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How to cite: Xu, G., & Xue, M. (2023). Unemployment risk perception and knowledge hiding under the disruption of artificial intelligence
transformation. 6RFLDO%HKDYLRUDQG3HUVRQDOLW\$QLQWHUQDWLRQDOMRXUQDO(2), e12106
Keywords
Using social exchange theory, we proposed a moderated mediation model to artificial intelligence,
explore the relationship between unemployment risk perception and employee unemployment risk
knowledge hiding under the disruption of artificial intelligence transformation. perception, employee
We conducted an empirical analysis of data from 274 respondents who knowledge, knowledge
completed a two-stage survey with an interval of about 2 weeks. The results hiding, psychological
were as follows: First, unemployment risk perception was positively related to contract breach, mindfulness
employee knowledge hiding. Second, psychological contract breach mediated
the relationship between unemployment risk perception and employee
knowledge hiding. Third, mindfulness negatively moderated the relationship
between psychological contract breach and employee knowledge hiding.
Fourth, mindfulness negatively moderated the strength of the mediated
relationship between unemployment risk perception and employee knowledge
hiding via psychological contract breach. The research conclusions can help
companies formulate policies to guide employees to actively share knowledge
in artificial intelligence transformation contexts.
Article Highlights
Unemployment risk perception was found to be positively related to employee knowledge hiding.
Psychological contract breach mediated the relationship between unemployment risk perception and
employee knowledge hiding.
Mindfulness negatively moderated the relationship between psychological contract breach and employee
knowledge hiding.
Mindfulness negatively moderated the strength of the mediated relationship between unemployment risk
perception and employee knowledge hiding via psychological contract breach.
As a general technology, DUWLILFLDO LQWHOOLJHQFH (AI) can infiltrate and be integrated across various industries, thus
promoting industry upgrading and transformation (Zhang & Zhang, 2020). In this context, various organizations are
undergoing AI technological transformation and utilizing AI technology to increase the efficiency of enterprise
management and operation. However, in the process, many jobs will be replaced by AI (Chen & Xu, 2018). Fan and
Tang (2020) reported that 55% of frontline jobs in the manufacturing industry in Guangdong, China, can be easily
replaced by AI. Chen and Xu (2018) found that 76.76% of employed people in China will be impacted by AI in the
next 20 years. This substantial unemployment risk will affect employees’ psychology and behavior.
&255(6321'(1&( Ming Xue, School of Business Administration, Shanghai Lixin University of Accounting and Finance, 2800 Wenxiang Road,
Shanghai, 201620, People’s Republic of China. Email: mingxue1226@163.com
.QRZOHGJH KLGLQJ refers to people’s attempts to hide or conceal knowledge desired by other members of the
organization (Connelly et al., 2012), such as information, ideas, and work experience (Bartol & Srivastava, 2002).
Specifically, knowledge hiding, which encompasses not only a lack of knowledge sharing but also the purposeful
concealment of knowledge demanded by others (Kang, 2016; Xiao & Cooke, 2018), has a significant detrimental
impact on organizations and individuals. For example, it diminishes individual innovation behavior (Černe et al., 2017)
and team creativity (Garg et al., 2022), thus impeding the effectiveness of organizational transformation (Xu & Wang,
2022). Therefore, it is vital to investigate the process of knowledge hiding in AI transformation to mitigate its negative
impact and establish a solid theoretical foundation for enterprises to develop their policies to intervene in knowledge
hiding and then encourage employees to share knowledge.
Scholars have described job insecurity as an important factor affecting the knowledge hiding of employees. For
example, Ali et al. (2021) showed that when employees feel worried and anxious about the influence of certain
organizational factors threatening their job security, they hide their knowledge to compete with colleagues and secure
their jobs. Chhabra and Pandey (2022) observed that during the COVID-19 pandemic, job insecurity triggered
knowledge hiding among employees. The perception of unemployment risk has been found to be positively correlated
with job insecurity (De Witte, 2005). Therefore, we predicted that perceived unemployment risk would be positively
correlated with employees’ knowledge hiding under the disruption of AI. This relationship has not been examined in this
setting in previous research.
