American Research Journal of Humanities and Social Sciences

Humanistic attitude towards the individuals’ side of organizations are increasing and it provides the basis for current emerging trends and researches in organizations. Different organizations have been established to achieve the desired outcomes and certain objectives. In current changing global competitive environment, improving employees’ performance at workplace is major challenge. Positive psychological capital comprised of hope, optimism, resilience and self-efficacy is the key component of organizations and it has been viewed as essential strategic resource for gaining the competitive advantages. Quality of work life is evergreen concept and it may play significant role in improving various work-related outcomes in organizations. The present study was conducted on 215 employees working in private sector organizations to examine the mediating role of positive psychological capital in quality of work life-employees’ performance (self-rated and manager-rated) relationship. Obtained data was analyzed by using correlational, hierarchical regression analysis and mediated regression analysis. The result of hierarchical regression analysis indicates that stress at work and general well-being were found to be significantly positively associated with employees’ performance (self-rated). Stress at work was found to be significantly positively associated with employees’ performance (manager-rated). The mediated regression analysis reveals that PsyCap mediated the relationship between quality of work life-employees’ performance (self-rated and manager-rated). The findings add the empirical support for the study variables. Study limitations and future research directions were also discussed.