Technology in Society 68 (2022) 101807

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Technology in Society
journal homepage: www.elsevier.com/locate/techsoc

Application of AI and robotics in hospitality sector: A resource gain and

resource loss perspective
Abdul Khaliq a, Ali Waqas b, *, Qasim Ali Nisar b, Shahbaz Haider c, Zunaina Asghar a
a
Hailey College of Commerce, Punjab University, Lahore, Pakistan
b
Department of Management Sciences, Superior University, Lahore, Pakistan
c
Department of Accountancy, Superior University, Lahore, Pakistan

A R T I C L E I N F O A B S T R A C T

Keywords: Artificial intelligence (AI) and robots are increasingly becoming a part of workplaces across the globe. The
Artificial intelligence (AI) hospitality sector has also adopted the usage of AI, robots, and other modern technologies to welcome visitors, as
Robotics awareness well as to provide services during their visits. This increasing trend of technology usage has led to employment
Turnover intention (TI)
uncertainty and higher turnover intention (TI) among employees. As such, this study examined the relationship
Mutual trust (MT)
Competitive psychological climate (CPC)
of AI and robotics awareness among hospitality employees with TI through the moderating role of mutual trust
(MT) and competitive psychological climate (CPC). Data were gathered from 330 staff (managers, supervisors,
receptionists, & room service providers) employed at 3- and 5-star hotels in Lahore, Pakistan. As a result, AI and
robotics awareness displayed significantly positive relationship with TI. Next, MT antagonistically moderated the
relationship of AI and robotics awareness with TI. However, CPC did not moderate the link of AI and robotics
awareness with TI. Some study drawbacks and directions for future research endeavour are demarcated.

1. Introduction estimation that one-third of the existing jobs will be substituted by AI,
robots, and other smart technologies by 2025 [14,15], since the rapidly
The Coronavirus Disease 2019 (COVID-19) is the recent contagious advancing digital age promotes mass replacement of humans by auto­
viral infection that began spreading in late 2019 with 107,446,490 cases mation [16,17]. When employers (hotels) implementing AI and robotics
recorded worldwide [1]. The COVID-19 pandemic caused restriction on undervalue their human employees, higher turnover intention (TI)
gatherings, workshops, conferences, and many other events [2]. This has among employees is bound to occur [18]. The benefits of AI and robotics
massively affected the hospitality sector at the global scale. Worldwide seem to overshadow employee concerns.
travel restrictions and lockdown have placed the hospitality sector in a Many hotels across the globe have implemented AI and robotics in
challenging situation [3,4], which resulted in the downsizing of thou­ their operations. Imminently, AI and robotics are going to change the
sands of employees [5]. Stringent implementation of social distancing decision making and operations managed in organisations [19]. For
has increased the significance of robots in the hospitality sector to avoid instance, the Netherlands and Singapore have adopted robots in their
the contagious spread of COVID-19. Simply put, employees lose their hospitality domain to avoid contact between visitors and employees
jobs due to the deployment of AI and robotics. [20]. Similarly, Beijing-based Chinese delivery giant, Meituan Dianping,
Notably, Industrial Revolution 4.0 has introduced AI and robots in has recently introduced robots to deliver food from kitchens to cus­
various fields, i.e., agriculture, manufacturing, logistics, transportation, tomers at takeaway [21]. A humanoid robot called Mini Ada was
medicine, services, and education [6–10]. The application of AI in introduced to welcome passengers and provide information regarding
multiple fields is one of the most debated developments of recent times flight timings and boarding gates at the new Istanbul Airport [22].
[11], mainly because the expenditure on AI and robotics rose from $12 Meanwhile, hotels in the US (Sheraton, Westin, Hilton) are using AI in
billion in 2017 to $58 billion in 2021 at the global scale [12]. Service their service areas [23]. This robustness of AI and robots appears to be
automation and AI enable the hotel industry to provide customised, useful when serving quarantined customers at hotels during the
memorable, and cost-effective services [13]; amplifying their diverse COVID-19 pandemic [24,25]. One may claim that guest requirements
usage more than humans can achieve for certain jobs. Moreover, there is have changed as they expect modern technology-based products and

* Corresponding author.
E-mail addresses: Ali.90waqas@gmail.com (A. Waqas), Qasimalinisar@yahoo.com (Q.A. Nisar), Shahbazhaider199@gmail.com (S. Haider).