In addition, regarding the mediating mechanism between job insecurity and knowledge hiding, some scholars believe
that job insecurity will lead to the depletion of employee resources (Chen & Eyoun, 2021). As knowledge is an
important resource, individuals tend to hide this to maintain an advantage and prevent resource depletion (Chang & Na,
2020; Chhabra & Pandey, 2022; Nguyen et al., 2022). However, according to social exchange theory (Blau, 1964),
when an organization fails to fulfill the commitment of job security, employees will have the perception of
psychological contract breach and then repay the organization with deviant behavior (Costa & Neves, 2017; Ma et al.,
2019). The SV\FKRORJLFDO FRQWUDFW refers to the belief of mutual responsibility between employees and the organization
(Robinson & Morrison, 2000), and SV\FKRORJLFDO FRQWUDFW EUHDFK means that employees think they are experiencing
unfair investment and return (Costa & Neves, 2017). For organizations, knowledge hiding is a deviant behavior
(Serenko & Bontis, 2016). Therefore, on the basis of social exchange theory, we predicted that psychological contract
breach would mediate the relationship between the perception of unemployment risk and employee knowledge hiding.
When the psychological contract is broken, the psychology of revenge and anger will induce deviant behavior (Bordia et
al., 2008). In this process, positive psychological capital can weaken the relationship between the breach of
psychological contract and deviant behavior (Costa & Neves, 2017). Mindfulness can facilitate one’s positive
psychological capital (Roche et al., 2014), helping individuals to focus on the present and reduce their revenge and
anger (Wright et al., 2009). Meanwhile, Shaffakat et al. (2022) found that mindfulness can make individuals more
receptive to the negative emotions caused by psychological contract breach and then lower their possibility of engaging
in deviant behavior. Therefore, mindfulness may moderate the relationship between the perception of unemployment
risk and knowledge hiding.
Using social exchange theory, we put forward a moderated mediation model to analyze the relationship between the
perception of unemployment risk and employees’ knowledge hiding under the disruption of AI, and the mediating role
of psychological contract breach and the moderating role of mindfulness in this relationship. This study is expected to
extend the interpretation perspective of the relationship between the perception of unemployment risk and employees’
knowledge hiding, which will help to guide enterprises to formulate policies to intervene in employees’ knowledge-
hiding behavior in the process of AI transformation.
oftheprobabilityandseverityofunemploymentinthiscontext.Accordingtosocialexchangetheory,theindividual’s
contributiontoanorganizationdependsontherewardsgivenbytheorganization(Guoetal.,2016).Inanunfavorable
or unsupportive work environment, employees may engage in deviant behavior (Bordia et al., 2008; Colbert et al.,
2004).Inotherwords,whenorganizationsuseAItechnologytoreplacesomejobs,employeesmayfaceunemployment
riskandperceivethattheirpersonalcareerdevelopmentgoalsarebeingthreatened.Thismeanswhenindividualsthink
theyaregoingtobereplacedbyAI,theyfeelslightedandliketheyarenotpartoftheorganization(Brougham&Haar,
2018;Meyeretal.,1993).Thus,accordingtosocialexchangetheory,theseemployeeswillbereluctanttomakeextra
effort for the development of their organization or may even show indifference to their work and organizational
commitments(Brougham&Haar,2018).Inthiscase,whencolleaguesaskforassistance,althoughknowledgesharing
would contribute to the organization’s development, employees will feel indifferent and their possibility of hiding
knowledge will be higher. Therefore, we put forward the following hypothesis:
+\SRWKHVLV Unemployment risk perception will be positively related to employee knowledge hiding.
Torestorebalanceinthecontextofpsychologicalcontractbreach,employeesmaytakeaseriesofnewactions,suchas
reducingeffortorimplementingnegativebehaviorstoincreasetheorganization’scost(Maetal.,2019).Bordiaetal.
