There is an abundance of empirical evidence on the positive effects of employment – and the detrimental effects of unemployment – on individuals’ psychological and physical health and well-being. In this chapter, the authors explore whether and how self-employment or entrepreneurship could be a solution for individuals’ (re)entry to the job market and which (psychological) variables enhance the likelihood of entrepreneurial success. Specifically, the authors first focus on unemployment and its detrimental effects for health and wellbeing, and outline the existing interventions aimed at assisting reemployment and combating the negative consequences of unemployment for individuals’ well-being. Then, the authors will explore entrepreneurship as a potential solution to unemployment and explore the psychological variables that enhance the likelihood of entrepreneurial success. One of the variables the authors highlight as particularly relevant for self-employment is the second-order construct of Psychological Capital (PsyCap; Luthans, Avolio, Avey, & Norman, 2007), as well as its individual components – hope, optimism, efficacy, and resilience. PsyCap is a malleable construct that can be successfully trained, and PsyCap interventions are inherently strength-based and have positive effects on employees’ and entrepreneurs’ performance and wellbeing. Therefore, the authors end the chapter by suggesting that a PsyCap component in existing education and training programs for entrepreneurship is likely to not only increase entrepreneurial intentions and success, but also increases participants’ well-being, self-esteem, and the general confidence they can pick up the reigns and take back control over their (professional) lives.
Massar, K., Nübold, A., Doorn, R.v. and Schelleman-Offermans, K. (2020), "Picking Up the Reigns: The Crucial Role of Psychological Capital in the Transition from Long-Term Unemployment to Entrepreneurship", Perrewé, P.L., Harms, P.D. and Chang, C.-H. (Ed.) Entrepreneurial and Small Business Stressors, Experienced Stress, and Well-Being (Research in Occupational Stress and Well Being, Vol. 18), Emerald Publishing Limited, pp. 147-170. https://doi.org/10.1108/S1479-355520200000018007Download as .RIS
Emerald Publishing Limited
Copyright © 2020 by Emerald Publishing Limited