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The Effect of Flexible Work Arrangements on Job Performance among Female Employees in the Banking Industry: The Mediating Role of Psychological Well-Being

Yu Xian Tan (), Ai Na Seow, Siew Yong Lam and Chi Hau Tan
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Yu Xian Tan: Universiti Tunku Abdul Rahman, Jalan Universiti, Faculty of Business and Finance
Ai Na Seow: Universiti Tunku Abdul Rahman, Jalan Universiti, Faculty of Business and Finance
Siew Yong Lam: Universiti Tunku Abdul Rahman, Jalan Universiti, Faculty of Business and Finance
Chi Hau Tan: Multimedia University, Faculty of Management

A chapter in Proceedings of the 12th International Conference on Business, Accounting, Finance and Economics (BAFE 2024), 2025, pp 134-152 from Springer

Abstract: Abstract In the current century, there has been a significant increase in the participation of women in the workforce. Although their contribution to the nation’s progress and economic development is essential, women often face challenges balancing their family duties with their professional responsibilities. This paper aims to examine the effect of flexible work arrangements on job performance, with psychological well-being serving as a mediating factor. Job-Demands Resources (JD-R) model was adopted for the study, and a conceptual framework was developed. There were 170 female employees from the Malaysian banking industry participated in the Google online survey. Partial Least Square Structural Equation Modelling and bootstrapping were used to test the proposed hypotheses. The results showed that female employees with flexible work arrangements reported higher job performance. Flexible work arrangements have a significant and positive effect on psychological well-being and job performance. It also serves as a significant mediator in the relationship between flexible work arrangements and employee job performance. Similarly, psychological well-being also has a significant and positive effect on job performance. The study suggests that organisations, particularly banking institutions, should consider flexible work arrangements to improve employees’ psychological well-being and job performance. This research offers guidance for establishing optimal work environments and influencing future policies within the banking industry.

Keywords: Female Employees; Banking Industry; Flexible Work Arrangements; Work-life Balance; Job Performance (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:spr:advbcp:978-94-6463-666-6_8

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DOI: 10.2991/978-94-6463-666-6_8

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