(2008)showedthatifanorganizationbreaksitspromise,employeescaneasilytakeactionstohurttheorganization’s
interestsinreturn,includingparticipatinginanticitizenshipbehaviors.Sinceknowledgehidingwillbringlossestothe
enterprise, it can effectively compensate for psychological contract breach. Therefore, it can be inferred that
psychologicalcontractbreachmayrelatetotheknowledge-hidingbehaviorofemployees.Weputforwardthefollowing
hypothesis:
+\SRWKHVLVPsychologicalcontractbreachwillmediatetherelationshipbetweenunemploymentriskperceptionand
employee knowledge hiding.
&RPELQLQJ +\SRWKHVHV DQG ZH VSHFXODWHG WKDW PLQGIXOQHVV ZRXOG PLWLJDWH WKH VWUHQJWK RI WKH PHGLDWHG
relationshipbetweenunemploymentriskperceptionandemployeeknowledgehidingviapsychologicalcontractbreach.
Thus, we proposed the following hypothesis:
+\SRWKHVLV Mindfulness will negatively moderate (weaken) the strength of the mediated relationship between
unemployment risk perception and knowledge hiding via psychological contract breach.
The conceptual model we constructed based on the research hypotheses is shown in Figure 1.
Method
Measures
All the measures originally developed in English were translated into Chinese. To verify the accuracy of the content, we
checked the scales’ validity through back-translation before the start of the study. Unless otherwise indicated,
participants rated the items on a 7-point Likert scale ranging from 1 = VWURQJO\GLVDJUHH to 7 = VWURQJO\DJUHH.
Knowledge Hiding
We measured knowledge hiding with the scale developed by Rhee and Choi (2016). It includes four items, such as “I
said that I did not know something even though I did.” In this study Cronbach’s alpha was .75. This scale has been
previously demonstrated to be valid and reliable (Shi et al., 2021).
Mindfulness
We assessed mindfulness with the scale developed by Brown and Ryan (2003), which has five items, such as “I find it
difficult to stay focused on what is happening in the present.” Items are reverse scored. Participants rate the items on a
7-point Likert scale ranging from 1 = QHYHU to 7 = RIWHQ. In this study Cronbach’s alpha was .84. The scale has been
previously demonstrated to be valid and reliable (Ni et al., 2021).
Control Variables
We controlled for employees’ gender, age, and education level (Yang & Tang, 2018). Studies have shown that AI
application affects employees’ work attitudes and behaviors (Zhou & Wang, 2021). Therefore, we controlled for AI
application with the scale developed by Wang et al. (2019). It comprises four items, such as “The application scope of
AI will become wider and wider.” In this study Cronbach’s alpha was .75. The scale has been previously demonstrated
to be valid and reliable (Wang et al., 2019).
Results
1RWH1= 274.
* S < .05 (two-tailed). ** S< .01 (two-tailed).
Following Hayes (2013), we used PROCESS Model 15 in SPSS 25.0 to test Hypothesis 4. For low levels of mindfulness
(0 − 1 6'), the indirect effect of unemployment risk perception on knowledge hiding through psychological contract
breach was significant and the effect size was greater (β = .09, 95% CI [0.05, 0.14]). For high levels of mindfulness (0
+ 1 6'), the indirect effect of unemployment risk perception on knowledge hiding through psychological contract
breach was still significant but the effect size was smaller (β = .06, 95% CI [0.02, 0.10]). Thus, the mediated
relationship between unemployment risk perception and knowledge hiding via psychological contract breach was
weaker under the condition of high mindfulness. The difference in the indirect effect of unemployment risk perception
on knowledge hiding through psychological contract breach was −.03, 95% CI [−0.06, −0.01], indicating that the
indirect effect was significantly different and there was a significant moderated mediating effect. Thus, Hypothesis 4
was supported.
Discussion
We explored the relationship between perception of unemployment risk and employee knowledge hiding under the
disruption of AI. Previous studies have confirmed the relationship between job insecurity and knowledge hiding from
the perspective of conservation of resources theory (Chang & Na, 2020; Chhabra & Pandey, 2022; Nguyen et al., 2022).
