Linking Psychological Well-Being and Employee Productivity through Work-Life Integration: A Smart-PLS Approach

The rapid evolution of technology has given rise to hybrid work models, which have negatively affected employees’ psychological well-being and consequently, their productivity. This research addresses a notable gap in the existing literature, by investigating how work-life integration influences the link between psychological well-being and employee productivity. The study relied on primary data, collected through a structured questionnaire from 250 employees, across various information technology firms in India. The analysis was conducted by using partial least squares and structural equation modeling, with Smart PLS version 4. The results revealed a significant relationship between employee psychological well-being and productivity, with work-life integration acting as a mediator. The findings indicated that stakeholders can enhance employee productivity by addressing psychological needs and improving work-life integration, considering factors such as work hours and household responsibilities. This research offers a comprehensive model, to help organizations to adapt to evolving work environments, succeed in sustainable workplaces and foster long-term social progress.