UNDERSTANDING RETIREMENT READINESS: THE ROLE OF RETIREMENT RESOURCES AND PERCEIVED ORGANIZATIONAL SUPPORT
Article Sidebar
Read Counter : 10
Download : 16
Main Article Content
Abstract
Retirement readiness is characterized by an individual’s acceptance, readiness and willingness to change as they enter retirement. It can be influenced by internal factors such as retirement resources, as well as external factors like perceived organizational support. Retirement resources encompass emotional, cognitive, motivational, social, physical and financial resources relevant to individual’s well-being in retirement. Perceived organizational support is the extent to which employees feel supported and cared for in their preparation for retirement. This study aims to examine the role of retirement resources and perceived organizational support in retirement readiness. Researchers collected data from 100 employees of state-owned organization operating in the aviation navigation sector in Indonesia using convenient sampling, comprising of 94.2% males, 46.6% aged 45-49 years, 93% from the operational division and 100% with over 15 years of tenure. Researchers utilized Retirement Readiness Scale, Retirement Resources Inventory and Survey of Perceived Organizational Support. Through SEM-PLS analysis, it was found that both retirement resources and perceived organizational support had significant influence on retirement readiness, with p = 0.001 < 0.05, t = 3.282 > 1.96 and p = 0.006 < 0.05 and t = 2.756 > 1.96, respectively. The R-squared value indicates both variables collectively contribute to retirement readiness by 31.3%. Among them, retirement resources exert a higher influence with a path coefficient of 0.330, particularly with physical and financial resources significantly contributing to retirement readiness.
Article Details
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
References
Adam, A. M., Frimpong, S., & Boadu, M. P. (2017). Financial literacy and financial planning: implication for financial well-being in retirees. Business & Economic Horizons, 13(2).. https://doi.org/10.15208/beh.2017.17.
Amorim, S. M., & Franca, L. H. F. P. (2020). Health, financial, and social resources as mediators to the relationship between planning and satisfaction in retirement. Current Psychology, 41(6), 3510-3524. https://doi.org/10.1007/s12144-020-00836-8.
Badan Pusat Statistik. (2019). Statistik Penduduk Lanjut Usia 2019. https://www.bps.go.id/publication/
Cameron, D. (2005). From work to retirement: How to create an active fulfilling life. Indian Ocean Books.
Clark, R., Lusardi, A., & Mitchell, O. S. (2017). Employee financial literacy and retirement plan behavior: A case study. Economic Inquiry, 55(1), 248-259. https://doi.org/10.1111/ecin.12389.
Creswell, J. W. (2012). Planning, conducting, and evaluating quantitative and qualitative research. Pearson.
Eisenberger, R. et al (1986). Perceived organizational support. Journal of Applied Psychology, 71(3), 500-507. https://doi.org/0021-.90IO/86/$00.75.
Eisenberger, R., Shanock, L. R., & Wen, X. (2020). Perceived organizational support: Why caring about employee counts. Annual Review of Organizational Psychology and Organizational Behavior, 7(1), 101-124. https://doi.org/10.1146/annurev-orgpsych-012119- 044917.
Gathiira, T. G., Muathe, S. M. A., & Kilika, J. M. (2019). Psychosocial programmes and employees retirement preparedness: empirical evidence from the educational sector in Kenya. International Journal of Business Administration, 10(2), 82-95. https://doi.org/10.5430/ijba.v10n2p82
Hair, J. F. Hult, G. T. M., Ringle, C. M., Sarstedt, M., Danks, N. P., & Ray, S. (2021). Partial least squares structural equation modeling (PLS-SEM). Springer.
Hair, J. F., Risher, J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1). https://doi.org/10.1108/EBR-11-2018-0203.
Hariyati, S., Mudjiran, Daharnis. (2020). Contribution of self-efficacy and social support to teachers’ readiness to face retirement. Jurnal Aplikasi IPTEK Indonesia, 4(3), 181-187. https://doi.org/10.24036/4.34378.
Hobfoll, S. E. (1989). Conservation of resources: A new attempt at conceptualizing stress. American Psychological Association, 44(3). 513-524. https://doi.org/0003-066X/89/$00.75.
HSBC. (2019). Sebanyak 9 dari 10 orang Indonesia belum siap menjadi crazy rich retiree. HSBC Indonesia.
Indonesia. 2015. Peraturan Pemerintah Republik Indonesia Nomor 45 Tahun 2015 tentang Penyelenggaraan Program Jaminan Pensiun.
Kurtessis, J. N. (2015). Perceived organizational support: a meta-analytic evaluation of organizational support theory. Journal of Management, 43(6), 1854-1884 https://doi.org/10.1177/0149206315575554.
Leung, C. S. Y., & Earl, J. K. (2012). Retirement resources inventory: construction, factor structure and psychometric properties. Journal of Vocational Behavior, 81, 171-182. https://doi.org/10.1016/j.jvb.2012.06.005
Lusardi, A., & Mitchell, O. S. (2017). How ordinary customers make complex economic decisions: financial literacy and retirement readiness. Quarterly Journal of Finance, 7(03), https://doi.org/10.1142/S2010139217500082.
McGrattan, E. R., & Prescott, E. C. (2017). On financing retirement with aging population. Quantitative Economics, 8(1), 75-115. https://doi.org/10.3982/qe648.
Putri, R. O. (2021). Kecerdasan emosional dan dukungan sosial terhadap kesiapan menghadapi pensiun. Psikoborneo: Jurnal Ilmiah Psikologi, 9(2), 229-237. https://doi.org/10.30872/psikoborneo .
Sutarto, J. T., & Cokro, C. I. (2008). Pensiun bukan akhir segalanya: cara cerdas menyiasati masa pensiun. Gramedia Pustaka Utama.
Weijaya, J., & Rostiana, R. (2022). The influence of social support and gratitude towards retirement readiness. Advances in Social Science, Education and Humanities Research, 655. https://doi.org/10.2991/assehr.k.220404.225.
Wimaswara, A. A. (2018). Hubungan dukungan keluarga terhadap kesiapan menghadapi pensiun pada karyawan. Universitas Islam Indonesia Yogyakarta.