Our findings, which are based on social exchange theory, are consistent with those of previous studies and confirm that
employees’ perception of unemployment risk is also positively associated with their knowledge hiding in the uncertain
scenario of AI transformation. This conclusion shows that in the situation of potential job loss, individuals hide
knowledge both to save resources and to address their dissatisfaction with their organization’s failure to provide job
stability and job security. We also found that psychological contract breach plays a mediating role in the relationship
between the perception of unemployment risk and employee knowledge hiding. This conclusion is consistent with those
of previous studies demonstrating that psychological contract breach mediates the relationship between job insecurity
and deviant behavior (Costa & Neves, 2017; Ma et al., 2019).
We found that mindfulness negatively moderates the relationship between psychological contract breach and employee
knowledge hiding, which also negatively moderates the indirect effect of perceived unemployment risk on employee
knowledge hiding through psychological contract breach. Previous research has shown that mindfulness can mitigate the
impact of psychological contract breach on employees’ negative behavior. For example, Shaffakat et al. (2022) found
that mindfulness can make individuals accept a negative emotion and diffuse it quickly, and then reduce their emotional
reactions (e.g., organizational deviation behavior) to arousing stimuli (e.g., psychological contract breach), which is
consistent with the conclusions of this study.
Theoretical Contributions
First, previous studies mainly explored the factors influencing employee knowledge hiding from the perspective of
knowledge attributes, personal factors, interpersonal factors, and organizational factors (Xiao & Cooke, 2018). We are
the first to explore the impact of employee unemployment risk perception on employee knowledge hiding in the context
of AI transformation, which expands the literature on the antecedent variables of employee knowledge hiding.
Second, this paper has discussed the impact mechanism of the perception of unemployment risk on employees’
knowledge hiding from the perspective of psychological contract breach based on social exchange theory. While
previous studies have also explored employee knowledge-hiding behavior from the perspective of social exchange
theory, most have examined negative reciprocity between knowledge requesters and knowledge owners (Xiao & Cooke,
2018). Our conclusion shows that negative reciprocity between the knowledge requester and the knowledge owner leads
to knowledge hiding, and also that the negative reciprocity between employees and their organization will cause
employees to hide knowledge when colleagues ask for help. This conclusion expands the application scope of social
exchange theory to the formation mechanism of knowledge hiding, therefore enhancing the explanatory power of social
exchange theory.
Third,previousstudiesmainlyexaminedtheboundaryconditionsintheformationprocessofknowledgehidingfrom
the perspective of team task dependency (Huo et al., 2016), individualistic cultural contexts (Boz Semerci, 2019),
competitivetraits,andpublicself-perception(Yang&Tang,2018).However,thisstudyfoundthatmindfulnesscan
helpindividualsfocusonthepresentmomentandeffectivelyisolatethethreatofnegativeeventstothemselves,thereby
reducing the possibility of implementing knowledge hiding. This conclusion expands understanding of the boundary
conditionsintheformationofemployees’knowledgehidingandalsobroadensawarenessoftheroleofmindfulnessin
the field of knowledge hiding.
Practical Implications
First,wefoundthatunemploymentriskperceptionpositivelyaffectsemployeeknowledgehiding.Therefore,reducing
employees’unemploymentriskperceptionisanimportantwaytointerveneinknowledge-hidingbehavior.Forexample,
organizationscanstrengthenthepublicityofAItechnology,guideemployeestoactivelyrecognizetheopportunitiesand
benefits to career development that are brought by AI technology, and reduce the unemployment risk perception of
employees.
Second,thestudyconfirmedthatpsychologicalcontractbreachisamediatingmechanismthroughwhichtheperception
ofunemploymentriskaffectsemployees’knowledgehiding.IntheprocessofimplementingAIreform,organizations
shouldtakemeasurestoimproveemployees’jobsecurityandensurethattheinterestsofemployeesareprotected,soas
to reduce the perception of psychological contract breaking.
Third,wefoundthatmindfulnesscanalleviateboththeimpactofpsychologicalcontractbreachonknowledgehiding
andtheimpactofunemploymentriskperceptiononemployeeknowledgehidingthroughpsychologicalcontractbreach.
Therefore,organizationscouldimprovethelevelofmindfulnessofemployeesbycarryingoutmindfulnessmeditation
training.
Acknowledgments
TheauthorsacknowledgethefinancialsupportreceivedfromTheNationalSocialScienceFundofChina(20CSH080),
which covered the costs of survey work.
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