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The Moderation Effect of Job Tenure on Psychological Empowerment and Employee Performance in Malaysia Public Sector



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International Journal of Academic Research in Business and Social Sciences
Vol. 11, No. 4, 2021, E-ISSN: 2222-6990 © 2021 HRMARS
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The Moderation Effect of Job Tenure on Psychological
Empowerment and Employee Performance in Malaysia
Public Sector
Aminah Ahmad, Sylvia Nabila Azwa Ambad, Syed Jamal Abdul Nasir Syed
Mohd, Nelson Lajuni
To Link this Article: DOI:10.6007/IJARBSS/v11-i4/9733
Received: 08 February 2021, Revised: 10 March 2021, Accepted: 30 March 2021
Published Online: 21 April 2021
In-Text Citation: (Ahmad et al., 2021)
To Cite this Article: Ahmad, A., Ambad, S. N. A., Mohd, S. J. A. N. S., & Lajuni, N. (2021). The Moderation Effect
of Job Tenure on Psychological Empowerment and Employee Performance in Malaysia Public Sector.
International Journal of Academic Research in Business and Social Sciences, 11(4), 780796.
Copyright: © 2021 The Author(s)
Published by Human Resource Management Academic Research Society (
This article is published under the Creative Commons Attribution (CC BY 4.0) license. Anyone may reproduce, distribute,
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Vol. 11, No. 4, 2021, Pg. 780 - 796
International Journal of Academic Research in Business and Social Sciences
Vol. 11, No. 4, 2021, E-ISSN: 2222-6990 © 2021 HRMARS
The Moderation Effect of Job Tenure on
Psychological Empowerment and Employee
Performance in Malaysia Public Sector
Aminah Ahmad1, Sylvia Nabila Azwa Ambad2, Syed Jamal
Abdul Nasir Syed Mohd3, Nelson Lajuni4
1Arshad Ayub Graduate Business School, Universiti Teknologi Mara, Campus Sabah, Kota
Kinabalu, Malaysia, 2Faculty of Business Management, Universiti Teknologi MARA (UiTM)
Sabah Branch, 88997, 3Arshad Ayub Graduate Business School, Universiti Teknologi MARA
(UiTM) Shah Alam, 49450, Selangor, Malaysia, 4Faculty of Business, Economics and
Accountancy, Universiti Malaysia Sabah (UMS), 88400 Kota Kinabalu, Sabah
Email: aaaminah77@gmail.com1,,,
Public employee performance is very critical as it affects the government’s reputation and
performance. Meanwhile, the tenure of service could influence the effect of psychological
empowerment on employee performance. Thus, the objectives of this study are, first, to
investigate the effect psychological empowerment on employee performance, and second,
to examine whether the tenure of service moderates the relationship between psychological
empowerment and employee performance among public service employees in Malaysia. A
total of 286 sets of a questionnaire are collected from the public sector department. Partial
Least Squares-Structural Equation Modeling (PLS-SEM) using SmartPLS 3.3.2 is used to analyze
the data. The findings show that psychological empowerment is positively related to
employees’ performance. Besides, employees’ tenure of service indicates a moderating effect
on the relationship between psychological empowerment and employee performance. The
longer the tenure, the better the employees adapt to their work, leading to the feeling of
empowerment and a higher level of effort, which, in turn, increase employee performance.
The study’s findings contribute to the field of management literature through the
development and empirical test of a causal model of psychological empowerment on
employee performance by considering employees’ tenure of service in the context of
Malaysia public sector
Keywords: Employees’ Tenure of Service, Psychological Empowerment, Employee
Performance, Malaysia Public Service Sector.
Employee performance is the management top priority, including the government sector in
this globalisation era with the fast and dynamic economic and political landscape. Efficient
and successful organisations are strongly influenced by superb employee performance; thus,
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its importance (Abu-jarad et al., 2010; Alexendra et al., 2019). Likewise, Sugianingrat et al.
(2019) asserted the critical role of employee performance in the effectiveness of an
organisation in attaining its strategic objectives. Accordingly, Dizgah et al. (2013) concluded
that employee performance is a significant issue in many organisations.
One factor that can improve employee performance is by empowering the employee.
Specifically, in the public service sector, empowerment is deemed a logical plan of action for
developing an excellent service; empowerment allows the employees to work more
effectively. For many years, empowerment has been practised in Malaysia. The federal
government has distributed circulars since the 1990s about empowerment exercise within
government departments to ensure excellence and quality outcomes (Malaysian
Administrative Modernisation and Management Planning Unit, 2009). However, studies on
empowerment in Malaysia has been scarce. Empowerment studies in Malaysia only began in
2000, despite being practised since the 1990s (Abd Ghani et al., 2009). A decade gap between
the actual practice and empirical studies suggests that academics did not give the topic due
attention. Early studies mostly focused on structural empowerment (management practices
of authority delegation and sharing of resources). Later studies paid attention to psychological
empowerment, focusing on the individual empowerment experience in the workplace.
