From Transformation to Trust: How Job Crafting and AI Knowledge Influence Psychological Contracts in the Age of AI

Abstract

The rapid integration of artificial intelligence (AI) in the workplace has altered the way employees perceive their roles, expectations, and relationships with their organizations. This transformation challenges traditional psychological contracts, requiring employees to adapt through job crafting and increasing their knowledge of AI to remain relevant in the digital age. This study aims to analyze how job crafting and AI knowledge influence the formation of psychological contracts, as well as the role of AI-based digital transformation in strengthening trust between employees and organizations. This study uses a quantitative approach with a survey method through questionnaires, and the data is analyzed using Structural Equation Modeling Partial Least Squares (SEM-PLS). The results show that Digital AI Transformation has a significant positive effect on Job Crafting (β = 0.740; p = 0.000) and a significant negative effect on Job Insecurity (β = -0.406; p = 0.040). In addition, Job Crafting and AI Knowledge were found to have a significant positive effect on Psychological Contract, while the effect of Job Insecurity on AI Knowledge was not significant. The implications of this study indicate that the success of digital transformation depends not only on technology but also on the ability of employees to engage in job crafting and improve AI literacy to maintain trust and psychological balance in modern work relationships.