Impact of fear & anxiety of COVID-19 and perceived job insecurity on the mental health of the bankers: evidence from Bangladesh

Abstract

The study examined the impact on bankers' mental health in terms of fear and anxiety and perceived job insecurity during COVID-19. It also evaluated the effectiveness of combating steps against COVID-19 taken by government and employers to reduce bankers' mental stress. Data were collected from 252 banking professionals in Bangladesh through questionnaire survey. Goodness of fit has been analyzed using Structural Equation Modeling (SEM). Furthermore, Exploratory and confirmatory factor analyses were applied for reliability test. The sampling adequacy was tested using KMO and Bartlett's Test, and the results showed the sample is significant. Cronbach's alpha and composite reliability (C.R) results indicate that the construct is reliable. The results showed fear & anxiety and perceived job insecurity have significant and positive impact on bankers' mental health implying their increase deteriorates bankers' mental health. It is observed that the study and its concerned subject matter absolutely unleashed the inner scenario of banking professionals in Bangladesh. According to this study, lockdown limitations should be used more wisely, and the mental health of the bankers should receive more immediate and consistent attention. In the event that workforce reduction measures are required to address the financial crisis, it is advised that banking sector give furloughs preference over layoffs.