Antecedents of psychological well-being among workers within small and medium enterprises

In most economies, the largest contributors to economic activity are Small and Medium-sized Enterprises (SMEs) (Struwig & Lillah, 2017). Abor and quartey (2010:218) agree that ‘small and medium-sized enterprises (SMEs) are a key part of emerging economies’, while Gama and Geraldes (2012) point out that SMEs produce nearly two-thirds of jobs in Europe. The innovative entrepreneurial spirit of the markets is also developed by SMEs (Bishop, 2018). Globally, SMEs are the foundation of economic growth and they find themselves in a competitive environment, as they compete directly with larger entities (Bishop, 2018). In the contemporary African business environment, South African SMEs contribute up to 22% of the country’s Gross Domestic Product (GDP) (Reynolds, Fourie, & Erasmus, 2019). This supports the view of various scholars (Desiree & Kengne, 2016; Mafini, Pooe, & Loury-Okoumba, 2016; Mafundu & Mafini, 2019; Oyelana & Adu, 2015) that SMEs are key drivers of economic growth and job creation, as they introduce innovations to tap new markets, boost competition and efficiency across the economy, and reduce poverty and inequality. Small and medium-sized enterprises are essential in improving living standards and national stability (Cant, Wiid, & Meyer, 2016). Orientation: In the contemporary business environment, employee mental health is neglected, especially in mental health research and practice in African Small and Medium-sized Enterprises (SMEs). This occurs even though this sector is the largest contributor to developed economies. This study highlights the importance of psychological well-being in SME performance and the individual employee.