https://doi.org/10.1016/j.techsoc.2021.101807
Received 22 May 2021; Received in revised form 6 November 2021; Accepted 6 November 2021
Available online 20 November 2021
0160-791X/© 2021 Elsevier Ltd. All rights reserved.
A. Khaliq et al. Technology in Society 68 (2022) 101807

customised services [26]. Innovative technology and risk reduction Accordingly, it is crucial to understand the mechanism that may aid the
practices attract customers [27]. hospitality sector to mitigate TI among employees. Hence, to address the
Advancing technologies offer cost-effective, intelligent, and reliable following research questions; ‘how does AI and robotics awareness result
robots [13] with precision, accuracy, and matchless energy [28]. Hotels in TI?’ and ‘how TI may be mitigated?’; the primary objective of this study
are also applying AI and service robots. Under such competitive cir­ is to assess the relationship of AI and robotics awareness with TI moder­
cumstances, employees may compete with robots to secure their jobs ated by MT and CPC.
[29] due to possible downsizing. Due to competitive psychological
climate (CPC), employees tend to internalise organisational beliefs and 2. Literature review
missions that drive both commitment and performance. Accordingly,
this present study views CPC as a positive force that instils 2.1. Theoretical background
knowledge-seeking and skill-building behaviour among employees.
Notably, when an organisation goes for AI and robotics; then employees This paper draws on the Conservation of Resources Theory (COR)
may develop the intention to leave the organisation due to job insecu­ [43] to examine the relationship of AI and robotics awareness with
rity. Under such circumstance, competition among employees tends to employee TI. The notion holds that individuals strive to obtain, retain,
increase in order to secure their job. When one develops a sense of and protect that which they value [43,44]. This theory depicts that stress
competition, he/she can acquire more knowledge about the latest happens when (a) key resources are threatened with loss, (b) key re­
implemented technology, i.e., AI and robotics. As a result, the rela­ sources are lost, and (c) they fail to gain new resources. The COR
tionship of AI and robotics awareness with TI may weaken. elaborates the human behaviour based on the need to gain and preserve
Apart from CPC, trust between employees and employer can reduce resources for survival. Individuals not only employ resources to reduce
adverse outcomes, where employees would become more committed and stress, but they also do it for their survival and to meet future needs.
satisfied [30]. The atmosphere of trust in an organisation makes people Retention of personal, social, material, and organisational resources
more satisfied and decreases their intention to quit [13,31]. The imple­ available to individuals creates a sense of capability when facing
mentation of AI and robotics decreases the control of employees over the stressful challenges [44].
environment and results in negative emotions, i.e., employee TI [32]. As Following the assumptions of the COR, this study argues that
employees perceive that AI and robotics implementation puts their lives awareness on the application of AI and robotics in the hospitality in­
into the hands of the program, the reinforcement will likely be lower. dustry creates a sense of potential loss to employees. As they think that
Following this lower expectancy, it is likely that when employees perceive the application of AI and robotics will replace their jobs, they will have
AI and robotics implementation in the organisation, employees would feel increased intention to leave the organisation. Jobs are a valuable
having less control over the environment, thus resulting in disturbed resource for employees and fall under ‘valuable things’ in COR as jobs
organisational performance and high turnover rate (Wolthoorn, 2018). ascertain one’s survivability. Therefore, when an employee perceives
Despite the significance of AI and robotics, not many studies have that AI and robotics are going to substitute him/her, then he/she will
looked into the use of robots in the hospitality sector [20]. Apparently, sense resource depletion (potential job loss) and can result in negative
25% of the hospitality workforce will be replaced by robots by 2030 due to consequences, such as TI. On the other hand, COR holds resource gain by
