Does job insecurity impact innovation in organisations? Probably not how you expect. | The Oxford Review - OR Briefings

Does job insecurity impact innovation in organisations? Probably not how you expect.

Research Briefing

Keywords: innovation, innovative work behaviours, job insecurity, psychological contract

Innovation is central to any organisation’s survival, development and growth and, in particular, to maintaining a competitive advantage or keeping service level agreements in times of change and volatility. Change is now seen as a constant for organisations. Continual political, economic, social, technological, environmental and legal shifts and changes provide a challenging environment for any business or service that puts innovation and creativity centre stage.

Coupled with continual global financial insecurity since 2008, this continual volatility has meant that many organisations have had to rethink, restructure and reorganise, often to reduce costs, improve efficiencies and, in many cases, reducing headcount.

Previous studies have found that organisational performance tends to deteriorate under such conditions before getting better and that some of this deterioration of performance, in part at least, may well be due to perceptions of job insecurity.

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