Psychological capital and happiness at work: The mediating role of employee thriving in multinational corporations

Abstract

Working in multicultural work environments of multinational corporations (MNCs) creates challenges whose expected impact on happiness is equivocal. In the following paper, we examine the relationship between psychological capital and happiness at work in the specific MNCs’ context. We assume that thriving (eudemonic well-being) at work fosters individuals’ development and enhances their happiness composed of both the affective (positivity) and cognitive (satisfaction with intercultural interactions) components. A sample of 137 individuals from subsidiaries of various MNCs and involved in intercultural interactions was included in the cross-sectional study. In order to test the mediating effect of vitality and learning, i.e., both components of thriving, on the psychological capital and happiness at work, as well as a moderating effect of psychological capital between thriving and happiness in a multicultural work setting, a bootstrapping analysis was conducted. Prior international experience and job tenure were control variables. The results show that psychological capital as resource caravans is positively associated with learning and further is related to more satisfaction with intercultural interactions. Moreover, psychological capital is associated with more vitality at work and further favorably relates to positivity. We also demonstrate that psychological capital does not moderate the relationship between thriving and happiness at work. The research broadens the understanding of positive aspects of well-being in the unique environment of MNCs. Our study suggests that managers should stimulate learning and vitality by managerial practices concerning improvement of employee psychological capital since then they may strengthen happiness at work.