the increasing importance of robotics [33]. To date, customers also look depicting that investing additional resources prevents resource loss [43,
forward for advanced technology products and customised experiences 44] and individuals tend to develop surplus resources to offset the
[26,34]. Therefore, the hospitality sector has adopted advanced robots possibility of future loss that result in well-being [43]. Accordingly,
and AI to meet consumer demands [35]. The future foresees heavy use of employees confronting their potential job loss in organisations where AI
AI alongside humans [36] at workplace, but human behaviour towards AI and robotics are being applied tend to fight back in a competitive
and robots remains untapped [37]. Use of AI and robots cannot be avoided environment and seek knowledge about the new technologies being
in the future and it is already established that the implementation of these employed, which in turn, updates their competitiveness and reduces
modern technologies increases employee TI, thus highlighting the need to their chances of being laid off by their organisation. This is consistent
identify key factors that can mitigate the influence of these technologies with the COR principle that resource threat results may also activate
on employees’ TI. Recently [38], asserted on the need to study AI and defensive mechanisms [44], such that employees actively seek addi­
robotics in light of the psychological outcomes of employees. This is tional knowledge and skills backed by their high competitiveness to
because; most studies on robotics are conceptual and the incorporation of avoid potential job loss. Hence, relationship strength is assumed to be
AI is critical to determine its wide-scale impacts [39]. Therefore, this low in the presence of high competitiveness among employees.
present study is among the few attempts to present empirical evidence on In this present study, MT denotes job resource. Job resource is a
AI and robotics awareness in the hospitality context. In past studies, only a physical, psychological or organisational facet of the job that can facilitate
handful of variables were tested as moderator between the relationship of the job goal accomplishment, apart from reducing the physiological and
AI and robotics awareness with TI, i.e., perceived organisational support psychological cost of job requirements [21]. In COR, individuals take
[40]. [41] contended that the awareness among employees from the resource investment decisions by looking at interpersonal factors, such as
hospitality industry about AI and robotics within the context of TI and trust [45]. When jobs are threatened by the application of AI and robotics,
future jobs is yet to be established. For instance [40], assessed 5-star hotels the individuals tend to develop TI; which may lower if they develop MT as
in China and stressed that the consideration of other than 5-star hotels in a resource to prevent the threatened depletion of resources. As such, this
different geographical regions should validate their reported outcomes. present study argues that the presence of psychological competitiveness
Similarly [42], emphasised on the further investigation of key factors that and MT may ease the employees’ level of tense circumstances, i.e., lower
can moderate the relationship of robotics and AI with key work outcomes. TI as a result of AI and robotics awareness Fig. 1.
Besides, it is crucial for future studies to incorporate the role of work
environment characteristics, such as mutual trust (MT), as moderator 2.2. Artificial Intelligence and Robotics Awareness and turnover intention
between the relationship of AI and robotics awareness with TI [40].
Nevertheless, awareness towards AI and robotics in the Pakistani hospi­ Artificial intelligence (AI) reflects the ability of a system to interpret
tality sector, as well as its effect on employees’ TI, lacks investigation. It is external data appropriately to drive learning, as well as to use them to
imminent to determine how to minimise TI in Pakistani hospitality in­ accomplish specific goals and tasks while adapting them as per cir­
dustry in wake of AI and robotics awareness. Employees who are not cumstances [46]. It was known as a facilitator of tasks that is mechan­
competitive perceive high competitiveness as negative and may react ical, but to date, it is recognised as a facilitator of tasks involving
aggressively; a notion that demands further investigation [13]. thinking and analytical capabilities. Accordingly [47], contended that