Past studies found positive effects of psychological empowerment on employee performance.
If the company empowers enough employees, they will eventually realise the importance of
their work and decide on improving their performance (Burke, 2015; De & Beuren, 2018,
Kundu & Kumar, 2017, Kim & Jang, 2017). Although many studies have proven the significant
effect of psychological empowerment on performance, research from Durrah et al. (2014)
suggests otherwise. They studied bank employees in Jordan to determine how psychological
empowerment dimensions affect performance effectiveness. The result indicates that the
psychological empowerment dimensions of competence and impact, show a significant
effect, while the other two dimensions, meaning and choice, have no significant effect.
Alongside the organisational factor, the population demographic features could potentially
impact the perceived empowerment level. Tenure is the demographic factor commonly cited
as influencing employee performance (Nonaka, 1994; Tesluk & Jacobs, 1998). Empirical
research examining the relationship between empowerment and tenure have uncovered
some rather interesting results. Thus, with the research gap above, this study’s objectives are
to investigate the effect of psychological empowerment on employee performance,
moderated by the tenure of service among public service employees in Malaysia.
Literature Review
Employee Performance
Employee performance refers to tasks and activities performed efficiently and effectively by
individuals (Saleem et al., 2018; Motowildo, 2003; Opatha, 2015). Meanwhile, employee
behaviour is associated with organisational goals (Campbell, 1993). It is considered by
financial and operational performance (Sarwar and Muhammad, 2020). How tasks and
responsibilities are accomplished, and problems encountered at work by individuals are
indicated by performance (Rothmann & Coetzer, 2003). Essentially, employee performance
refers to effective and efficient actions performed by employees to accomplish organisational
objectives. According to Organ (1988), employee performance consists of two parts:
contextual performance and task performance. Contextual performance is individual efforts
unrelated to their jobs and functions, but in the long run, there are crucial to the organisation
effectiveness (Borman & Motowidlo, 1993; Motowidlo & Schmit, 1999; Motowidlo & Van
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Scotter, 1994). Task performance is the total expected value on an employee’s task-related
proficiency or tasks fulfilment as obligatory by the official job description (Motowidlo, 2003).
Studies have identified employee performance as critical to organisations’ competitive
advantage and higher productivity. The private sector is more related to competitive
advantage; however, the public sector could also be included because its ultimate goal is
serving the public. Vermeeren et al. (2014) revealed that public organisations could use work
performance to enhance their delivery of service. Thus, public organisations have
acknowledged its importance and paid more attention to work performance, particularly in
improving the delivery of service and formulating policies (Leeuw,1996). Furthermore, the
performance of the public sector employees reflects the public organisations’ general
performance. Consequently, the work performance of the employees is vital to government
services; and employees’ high work performance is a challenge to the management in its
attempts to provide outstanding services to the public.
Psychological empowerment
Researchers have been examining psychological empowerment relationship with job
performance since the term was coined, as ultimately, the purpose of studying psychological
empowerment is to enhance job performance. Psychological empowerment refers to
augmented elemental task motivation that reflects individuals’ orientation regarding their
work role through four cognitions: competence, meaning, self-determination and impact
(Spreitzer, 1995, p. 1443; Seibert et al., 2011).
Shapira and Tsemach (2014) suggested competence as employees’ capability of performing a
given task. Competence refers to knowledge and skills required by employees to carry out
tasks assigned to them in an organisation (Fulford & Enz, 1995; Rönnmar, 2004; Baumgarth &
Schmidt, 2010; Werner & Weckenmann, 2012; Sandhya & Sulphey, 2020). With competence,
employees’ will feel confident performing their assignment (Reichard et al., 2015). Given the
evidence, it appears that competence is a factor that leads to employees’ successful
performance of their duties.
According to Spreitzer (1995), meaning refers to ensuring something is done to achieve the
best possible level. However, it is still necessary to comply with the scope of the assignment.
Arogundade and Arogundade (2015) stated that if the task is interesting and fulfils the skills
one’s have one would do a better job. Meanwhile, Wiens et al. (2014) mentioned that
meaning refers to one’s assessment of a work that conforms one’s values, standards and
Next, self-determination is the third dimension of psychological empowerment by Spreitzer
(1995). Self-determination is a feeling that leads to action on something (Spritzer et al., 1999;
Gagné & Deci, 2005). Fong et al. (2015) and Spreitzer (1995) believed that self-determination
is when an employee is self-sufficient and self-employed. This can be seen in the way workers
deal with problems that arise. Similarly, Wang and Liu (2015) suggested that self-
determination is workers’ efficiency in carrying out tasks in their organisation.
