PERCEIVED POLITICS AND PSYCHOLOGICAL CAPITAL 1 Combined Effects of Perceived Politics and Psychological Capital on Job Satisfaction, Turnover Intentions, and Performance

With a diverse sample (n = 231 paired responses) of employees from various organizations in Pakistan, we tested for the main effects of perceived organizational politics and psychological capital on turnover intentions, job satisfaction, and supervisor rated job performance. We also examined the moderating influence of psychological capital in the politics – outcomes relationships. Results provided good support for the proposed hypotheses. While perceived organizational politics was associated with all outcomes, psychological capital had a significant relationship with job satisfaction and supervisor rated performance only. As hypothesized, the negative relationship of perceived organizational politics with job satisfaction and supervisor rated performance was weaker when psychological capital was high. However, the result for turnover intentions was counter to expectations where politics – turnover intention relationship was stronger when psychological capital was high.