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A. Khaliq et al. Technology in Society 68 (2022) 101807

Fig. 1. Theoretical framework.

due to the recent technological advancements, AI agents do not have the may yield positive outcomes [52]. Therefore, it is crucial to consider
ability to handle tasks involving thinking and analytical skills. Robots perceptions of employees about AI and robotics application. As negative
are any machine introduced into the production process and can perceptions reflect a threat to their jobs, it is more likely that the hotel
perform the tasks previously performed by workers [48]. investment would fail in reaping the anticipated returns. Since em­
Past studies reported that AI and robotics awareness can drive high ployees consider their jobs unsafe in the potential application of AI and
TI among employees. For instance [49], found that AI and robotics robotics [54], some intervention must be introduced to minimise the
jointly made the jobs easier than before. However, this increased hos­ positive relationship of AI and robotics awareness with TI. Therefore, it
tility among employees as they were threatened with potential job loss is expected that the MT between an organisation and employees will
due to the deployment of AI and robotics. It is worthy to note that blue reduce TI among employees due to the implementation of AI and ro­
collars are being taken over by AI and robotics, while white-collar jobs botics. Hence, it is hypothesised that:
are also not safe from AI and robotics. They contended that in future,
H2. Mutual trust significantly moderates the relationship of AI and
even a robot teacher is possible as AI and robotics jointly are being
robotics awareness with turnover intention.
developed to understand feelings and enable response sensing. Ac­
cording to [50]; robots execute jobs faster than humans and a robot can
2.4. Competitive psychological climate
replace 70 full-time employees. Both AI and robotics are being
increasingly adopted by firms, thus resulting in fewer employment op­
Competitive psychological climate (CPC) denotes the degree to
portunities. These are among the factors that may take over one-third of
which an employee considers his/her job performance is dependent on
jobs by 2025 [18], thus creating a serious threat for employees. When an
his/her relative standing among his/her colleague. Organisations strive
organisation embraces AI and robotics to attain optimal productivity,
hard to be competitive within a market because competition within
the employees may develop a sense of job insecurity and be inclined to
firms yields better efficiency, products, and services; while concurrently
leave the organisation [51]. [41] conducted a study in the hospitality
reducing operational costs [55]. Competition is also found among
industry context and revealed that AI and robotics awareness can result
humans. At workplace, employees compete with each other. Thus, CPC
in higher TI among hotel employees. They added that awareness about
is one’s perception regarding the competition within an environment in
AI and robotics may lead hospitality industry employees towards TI.
which he/she is working [56]. While competing, an employee would
Recently [38], reported that hotel employees are more likely to quit
want to win at the cost of the other’s failure.
their jobs when they have higher awareness about the implementation
[40] reported that when organisations compare the performance of
of AI and robotics in their hotels. Higher AI and robotics awareness tend
their employees, it creates a sense of competitiveness among the em­
to increase TI [51]. Accordingly, when an organisation acquires the
ployees. Under such an environment, employees may exert negative atti­
latest technology that automates its operations, the employees may end
tudes and behaviour. On the contrary, this present study views CPC as a
up in developing TI. Hence, the following hypothesis is proposed:
positive force that drives the knowledge-seeking and skill-building
H1. AI and robotics awareness positively and significantly influences behaviour among employees [57]. It is also found that competition
turnover intention. among employees can increase their performance as they seek to fulfil
their need of competing with others. Additionally, employees under
competition strive hard to gain better performance, instead of engaging in
2.3. Mutual trust as a moderator
negative behaviour, i.e. turnover [58]. AI and robotics in the hospitality
industry can result in employee satisfaction - employees have no intention
Trust has been regarded as one of the factors necessary for building a
to leave their job. However, some studies have reported that due to the
successful relationship. Notably, trust may be of different types in an
application of AI and robotics, the employees developed higher TI [13].
organisational context, for instance, it may be between a supervisor and
This affirms the possibility of another factor that affects the relationship, in
his/her employees, between top management and employees, as well as
which CPC served as a moderator in the present study. With AI and ro­
an organisation and its employees [52]. The present study considered
botics awareness, employees may develop the intention to leave due to job
trust from both perspectives of organisation and employees; such that
insecurity. As such, competition among employees can increase the sense
while going for AI and robotics, an organisation develops a sense of trust
to secure their job. When one develops a sense of competition, he/she may
among the employees that they will not lose their jobs, which in turn,
acquire more knowledge about the latest implemented technology. As a
lowers TI among the employees. These arguments are supported by
result, the relationship of AI and robotics awareness with TI may weaken.
previous studies. For instance, when individuals are provided a trustful
Thus, the following is proposed:
and supporting environment, then MT may act as a moderator to reduce
TI among the employees in the presence of AI and robotics [40]. Besides, H3. Competitive psychological climate moderates the relationship of
AI and robotics come with new knowledge that can only be absorbed AI and robotics awareness with turnover intention.
when there is a trust perception within an organisation. Hence, the
presence of a sense of trust allows individuals to listen and absorb 3. Methodology
knowledge from each other [53]. Moreover, MT reduces TI among em­
ployees and when an organisation trusts its employees, the organisation This present study examined the relationship of AI and robotics

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A. Khaliq et al. Technology in Society 68 (2022) 101807

awareness with TI. It has also considered the moderating role of CPC and cant levels. A measurement model and then a structural one were
MT between the relationship of AI and robotics awareness with TI. assessed as well.

