The purpose of this research is to examine the relationship between job security and organizational commitment. Previous studies state that there may be an inconsistent relationship between job security and organizational commitment. Moreover, this relationship is still unable to obtain the explanation through previous research. By reasoning, psychological contract may specify the relationship between job security and organizational commitment.
Data for this study were obtained by means of questionnaires from any industrial employees. 350 questionnaires were sent out and the valid questionnaires were 324 by deleting incomplete or poor response questionnaires. A hierarchical regression analysis was taken to test 4 hypotheses. Based on the results generated, job security is positively associated with organizational commitment. Job security is positively associated with psychological contract. Psychological contract is positively associated with organizational commitment. The intervening effect of psychological contract is supported. Practical suggestions and future suggestions are also provided.
