were administered on one hundred (100) construction workers. The results revealed that high levels of PsyCap have a positive relationship with job performance and innovative work behaviour, as well as a negative relationship with job stress. The study also examined how PsyCap mediates the negative impact of job stress, as well as the need to reduce it and improve employees’ productivity and creativity in stressful areas. The findings enhance the knowledge base of PsyCap as an organizational asset that may effectively minimize the effects of job stress and provide suggestions to enhance the management of employees’ outcomes. In light of these findings, organizations in the construction sector should promote PsyCap to boost the performance and resistance of workers to stress in the demanding environment that characterizes the industry.