3.1. Sample design and data collection

4.1. Data normality
The study data were collected from workers of the hospitality sector
Data normality is dismissed in PLS-SEM, despite the importance of
in Lahore, Pakistan. In total, 500 questionnaires were distributed to
checking it prior to inferential statistics [64]. This study had determined
employees (managers, supervisors, receptionists, & room service staff)
data normality by deploying skewness, kurtosis, and histogram of data.
of 3-star and 5-star hotels across Lahore, Pakistan using convenient
The study constructs displayed normal distribution as the skewness and
sampling technique. Out of the 370 returned questionnaires, 40 were
kurtosis values ranged from − 2 to +2. With normal data distribution,
incomplete. Hence, 330 questionnaires were viable for data analysis,
further analysis was executed using PLS-SEM.
which is adequate for hospitality research context [59]. The data were
gathered from managers (151 questionnaires) and non-managerial
esmployees (179 questionnaires).
4.2. Common method bias

3.2. Questionnaire Data collection from single respondent may lead to common method
bias [65]. Asserted that a complete collinearity test can be utilised to
The questionnaires used in this present study were adopted from detect common method bias in SEM. In this study, a full collinearity test
prior studies. Both AI and robotics were measured by using a four-item was performed to assess common method bias through variance infla­
measure [18], while five-item measure was used to measure TI [60]. tion factor (VIF). The value of VIF should not exceed 3.3 to avoid
Meanwhile, eight items were used to measure MT, while four items to common method bias and the VIF value of all the constructs in this study
measure CPC [61]. was below 3.3; signifying the absence of common method bias.
The partial least square - structural equation modelling (PLS-SEM)
was used for data analysis via Smart PLS 3, because the study purpose is
to examine the relationship among the variables and not to develop a 4.3. Demographics
new theory. Notably, PLS-SEM is a beneficial tool when SEM is applied
to explain the relationship among variables [62] as it offers a flexible Table 1 shows the demographic analysis of the study respondents,
approach to model building [63]. As PLS-SEM is used for small sample which involved 330 respondents. Referring to Table 1, 242 respondents
sizes and complex models [62], it was used in this present study to avoid (73.3%) were male and 88 respondents (26.7%) were female. Most of
data normality issues. the respondents (n = 175, 53%) were 25–35 years old, while 97 (29.4%)
were 18–25 years old, 56 (17%) were 35–50 years old, and only two
4. Findings respondents (0.6%) were above 50 years of age. As for their academic
qualification, 190 respondents (57.6%) had earned bachelor’s degree,
The gathered data were analysed using PLS-SEM via Smart PLS 3, while 52 (15.8%) respondents have done M.COM/MBA degree, 25
which is an advanced estimation technique [59]. The relationships (2.6%) respondents had MPhil, and the remaining one respondent
among the selected constructs have been explained in the supported (0.3%) had other qualification. Next, 77 (23.3%) respondents had
theory. Hence, PLS-SEM is a flexible and helpful approach while experience less than 1 year working in the hospitality sector, while most
applying the SEM to predict the hypothesised relationships [62,63]. As of the participants (n = 194, 58.8%) had 1–4 years working experience
large sample size and normal data distribution are not the requirements in the said sector, 33 (10.0%) respondents had 6–10 years of working
in PLS-SEM, it suits this present study [62]. Bootstrapping via PLS was experience, and the remaining 26 (7.9%) respondents had worked in the
applied to present factor loadings, path coefficient values, and signifi­ hospitality sector for more than a decade.

Table 1
Demographpic profile of respondents.
Demographic Variables Category Frequency Percentage

Gender Male 242 73.3

Female 88 26.7
Age 18–25 97 29.4
25–35 175 53.0
35–50 56 17.0
Above 50 2 0.6
Education Bachelors 190 57.6
M.COM/MBA 52 15.8
MPhil 25 7.6
Hotel Management 62 18.8
Others 1 0.3
Organisations Pearl Continental 64 19.4
Avari 59 17.9
Nishat 45 13.6
Four Points by Sheraton 72 21.8
Crown Plaza 90 27.3
Experience Less than 1 year 77 23.3
1–5 year 194 58.8
6–10 year 33 10
Above 10 years 26 7.9

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A. Khaliq et al. Technology in Society 68 (2022) 101807

Table 2
Confirmatory factor analysis.
Constructs Items Loadings rho_A Alpha CR AVE

Artificial Intelligence AI1 0.799 0.86 0.846 0.896 0.683

AI2 0.795
AI3 0.855
AI4 0.855
Competitive Psychological Climate CPC1 0.795 0.773 0.76 0.847 0.582
CPC2 0.731
CPC3 0.704
CPC4 0.815
Mutual Trust MT1 0.636 0.939 0.932 0.941 0.503
MT10 0.736
MT11 0.769
MT13 0.687
MT14 0.629
MT15 0.8
MT16 0.697
MT17 0.703
MT2 0.742
MT3 0.778
MT4 0.798
MT5 0.738
MT6 0.384
MT7 0.789
MT8 0.728
MT9 0.617
Turnover Intention TI1 0.905 0.856 0.855 0.912 0.776
TI2 0.867
TI3 0.87