The fourth and last dimension is impact. This dimension will show the highest level an
employee can achieve in an organisation (Knol & Linge, 2008). This can be seen when the
employee can give thoughtful insights to ensure the organisation success (Erdogan et al.,
2018). Arogundade and Arogundade (2015) stated that impact is the stage whereby the
employee demonstrates sincerity by setting out strategies to ensure their organisation can
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compete. Numerous studies have found that impact is an important factor in the workforce
that will ensure employees are always motivated in doing their job.
There have been many studies examining psychological empowerment effect on job
performance (Arsalan & Zaman, 2014; Degago, 2014; Indradevi, 2011; Meyerson &
Dewettinck, 2012; Nawaz et al., 2014; ÖLÇER, 2015; Sun, 2016; Tuuli & Rowlinson, 2009;
Yilmaz, 2015). The only empirical study exploring the relationship between empowerment
and public sector performance was conducted by Lee et al. (2006). Their study was based on
the federal survey. Their result revealed empowerment positive but poor association with
employees’ perception of organisational effectiveness, compared with a more hierarchical
and mechanistic approach to management offers several benefits in the way of improved
Previous research states that psychological empowerment has a positive effect on employee
performance. If a company is empowering enough employees, then they will realise the
importance of the work and decide what to do to improve performance (De & Beuren, 2018).
Kundu and Kumar (2017) conducted a study on 208 employees and found a positive effect of
psychological empowerment on employee performance. When given autonomy, employees
can work more effectively because they feel they have the freedom to map their duties, make
decisions according to time and situation and find out every way possible to achieve their
work goals (Akhtar & Malik, 2015). The positive effect of employee empowerment on
performance must be an important note for managers because empowered employees have
better motivation and performance compared to employees who do not feel empowered
(Kim & Jang, 2017). Contrarily, and the poorer employees performed, the lower level their
performance is, and lesser the customers’ satisfaction will be.
Thus, based on the above reasoning and past empirical evidence, the present study
hypothesises the following:
H1: Psychological Empowerment positively influences Employees’ Performance.
Job Tenure as Moderator
The measure of the length of years an employee has been employed is known as job tenure.
The longer their tenure with an organisation, the higher level of performance they display
(McDaniel, Schmidt, & Hunter, 1988). One likely reason is that employees with longer tenure
become more familiar with their job roles, and they would have attained a higher level career
than newer employees. Hence, their better performance (Ng & Sorensen, 2008). In a similar
note, Suliman (2002) concluded that employees that have been in a job longer perform better
compared to employees with shorter tenured. Also, the former might have climbed to better
positions, or they enjoyed working with their organisations. Accordingly, it shows that with
the experience gained throughout their job tenure, employee performance improved.
Past studies also revealed that employers could expect better performance from employees
with long job tenure, whereby they more reliable than newer employees (2004). Schmidt,
Hunter and Outerbridge (1986) and Shaffril and Uli (2010) found that with experience, the
performance of employees improved. Ng and Sorensen (2008) observed that longer-tenured
employees were more well-versed with their job function and might have attained a higher
level of career compared to newer employees; thus, they performed better on their job.
Ruggai and Agih (2008) also noted a significant positive relationship between experience and
work performance. Furthermore, employees with more work experience tend to get a better
salary and more opportunities for self-development, leading to better work performance
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Another important factor influencing employee performance is the demographic variable.
Sturman (2003) suggested that through job tenure employees gained organisational
knowledge, which positively affects employees’ job performance. Studies’ findings also
indicate that acquiring more tenure-related resources is easier for longer-tenured employees
(Ng & Feldman, 2010; Sturman, 2003). Nevertheless, a number of research indicate
performance is not necessarily improved with longer tenure. For instance, Lee and Low (2008)
found that poor performance is also observed among longer-tenured employees; as the age
increased, they were feeling less motivated; whereas younger employees were excited,
enthusiastic, and dynamic in their jobs. Hence, the following hypothesis:
H2: Psychological Empowerment positively influences Employees’ Performance moderated
by Tenure of Service.
Methodology and Data Analysis
In order to ensure respondents of this study truly represent the population, this study uses a
quantitative approach by choosing non-probability sampling techniques, or more precisely,
the purposive sampling technique on support groups in the public sector in Malaysia.
Different measures were used to measure the variables. For the measuring of employee
performance, the model by William and Anderson (1991) was applied, which consists of 12
items. Spreitzer’s (1995) model with 12 items was applied for the measuring of psychological
empowerment. In total, this study has 24 items. The present study uses a 7-point Likert scale
ranging from “strongly disagree” (1) to “strongly agree” (7) to examine both the exogenous
and endogenous variables, including the moderator. To estimate the sample size, we use
G*power 3.0 software (Faul et al., 2007) by applying the effect size of f2 0.15, α error pro
0.05, and power Gf 0.95 with one tested predictor. Thus, we need 89 respondents as the
minimum sample of this study. However, we distributed 300 questionnaires and collected 286
completed questionnaires that could be analysed. Figure 1 illustrates the research framework
containing three variables under investigation. The SmartPLS 3.3.2 (Ringle et al., 2020) was
used to analyse the data and to assess the research hypotheses.
