The Impact of Career Plateaus on Job Performance: The Roles of Organizational Justice and Positive Psychological Capital

Abstract

Previous studies suggest that career plateaus have detrimental effects on employees’ satisfaction and performance. Psychological distress generated by career plateaus hinders organizations from achieving the United Nations’ Sustainable Development Goals (UNSDGs) of ‘health and well-being at work’ (SDG-3) and ‘decent work’ (SDG-8). How to mitigate the negative impact of career plateaus becomes the key to enhancing sustainable well-being at work. However, the influencing mechanisms of career plateaus have not been fully discussed, especially regarding employees’ psychological processes. Drawing on the equity theory and the conservation of resource theory, this study examines the influence mechanism of career plateaus on employee job performance via organizational justice, with positive psychological capital moderating the process. Mplus and the Process macro for SPSS are adopted to conduct confirmatory factor analysis and regression analyses. Building on 368 supervisor–employee paired questionnaires with an average of eight employees per supervisor, empirical results indicate that employees who encounter career plateaus reduce their perceived organizational justice to discourage them from performing well in their jobs. Positive psychological capital, however, mitigates the negative effects of career plateaus on perceived organizational justice and the indirect effects of career plateaus on job performance through organizational justice. Theoretically, this study advances our understanding of the influence mechanism of career plateaus on employees’ job performance. Practical implications are also drawn for organizations to alleviate the negative impact of career plateaus to promote sustainable well-being at work.