Insecurity and turnover as robots take charge: impact of neuroticism and change-related uncertainty

Abstract

Purpose

Data were collected using a survey questionnaire of 379 participants from business process outsourcing (BPO) organizations affected by robotic process automation (RPA). Structural equation modelling and hierarchical regression analysis were used to test the hypothesized relationships between the study variables.

Design/methodology/approach

The purpose of this paper is to develop and test a moderated-mediation model examining the relationships between uncertainty around changes due to RPA, neuroticism and job insecurity, and turnover intentions among BPO employees in India.

Findings

Uncertainty around RPA and neuroticism cause job insecurity among employees resulting in their intent to quit the organization. Further, the impact of job insecurity is influenced by employees' commitment to automation. Outlining the ways in which RPA-driven change impacts employees and organizations, our findings underscore the need for upskilling the affected employees besides developing coping mechanisms as a buffer to the negative impacts of large-scale automation-driven transformation in the industry under study.

Originality/value

Amidst the debate around the impact of RPA in developing countries, our research is the first attempt to systematically examine how RPA has led to concerns around job security leading to turnover intention among employees in the Indian BPO sector. It uniquely highlights the role of personality besides the issue of growing uncertainty due to RPA, requiring the immediate attention of organizations.

Citation

Priyadarshi, P. and Premchandran, R. (2022), "Insecurity and turnover as robots take charge: impact of neuroticism and change-related uncertainty", Personnel Review, Vol. 51 No. 1, pp. 21-39. https://doi.org/10.1108/PR-06-2019-0310