Majority of the respondents were males (53.8%), while the remaining were females (46.2%).
Most of the respondents were in the age between 21 and 35 years (44.4%), followed by 36 to
45 years (35.3), 46 to 55 years (13.6), 55 years and above (5.6%), and 18 to 20 years (1%). Two
groups participated in this study; the first group consists of the supporting group grade 29
40 (70.3%), while the second group comprises the supporting group grade 1928 (29.7%).
Most of the respondents (29.4%) have between 11 and 20 years of experience in their
respective positions, followed by those with 1 to 5 years of experience (21.7%), more than 20
years of experience (21.0%), and 6 to 10 years (19.6%). Meanwhile, only 8.4% of the
respondents have less than one year of experience. Public Works Department workers were
the main participants, which accounted for 28.7%, followed by Water Department workers
13.6%, Agriculture Department workers 12.9%, and the rest with less than 10% participation.
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Table 1: Respondent Profile
Assessment of Measurement Model
Firstly, we examine the construct reliability (CR) and convergent validity testing, as
demonstrated in Table 2. The findings reveal that the variables investigated have high internal
consistency (Roldán & Sánchez-Franco, 2012) and an acceptable average variance extracted
(AVE) to validate the convergent validity (Hair et al., 2017). Nearly every indicator shows
satisfactory loadings’ values that are consistent with the threshold value of 0.708, as
suggested by Hair et al. (2017). In order to avoid AVE violates the minimum value of 0.500,
seven indicators (EP7, EP9, EP10 EP12, PE8, PE9, and PE10) were deleted (Hair et al., 2017).
This implies that the average variance extracted (AVE) for each construct was more than 0.5.
Thus, we conclude that both constructs have satisfactory convergent validity as the indicators
could explain more than 50% of the constructs’ variance. The Cronbach’s Alpha (CA) and
Composite Reliability (CR) values for both constructs have high internal consistency; whereby,
the values of Psychological Empowerment (PE) were 0.877 (CA), and 0.900 (CR) and the values
of Employees’ Performance (EP) were 0.869 (CA) and 0.896 (CR), respectively.
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Table 2: Measurement Model Assessment
Figure 2: Measurement Model Assessment
To examine the discriminant validity, we evaluate the HTMT criterion as presented in Table 3
(Ringle et al., 2020). The current study applies Henseler’s (2015) heterotrait-monotrait ratio
of correlations criterion, and the results indicate that the discriminant validity was well-
specified at HTMT0.85 (Diamantopoulos & Siguaw, 2006). Thus, the issue of discriminant
validity is not a concern, as the results suggest that the correlation values are corresponding
to the respective constructs, which follow the most conservative criterion (HTMT.85).
Therefore, it is the structural model assessment can be performed to scrutinise the study’s
hypotheses as there is no issue of multicollinearity between items loaded on different
constructs in the outer model.
EP EP1 0.699 0.869 0.896 0.521 Yes
EP11 0.711
EP2 0.754
EP3 0.654
EP4 0.832
EP5 0.659
EP6 0.760
EP8 0.686
PE PE1 0.653 0.877 0.900 0.502 Yes
PE11 0.642
PE12 0.653
PE2 0.697
PE3 0.729
PE4 0.755
PE5 0.783
PE6 0.812
PE7 0.628
*EP7, EP9, EP10, EP12, PE8, PE9, PE10, items were deleted as loading Composite Reliability
< .708 (Hair et al., 2017)
(Ave > 0.5)
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Table 3: HTMT Criterion
B. Assessment of Structural Model
Next, the study conducted the structural model assessment by doing a 5000-bootstrap
resampling of data to examine the hypotheses (Hair et al., 2017). As shown in Table 4 and
Figure 3, the Beta value for the path coefficient H1 indicates that Psychological Empowerment
positively influences Employees’ Performance. Explicitly, the study found support for H1
(Psychological Empowerment → Employees’ Performance (β = 0.625, p < 0.000, LLCI = 0.540,
ULCI = 0.681).
Table 4: Path Coefficients
Figure 3: Structural Model Assessment
Table 5 displays the model quality assessment. This study evaluated the effect size (f2), the
coefficient of determination (R2), and the predictive relevance (Q2) of exogenous variables on
the study’s endogenous variable. Psychological empowerment reveals a substantial effect
size f2 on the Employees’ Performance (Cohen, 1988), as shown by f2=0.642. Hence, implying
that psychological empowerment is a significant construct to influence Employees’
Performance. The determination coefficient is represented by R2 that explains whether
psychological empowerment could divulge employees’ performance specifies a substantial
effect (Chin, 1998). The R2 value for employee performance was 0.391, signifying that
psychological empowerment explains employees’ performance substantially.
