Abstrac

Purpose: This study aims to explore and evaluate the impact of job stress on job motivation andperformance while relating it to the psychological capital that the employees face in the workplace.

Design and Methodology: This research is empirical and based on research objective data iscollected from 240 respondents working in Pakistani firms through an online survey. The selfadministered questionnaire is used to collect the data with help of convenience data collectiontechnique. The retrieved responses were processed and analyzed to test the study hypotheses withthe help of statistical analysis by employing SPSS. The sample size for this research is 240Pakistani professionals. To study the hypothesis, regression analysis was employed and results in a state thatjob stress is negatively related to job motivation and job performance and psychological capitalmoderates the relationship between job stress and job motivation.

Findings: These research findings state that job stress negatively impacts job performance and jobmotivation, therefore it is important to provide a stress-free environment to the employees toimprove their performance so they can perform better and help the organization to perform betterin local as well as international market. Further, the finding of this research states that thepsychological capital moderates the relationship between job stress and job motivation, and jobmotivation is positively associated with the job performance

Practical Implications: The findings of the thesis provide implications for businesses andemployees to understand how job stress, job motivation, and the psychological factor are all relatedand influenced by each other.

Limitations: This study is based on the data collected on one geographical context, the Pakistan.

Originality: This research provides the Pakistan perspective regarding the importance of jobstress, and how it shapes job motivation and performance. Further, this study enriches the existingliterature by providing the moderating role of psychological capital and according to the best ofthe author's knowledge, only a few researches are available on psychological capital in the field ofhuman resource management.