Organizational change and employee mental health. A prospective multilevel study of the associations between organizational changes and clinically relevant mental distress

Objective: The aim of the present paper was to elucidate the relationship between exposure to separate, multiple or repeated organizational change at both individual- and work-unit level and subsequent clinically relevant mental distress amongst employees two years after change had taken place. Methods: A full panel, prospective design was utilized. Data were collected at two time-points two years apart, by self-administered, online questionnaires. Organizational change was measured by six items pertaining to separate types of change. Mental distress was measured using HSCL-10, with cut-off set to ≥1.85 to identify clinically relevant distress. Baseline sample consisted of 7985 respondents, of whom 5297 participated at follow-up. A multilevel analytic strategy was chosen as data were nested within work-units. Effects associated with exposure to organizational change at both individual- and work-unit level were estimated. Results: Separate change: At the individual level, company reorganization [odds ratio (OR) 1.29, 95% confidence interval (CI) 1.01‒1.65], downsizing (1.51, 95% CI 1.12‒2.03) and layoffs (OR 1.46, 95% CI 1.01‒2.12) were prospectively associated with mental distress. At work-unit level, company reorganization (OR 1.46, 95% CI 1.04-2.04) was associated with mental distress, but the statistically significant association diminished when adjusting for the work factors job control, job demands and support....