PE 0.657
Criteria: Discriminant validity is established at HTMT0.85
(Diamantopoulos & Siguaw, 2006)
Direct Effect Beta S.E. t-value p-value LLCI ULCI Decision
H1: PE -> EP 0.625 0.041 15.076 0.000 0.540 0.681 Supported
Path Coefficient 0.01, 0.05 (Hair et al. 2017)
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Multicollinearity between indicators was measured as well. The indicators satisfied the VIF
value, and there were constantly below the threshold value of 5.0 (Hair et al., 2014) and 3.3
(Diamantopoulos & Siguaw, 2006). Thus, conclusively, the collinearity issues did not exceed
the critical levels for both variables; therefore, they are not an issue for the PLS path model
estimation. The predictive relevance values for the dependent variable are moderate, as
specified by the value of 0.192, indicating that psychological empowerment is considered
powerful at predicting employees’ performance among public servants in the public sector in
Malaysia, as presented by Q2 using the blindfolding procedure (Hair et al., 2017).
Table 5: Model Quality Assessment
C. Assessment of Moderation Effect of Tenure of Service
Table 6 shows the result of the moderating effect of tenure of service evaluation. The result
of the interaction effect, as can be seen, indicated that Tenure of service*Psychological
Empowerment (β=0.092, t-value=1-670) suggesting that the moderating effect of tenure of
service towards psychological empowerment and employees’ performance relationship is
indeed supported. The moderation effect assessment is demonstrated graphically in Figure 4.
Table 6: Moderation Assessment
Direct Effect
f2R2VIF Q2
H1: PE -> EP 0.642 0.391 1.000 0.192
VIF 3.3 or higher (Diamantopoulos & Siguaw, 2006)
R2 ≥ 0.26 consider Substantial (Cohen, 1989)
F2 ≥ 0.26 consider Substantial (Cohen, 1989)
Q2 > 0.00 consider large (Hair, 2017)
0.15 ≤ Q² < 0.35: moderate predictive power
Q² ≥ 0.35: strong predictive power
0.02 ≤ Q² < 0.15: weak predictive power
Moderating Effect Beta S.E. t-value p-value LLCI ULCI Decision
H2: Tenure*PE -> EP 0.092 0.055 1.670 0.047 0.007 0.190 Supported
Path Coefficient 0.01, 0.05 (Hair et al. 2017)
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Figure 4: Moderation Effect Assessment
The study first objective is to determine the relationship between psychological
empowerment (competence, impact, meaning, and self-determination) and employees’
performance in Malaysia public sector. The findings of the hypotheses testing indicated a
significant positive relationship between psychological empowerment and employee
performance. The current study supplemented past research on psychological empowerment
by concentrating on empowerment and how it affects performance among employees in the
public sector (Lee et al., 2006). The study’s result is consistent with several empirical studies
that found a direct and positive impact of psychological empowerment on employee
performance (Kemal, 2010; Kok 2011; Aryee et al., 2012; Avery et al., 2013; Dust et al., 2014;
Maynard et al.,2014, Sandhya & Sulphe, 2020). In short, psychological empowerment benefits
employees, leading to employees’ good work performance and taking responsibility for their
Specifically, in the context of the public service sector, empowerment is deemed an
effective approach to developing excellent service, because through empowerment,
employees are given opportunities and support to work more effectively. Besides,
empowered is also viewed as a strategy for refining public service quality and releasing the
creative talents among employees of the public sector. For instance, empowered employees
possessed a strong sense of self-determination, and they actively anticipate customer needs,
solve arising issues effectively and timely; they generally performed exceptionally.
Empowered employees also offer a higher quality of service and perform their job with pride.
In addition, it is an excellent way to promote a solid and lasting employee-customer
relationship. This is affirmed by the government Chief Secretary, asserting that the public
delivery system has significantly improved since empowerment was practised; the public
sector employees were more approachable and faster in handling public requests (Hassan,
2007). Remarkably, according to the Chief Secretary, such improvement has placed the
government sector at the same or above the private sector standard.
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The study also reveals tenure of service as a moderator in the relationship between
psychological empowerment and employees’ performance; whereby the result shows a
positive and significant relationship. The result suggests that the presence of tenure of service
lead to the relationship between psychological empowerment and employees’ performance.
Based on the outcomes from the two hypotheses, it is safe to conclude that employees with
higher psychological empowerment tend to displays higher employee performance. The
conclusion supports the finding by Spreitzer (1995) that psychologically empowered
employees tend to be considered effective since they could execute their job responsibilities
proactively. Likewise, longer-tenured employees demonstrate better performance, due to
their loyalty and commitment and because they are more familiar with their workplace and
employers. Meanwhile, tenure in public sector service translates to better job stability. A
longer length of service would typically render employee to be experienced and more
empowered than those newer in the service; thus, they should have a better grasp of
empowerment, including its process and meaning. In some ways, this could affect the
employees’ sense of organisational attachment to the public service sector. The strong sense
of attachment toward the public sector might also be contributed by numerous benefits
provided for employees of the public sector. Some of the attractive benefits included monthly
pensions and lifetime medical care in government hospitals, among others (Public Service
Department of Malaysia, 2010). The private sector does not provide such benefits. Notably,
past studies have validated the relationships among these factors, and it was also found that
the length of service augments empowerment (or the empowered feeling) (Hancer & George,
2003; Koberg et al., 1999; Özaralli, 2003).