4.4. Measurement model assessment also an effective approach to determine discriminant validity despite its
setback in a few situations [66]. Therefore, both HTMT ratio and
Convergent validity was assessed through loadings, composite reli­ Fornell-Larcker criterion were deployed in this study to determine the
ability (CR), and average variance extract (AVE). Based on Table 2, the discriminant validity of the study variables. Tables 3 and 4 lists the
value of factor loading exceeded 0.60, except for item 6 of MT that was scores of discriminant validity of all the study constructs.
later discarded. The CR of this study scales was higher than the rec­
ommended value of 0.70. Similarly, the AVE of all constructs exceeded 4.5.1. Structural model assessment
the recommended value of 0.50 [62]. After the assessment of the measurement model, the structural model
was also assessed. Therefore, model significance was checked through
path coefficients, standard errors, and t-values. Bootstrapping approach
4.5. Discriminant validity through SMART PLS was used to find the relationship among the con­
structs of this study [63]. After the evaluation of measurement, the
The HTMT (Heterotrait-Monotrait Correlation ratio) ratio is an structural model was also assessed. Thus, the significance of this study
advanced method to assess discriminant validity. The Fornell-Larcker is

Table 3
Fornell & larkcer criteria.
AI_ CPC MT TI__

AI_ 0.826
CPC 0.625 0.823
MT 0.722 0.812 0.829
TI 0.723 0.748 0.818 0.881

Table 4
Discriminant validity.
AI_ CPC MT TI__

AI_
CPC 0.764
MT 0.799 0.963
TI 0.837 0.918 0.908

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A. Khaliq et al. Technology in Society 68 (2022) 101807

Table 5
Path analysis
Relationships Beta t-value L.L U.L Decision

H1 A1 and Robotics Awareness →TI 0.267 4.133 0.17 0.372 Supported

H2 A1 and Robotics Awareness*Mutual trust →TI − 0.215 2.89 − 0.353 − 0.107 Supported
H3 A1 and Robotics Awareness *Competitive Psychological climate →TI 0.069 0.904 − 0.052 0.187 Not Supported

Fig. 2. Measurement model assessment.

Table 6
Invariance measurement testing using permutation.
Constructs Configural Compositional Partial Equal Mean Variance Equal Variance Full
Invariance Invariance Measurement Measurement
Invariance Invariance
C=1 Confidence Differences Confidence Differences Confidence
Established Established
Interval (CI) Interval (CI) Interval (CI)

AI Yes 1 [0.998,1.00] Yes 0.321 [-0.205,0.216] 0.033 [-0.251, 0.53] Yes

CP Yes 0.998 [0.997,1.00] Yes 0.261 [-0.208, 0.204] 0.001 [-0.261,0.280] No
MT Yes 0.997 [0.997,1.00] Yes 0.312 [-0.200, 0.205] 0.003 [-0.255,0.261] Yes
TI Yes 0.996 [0.999,1.00] Yes 0.404 [-0.199, 0.216] 0.003 [-0.233, 0.204] Yes

Note: AI-Artificial Intelligence and Robotics Awareness; CP-Competitive Psychological Climate; MT- Mutual Trust; TI-Turnover Intentions.

