Perceived vulnerability of job loss and satisfaction with life in the hospitality sector in times of pandemic: a multi-mediational approach

Abstract

Purpose The COVID-19 pandemic has severely impacted business and viability of firms in the hospitality sector. This paper aims to examine the impact of perceived vulnerability of employees in this sector related to job loss and satisfaction with life. Additionally, it tests whether the impact is reduced for an individual possessing high emotional and financial well-being. Design/methodology/approach This study uses cross-sectional data obtained through a survey of 312 hospitality sector employees. Using PLS-SEM, hypothesized relationships between constructs are tested. Findings Perceived vulnerability of job loss negatively impacts satisfaction with life; however, this negative impact gets significantly reduced in the presence of emotional and financial well-being. Research limitations/implications The results provide an impetus to focus on emotional and financial well-being to reduce employees’ vulnerabilities and improve their life satisfaction. In the absence of specific relief programs by the Government and with reduced business activity, employers need to look for innovative ways for ensuring their own sustenance and employee well-being. Originality/value This study is one of the initial works on examining how perceived vulnerability of job loss induced by the pandemic on hospitality sector employees’ impacts their satisfaction with life. It also makes a novel attempt to examine emotional well-being and financial well-being, as mediators in this relationship.