Limitation of Study
As with other research, despite the study’s contributions to the body of knowledge, it is not
without limitations. Firstly, the study employed employees attached to the Sabah State Public
Service Department as its sample; thus, the findings might not be generalised to other
organisations in other sectors. Secondly, the sample taken was from one region in Sabah,
namely the state capital of Kota Kinabalu; this study did not consider other regions within
Malaysia. Finally, cultural limitation might be present in the current study considering the
study was performed in the Sabah cultural context; hence, limiting the findings to a specific
culture and working environment.
Suggestions for Future Research
Based on the study’s limitations, future research should give due consideration to certain
issues. The focus of the current study was on non-managerial employees working at the public
services sector. Therefore, future research might include the management and professional
level, to obtain a more holistic picture of the potential gap among public service employees,
especially in the public service sector. This type of research is necessary because different
public service organisations have different and unique organisational cultures, which directly
translated into the way employees behave. Often, culture is seen as a critical factor
influencing how people experience empowerment (Gill, Fitzgerald, Bhutani, Mand & Sharma,
2010; Holden, 1999; Robert et al., 2000; Spreitzer, 2008). An emerging belief suggested that
some nations’ cultural values might be more congruent with empowerment compared to
other nations (Hui, Au, & Fock, 2004; Spreitzer, 2008). Besides, due to the recent pandemic,
future research might consider exploring the risk management situation related to
psychological empowerment on the performance of public service employees due to the
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external forces in predicting the new norms of the public sector.
In recent years, the public sector has experienced many transformations that have
altered the connotation of “privatising” and rendering them more effective and efficient from
a market-like standpoint. Employees are usually described as self-motivated and committed
individuals who feel responsible for performing at a high level of effort. Typically, empowered
employees demonstrate resourcefulness and perseverance, improved efforts and intrinsically
motivated by their tasks (Seibert et al., 2011), leading to increased performance at work. The
empowered feeling guides their behaviours and improves their performance. The impact
dimension influences employee’s performance most substantially, followed by competence,
meaning, and self-determination. The study’s results show the direct effects of
empowerment on employee performance of public services in Sabah. In addition, the
moderator role of job tenure is significant, in which tenure is considered job security; a
permanent status in the public sector or public service employment is guaranteed after a 3-
year probationary period, which is automatically applied. Besides, longer service employees
have adapted to their work environment and greatly learned through experience; hence,
generating a sense of empowerment. Furthermore, they have another advantage, in terms of
competencies developed throughout their length of service and years of experience.
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... Knowledge worker performance is referring to how good an employee is in performing and accomplishing his/her tasks and activities in an organization based on knowledge and skills he/she has [18,[22][23][24]. Performance depends on the capability of an individual in handling problems and managing task to achieve organization's objectives [25,26]. ...
... There are two dimensions in Knowledge Worker Performance which are task performance and contextual performance [25][26][27]. Task performance or in-role performance is referring to the employee's task-related ability and efficiency as described in their official job description and directly influences the organization's goal [25,26]. ...
... There are two dimensions in Knowledge Worker Performance which are task performance and contextual performance [25][26][27]. Task performance or in-role performance is referring to the employee's task-related ability and efficiency as described in their official job description and directly influences the organization's goal [25,26]. ...
... Nurses' psychological empowerment is considered a logical measure for establishing a highquality service; psychological empowerment permits nurses to perform their duties more efficiently (Ahmad et al., 2021). This study posits that humble nurse leaders, with their focusing on spotlighting staff nurses' contributions and strengths and on admitting their own mistakes and limitations (Owens et al., 2013), provide nurses with increased psychological empowerment to be proactive. ...
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Aim: This study was designed to determine the effect of humble leadership on nurses' proactive behaviors at work through psychological empowerment. Background: Nurse leaders' humility has a profound effect on enhancing nurses' proactive work behavior; yet, the mechanism underlying this pattern of effect remains unknown. Methods: A descriptive cross-sectional study was conducted in all nine Universal Health Insurance hospitals in Port Said, Egypt. Using scales for assessing leader humility, sychological empowerment, and proactive behavior at work, 316 nurses were surveyed. Regression analyses and structural equation models were used to examine the study hypothetical model. Results: The results revealed that humble leadership, psychological empowerment, and proactive work behavior were significantly positively correlated. Psychological empowerment fully mediated the relationship between humble leadership and proactive work behavior. Conclusion: This study emphasized the value of humble leadership in psychologically empowering nurses, which results in greater proactive work behavior. Implication for nursing management: Nurse managers should lead their nursing staff with humility, which could increase the level of nurses' psychological empowerment and proactive behaviors at work, which will be reflected positively on the staffs and the organization.