model was assessed through path coefficients, t-values, and standard 4.6. Measurement invariance composite (MICOM)
errors. All the hypothesis were also tested while using bootstrapping in
Smart PLS 3 [63]. Further, empirically the direct hypotheses were tested The MGA requires the realisation of measurement invariance to
(See Table 5 and Fig. 2). Hypotheses were evaluated using critical ratio achieve the validity of the outcomes [68,70]. While applying the MGA,
(P < 0.05; t>1.645). All but one hypothesis was supported. fulfilment of invariance of the measures is necessary to mitigate
confusion in comparisons [67]. Therefore [71], have recommended a
4.5.2. Multi-group analysis (MGA) unique approach based on three steps (configural invariance, composi­
The MGA was the final step to analyse the proposed theoretical tional invariance, & equality of composite mean values and variances) of
model between managerial and non-managerial employees. The dataset measurement invariance evaluation in composite modelling (MICOM)
was segregated into managerial respondents (n = 151) and non- that supports the composite model literature [72,73].
managerial respondents (n = 179) to compare the results of both According to [74]; permutation is helpful to execute MGA in
types of hospitality employees. The PLS-MGA is a non-parametric test PLS-SEM [67]. Permutation provides support while analysing the mea­
that explains the differences in group-specific by using the bootstrapping surement invariance [75] so that the statistical differences can be tested
method in PLS-SEM [67,68]. The findings of PLS-MGA test were sig­ between different groups concerning their specific parameter estimates
nificant at 5% (P < 0.05) or above 95% (P > 0.95) to determine the [71]. It also provides the results of further steps of MICOM, i.e.,
difference in path-coefficient of group-specific results [69]. compositional invariance and equality of composite mean values and
variances. Smart PLS establishes the configural invariance (step 1 in
MICOM) automatically as the configural invariance evaluation needs an
assessment of the selected settings, model set-up, and other aspects that
do not need statistical test. In step 2, Smart PLS returns the
Table 7 permutation-based confidence intervals that allow for determining if a
Results for PLS-MGA. composite has a correlation in Groups A and B, which is significantly
Relationships Path Coefficients-diff P-Value lower than one. If this is not the case, the composite does not differ much
AI - > TI 0.165 0.046
in both groups and compositional invariance is established. In the final
CP - > TI 0.061 0.073 step, permutation-based confidence intervals for the mean values and
MT - > TI 0.159 0.014 the variances allow for assessing if a composite’s mean value and

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A. Khaliq et al. Technology in Society 68 (2022) 101807

