Development and Validation of the Perceived Psychological Capacity Scale as a Consideration for Determining Employee Productive Age Period

Purpose of Study : The changes over the age period especially in employee occur physically and psychologically. The employee psychological condition changes can be affecting the work activities, productivity and performance. Although WHO and another national regulation has been settled the retirement age limit for employee, but there always some psychological down turning happen. While, there has been little empirical research conducted in relation to diagnostic tool for perceived employee productive age period. This study aims to introduce and explore the factor structure of a new measure of Perceived Psychological Capacity Scale. Methodology : To validate this scale we used Exploratory Factor Analysis, Confirmatory Factor Analysis and Bivariate Correlation with Other Correlated Variable (Human Capital). The participants in this study were 267 employees in a company which provide railways transportation services in Indonesia, with an age range of 39-56 years old. Result : The analysis suggest that Perceived Psychological Capacity Scale is valid and reliable. It contains 25 items in 4 dimensions i.e. Cognitive, Motivation, Emotion, Social Interaction. This result indicates that Perceived Psychological Capacity Scale can measure the decrease of psychological capacity based on employees’ perceived perception particularly in service work scope on certain age. Implications/Applications : This study can be used as an alternative tool to diagnose the productive age of employee based on their perceived psychological capacity specifically in railways transportation service employees. We cannot generalize the findings of this study for every employee in other jobs and company due to the limitation of this study.