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Employee empowerment programs have been widely adopted in the public sector as well as private sectors as a way to improve employee performance. Empowered employees improve performance largely by finding innovative ways of correcting errors in production and service delivery and redesigning work processes. This study explores how psychological empowerment influences employee's performance in small and medium scale enterprises. The objectives of the study is to present the correlation and impacts or influence of dimensions of psychological empowerment on employee performance. The study is descriptive type of research which is basically employed survey method. For the purpose of this study both qualitative and quantitative research approach were used. The respondents were stratified based on the activities they are engaged, then Simple random sampling design was used to collect data that were used to assess the four dimensions of psychological empowerment variables. Using a sample of 125 employed individuals of which 102 collected, a 12 item 5point likert scale of psychological empowerment measurement was developed with subscale reliabilities as follows: meaning (0.861), competence (0.754), self-determination (0.868) and impact (0.885). Similarly an 11 item 5 point likert scale with reliability test of Cronbatch Alpha 0.911 was used to measure performance. Primary data is the main source of data and the data were obtained by using questionnaire. To analyze the data inferential statistics were applied to gain an insight about the correlation between the variables and the influences that each variable have on dependent variable with the help of statistical package for social science (SPSS) version 20 software. The outcome from the study indicates that employee empowerment is essential in this era of globalization to enable the organization to respond quickly to any changes in the environment and take the advantage of employee performance. Respect and helping employees in their personal problems, nurturing their competency, letting them to select choices for meeting their needs, giving training, informing and involving them in decision making and rewarding fairly helps to empower as well as increase their performance.
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This study analyzes the impact of a Performance Measurement System (PMS) with enabling characteristics, mediated by psychological empowerment, on task performance and job satisfaction in a Shared Services Center (SSC). The literature on management controls has sought to identify elements that are capable of improving performance, and the enabling controls associated with psychological empowerment may bring new clues to this discussion. Given the ability of the context to affect individuals’ perceptions, it is important to understand the impacts of controls on satisfaction, which can lead to practices that are more aligned with their expectations and favorable results for the organization. The results of the study indicate that the characteristics of a PMS affect the motivation of individuals, so that implementing systems with enabling characteristics can contribute to employees’ perceptions regarding their control over and autonomy in their work. In the mechanistic structure of the SSC, the way in which PMSs are shaped can avoid potential adverse results from less organic structures in employees’ perceptions of psychological empowerment. A survey was conducted at a SSC located in southern Brazil, which provides administrative, financial, and accounting services. Eighty-eight of the 125 operational employees participated, corresponding to 70% of the total. The research tool used was based on the assertions of the studies conducted by Mahama and Cheng (2013), Spreitzer (1995), Tarrant and Sabo (2010), and Van Der Hauwaert and Bruggeman (2015). Structural Equation Modeling was used to test the hypotheses. Evidence drawn from the research indicates that the use of an enabling PMS can contribute to the balance needed in companies between levels of formal controls and psychological empowerment to obtain employee job satisfaction and task performance.
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Composite-based structural equation modeling (SEM), and especially partial least squares path modeling (PLS), has gained increasing dissemination in marketing. To fully exploit the potential of these methods, researchers must know about their relative performance and the settings that favor each method’s use. While numerous simulation studies have aimed to evaluate the performance of composite-based SEM methods, practically all of them defined populations using common factor models, thereby assessing the methods on erroneous grounds. This study is the first to offer a com- prehensive assessment of composite-based SEM techniques on the basis of composite model data, considering a broad range of model constellations. Results of a large-scale simu- lation study substantiate that PLS and generalized structured component analysis are consistent estimators when the under- lying population is composite model-based. While both methods outperform sum scores regression in terms of param- eter recovery, PLS achieves slightly greater statistical power.
Purpose The purpose of the study is to explore the influence of psychological empowerment, psychological contract and employee engagement on voluntary turnover intentions of employees in theinformation technology (IT) industry. Design/methodology/approach The study used a cross-sectional, quantitative research design. The analysis for the study is based on a sample of 392 Indian IT professionals. Partial least square–structural equation modelling (PLS-SEM) was used to analyse the data. Findings This study has identified a significant relationship between turnover intentions, employee engagement, psychological contract and psychological empowerment. The findings of the study are that there exists significant positive influence of psychological contract and psychological empowerment on employee engagement. Employee engagement, in turn, has the capability to influence intention to leave the organization. Originality/value There is heightened awareness among industry leaders about the need to retain top performers. However, organizations are found to repeatedly fail in this regard. The study has succeeded in empirically establishing the complex relationship between empowerment, psychological contract, employee engagement and turnover intentions. The findings of the study are significant and have practical implications. It can be put to use by progressive managements in devising strategies to reduce turnover intentions.
