Final answer:
Job insecurity caused by a 25% layoff represents a psychological stressor, increasing stress and vulnerability among employees and often leading to decreased job satisfaction.
Step-by-step explanation:
If an employer announces a layoff of 25% of employees, job insecurity would be considered a psychological stressor. Such events contribute significantly to job stress and have been known to lead to a greater sense of vulnerability to stress amongst employees. This type of stress is not purely subjective; it has measurable effects, including a decrease in job satisfaction and an increase in job-related anxiety, as employees worry about the stability of their position and their future at the company.
Job insecurity as a stressor can arise from various organizational changes such as downsizing, corporate mergers, or restructuring. In the scenario where there is a layoff of a quarter of the workforce, we can infer that not only those laid off but also those who remain employed may experience heightened stress due to uncertainty about their own job security, potential changes to their work conditions, or increased workload. Additionally, job insecurity during economic downturns often results in fewer wage raises, or even pay cuts, amplifying the financial and personal costs associated with job loss or the threat thereof.