Job security is the probability that an individual will keep his or her job; a job with a high level of job security is such that a person with the job would have a small chance of becoming unemployed whereas a job with low job security suggests that a person in such a job has a high probability of becoming unemployed (Weisberger,1973). Bourn (1980) defines it as the confidence an employee will continue to work for the same employer as long as the employee is able and willing to provide the required services.
Typically, government jobs and jobs in education, healthcare and law enforcement are considered very secure while private sector jobs are generally believed to offer lower job security and it usually varies by industry, location, occupation and other factors. (Ollenburg, 2007)
However, people’s job security eventually depends on whether they are employable or not, and if organizations have a need for their skills or not, so although employment laws can offer some relief and hedge from unemployment risk, they only have a marginal contribution to job security of individuals. Fact is, individuals need to have the right skill set to have good job security (Ollenburg, 2007).
2.11.1 Dimensions of Job Security
According to Valletta(2000) Job security is dependent on economy, prevailing business conditions, and the individual’s personal skills. It has been found that people have more Job security in times of economic expansion and less in times of a recession. Also, some laws strengthen job security by making it illegal to fire employees for specified reasons. Unemployment rate is a good indicator of job security and the state of the economy and is tracked by economists, government officials, and banks.
Personal factors such as education, work experience, job functional area, work industry, work location, etc, play an important role in determining the need for an individual’s services, and impacts their personal job security. Since job security depends on having the necessary skills and experience that are in demand by employers, which in turn depend on the prevailing economic condition and business environment, individuals whose services are in needed by employers tend will enjoy higher job security.