Purpose The purpose of this paper is to examine the effect of ethical leadership on employee performance, with the employee engagement and organizational citizenship behavior (OCB) as mediating variables. Design/methodology/approach The design of this study was to ascertain the predictive generalizations truth of the theory. The population in this study was all employees of non-star hotels in Sarbagita area of Bali. Findings First, ethical leadership does not have a significant effect on employee performance, where the increase in leadership value is not able to provide a significant improvement in the performance of non-star hotel employees in the Sarbagita area of Bali. Second, employee engagement is able to mediate ethical leadership in improving employee performance. Third, the OCB will be able to play a role in mediating the influence of ethical leadership on employee performance if it passes the mediating role of employee engagement first. Originality/value The inconsistencies of the previous study results provide evidence and opportunities for this study to review by including mediating variables on ethical leadership and employee performance relationship. The studied variable as a mediating variable is employee engagement. In addition to employee engagement, this study also included the OCB variable as a mediating variable. Several previous studies have identified the influence of ethical leadership, employee engagement and OCB in improving employee performance in separate research models, so there is still a gap for further research.
Purpose The purpose of this paper is to check the effects of empowering leadership on job performance of employees through the mediation of psychological empowerment. Design/methodology/approach Primary data were gathered from 418 Indian banking employees. Statistical techniques like factor analysis, multiple regressions and bootstrapping via PROCESS were used to analyze the data. Findings Initially, the results of multiple regression analysis revealed that empowering leadership behaviors have positive influence on psychological empowerment and job performance of subordinates. Further, bootstrap analysis revealed that the individual dimensions of psychological empowerment serially mediate the effects of empowering leadership behaviors on subordinates’ job performance. Research limitations/implications The study indicates that the empowering leadership style is not applicable to Western culture only, but it is also very effective in high power distance cultures like of India. The major limitation of the study is that the data have been gathered from a single source. This may lead to common method variance. Practical implications In banking context, empowering leadership can improve the performance of employees by means of psychological empowerment. Training should be provided to organizational leaders in banks with special focus on facilitating the empowering behaviors among them. Originality/value The research studies on measuring the effects of empowering leadership on job performance through mediation of psychological empowerment are very limited.
Purpose The purpose of this paper is to investigate a research model of employee empowerment along with its contextual determinants (i.e. leader-member exchange (LMX) and schedule flexibility) and primary consequence (i.e. service performance) for restaurant workers in New Zealand and South Korea. The study further examines a moderating role of national differences derived from the power distance theory for the hypothesized paths between empowerment and its determinants and consequences. Design/methodology/approach This study utilized traditional paper-and-pencil surveys for data collection. A final sample of 303 service employees from restaurants in New Zealand ( n =152) and South Korea ( n =151) was used to test research hypotheses by structural equation modeling using LISREL (version 8.80). Findings The study concludes with two core findings supporting research hypotheses. First, as hypothesized, employees who consider their schedule flexible with high LMX quality with their immediate supervisor are more likely to feel empowered, and empowered workers are more likely to perform well in customer services. Furthermore, the results show that the impact of schedule flexibility and LMX on empowerment and the impact of empowerment on service performance are more salient among South Korean employees than their New Zealand counterpart. Originality/value Based on job characteristics, work adjustment, and social exchange theories, this study develops and tests a research model of employee empowerment including service context-relevant determinants, i.e., schedule flexibility and LMX, as well as a crucial work outcome, i.e., service performance, using two different national samples. The findings of this study contribute to the body of knowledge in understanding the organizational dynamic of employee empowerment in the service industry, suggesting that managers incorporate relevant contextual practices to promote empowerment, which ultimately enhances employees’ service performance. It is also recommended that such practices are carefully implemented, taking into consideration the cultural background of the workforce.
Research in the occupational safety realm has tended to develop and test models aimed at predicting accident involvement in the workplace, with studies treating accident involvement as the starting point and examining its outcomes being more rare. In the current study, we examine the relationship between accident involvement and a series of outcomes drawing upon a learned helplessness theory perspective. Specifically, we predicted that psychological empowerment would moderate the relationship between prior accident involvement and outcomes. We tested our hypotheses on a sample of 392 employees and their 66 supervisors working in an iron and steel manufacturing firm in Southern Turkey, using data collected from employees and their supervisors via four separate surveys. Results suggest that accident involvement was positively related to supervisor rated employee withdrawal, production deviance, and sabotage only when psychological empowerment was low. The results illustrate that workplace accidents have indirect costs in the form of higher withdrawal and maladaptive behaviors, and organizations may inoculate employees against some of these outcomes via higher psychological empowerment. This article is protected by copyright. All rights reserved