variance differ across groups. These results are important to reveal if perception may result in positive or negative behaviour of the in­
partial or full measurement invariance has been established [71]. dividuals. Besides, CPC causes dissatisfaction among employees and a
Table 6 shows partial measurement invariance (original correlation negative relationship in the whole environment. The results of this study
>5% quantile & P > 0.05), which is a compulsory requirement to show that CPC does not moderate the relationship of AI and robotics
compare specific group differences using PLS-SEM [71]. Table 6 reveals awareness with TI among hospitality employees. As the hospitality
that some study constructs had no full measurement invariance, while sector in Pakistan is not AI and robotics dependent and the employees do
mostly had both full and partial measurement invariances. not experience the threat of replacement, CPC was lacking. In fact, even
Table 7 presents the results of the multi-group analysis while using the supervisors and managers did not feel the threat from robots as
the recommended method of Henseler’s MGA [69]. This approach is maximum usage of robots in hospitality was merely to welcome guests
considered as a most effective technique while using PLS-SEM to and offer trivial services, which did not create CPC for them. Although
differentiate the path coefficients of two groups [68]. MGA directly as­ MT buffers the relationship of AI and robotics awareness with TI, CPC
sesses the group-specific bootstrap estimates. This technique determines does not moderate the said relationship.
that path-coefficient differences should be less than 5% (P < 0.05) or Furthermore, data were collected from both managerial and non-
greater than 95% (P > 0.95) to differentiate the path-coefficients among managerial employees to analyse if AI and robotics awareness influ­
different groups [68,69]. Further, Table 7 shows the strength difference enced the TI of employees, along with the moderating role. The results
in path coefficient of two groups i.e. Managers and front-line employees. revealed a significant difference between both groups (managerial &
The results reveal the significant difference between Managers and non-managerial) regarding the effect of AI and robotics awareness on TI.
front-line employees concerning the effect of artificial intelligence & A similar difference between managerial and non-managerial employees
robotics awareness on turnover intentions. Further, findings also show is noted for the role of MT as a moderator. However, no significant
the significant differences concerning the effect of mutual trust on difference is observed between the two groups regarding the moderating
turnover intentions. On the other hand, this study’s results do not sup­ role of CPC.
port any significant difference regarding the effect of competitive psy­
chological climate on turnover intentions between Managers and 5.1. Theoretical implications and contribution
front-line employees.
Organisations should be competitive, flexible, and capable to offer
5. Discussion and conclusion multiple offerings. This requires the effective response of the organisa­
tions while staying cost-effective. Thus, AI and robotics have been
This present study vindicated the role of MT and CPC for the rela­ extensively adopted to generate new business opportunities [76]. Ro­
tionship of AI and robotics awareness with TI in the hospitality sector bots have been recently modernised to perform technical tasks, and
during the COVID-19 pandemic. This study had investigated several subsequently, their utilisation in the tourism and hospitality industry
relationships while considering managerial and non-managerial em­ has increased [35]. Both AI and robots ensure the guests perceived
ployees in the hospitality segment. To date, organisations require an service quality and attract customers through unique interaction. Hence,
exceptional level of flexibility and ought to be responsive, competent, robots around the world have become the core part of the hospitality
and cost-effective. The COVID-19 outbreak has enhanced the use of AI business to provide guest services.
and robotics to avoid the threat of virus spread. Similarly, new tech­ Although AI and robots are being used extensively in the hospitality
nologies, i.e., AI, service automation, and robotics, are being used sector, little attention has been given to their effect on the behavioural
extensively in the hospitality and tourism industry. When AI and robots aspects of hospitality employees. As such, this study contributes towards
are applied in the hospitality setting, different benefits, such as cost the understanding of AI and robotics awareness, as well as TI of hospi­
reduction, accuracy, and speed, can be attained [35]. However, the tality employees. The findings of this study are concurrent with prior
utilisation of AI and robotics has created job insecurity among the em­ investigations that depict employees retain in the organisation based on
ployees of hospitality [42]. Therefore, these employees have developed robotics and AI [77]. The hospitality sector has always faced the chal­
the intention to leave the organisation in search of other secure jobs. The lenge to retain employees and keep their turnover lower [78]. In spe­
COVID-19 pandemic has pushed the hospitality domain to embrace cific, TI lowers employee productivity and morale [79]. The employees
modern technologies in order to avoid contact between employees and of hospitality lack control over their job and might fear of rapid
visitors. Hence, thousands of employees faced downsizing and tempo­ implementation of AI and modern technologies. To solve the issue of
rary leave. The study findings reveal the significantly positive associa­ turnover in hospitality domain, it is important to identify factors that
tion of AI and robotics awareness with TI among hospitality employees. promote turnover. This study, thus, puts value to the existing theory as
This finding is in line with previous results [13,42]. the findings confirm that AI and robotics implementation leads to higher
The hospitality sector cannot avoid the advancing technologies, turnover in the hospitality sector.
which ultimately create job threat among hospitality employees. As the It was previously emphasised that some variables can contribute to
employees feel fear from these technologies, there exists a dire need for minimise the effect of AI and its implementation on work outcomes [77].
trust to develop between employer and employees. The recent pandemic This present study significantly contributes to the theoretical knowledge
has caused so many challenges for the hospitality sector, particularly that MT among hospitality employees and employers can decrease
financial damages. During the COVID-19 pandemic, hotels remained turnover. The findings support that higher MT between employees and
empty as contact among the public was restricted, thus affecting the employer decreases an employee’s intention to quit. Both AI and ro­
capability to pay salaries as well. Therefore, trust between employer and botics cause job insecurity among employees, which can be absorbed
employees can help to decrease the intention among employees to leave through trust [53].
their job. The findings of this study provide evidence that MT signifi­ Apparently, CPC has a role in the relationship of AI and robotics
cantly and antagonistically moderates the relationship of AI and robotics awareness with TI of hospitality employee. Recently, a study reported
awareness with TI. Although the role of MT between employer and that CPC significantly moderated the relationship between AI and TI
employees was omitted in the past, the study outcomes are parallel with [13]. This means; CPC can be the reason for higher TI as the competition
previous investigations that MT can significantly reduce employees’ TI creates negative outcomes and perception of insecurity among em­
[30,52]. ployees. However, this study revealed the insignificant moderating role
Use of new technologies in organisations creates the perception of of CPC between AI and TI due to the low-level usage of AI and robots in
competition among employees. Employees undertake this competition the hospitality sector across Pakistan. In fact, the managerial-level staff
in the whole environment as a challenge to survive in the long run. This also did not feel the challenge of insecurity from the usage of robots and

7
A. Khaliq et al. Technology in Society 68 (2022) 101807

AI. Therefore, there is a pressing need to further look into the role of CPC of community and encourage employees to give feedback that may be
between AI and TI as more challenging and innovative environment may helpful in mitigating TI. Hence, trust between employers and employees
take the buffer role of CPC. It is important to understand the role of CPC is significant to mitigate the influence of AI and robot awareness on
as it can create either a negative or positive effect on the TI of employee’s TI.
employees.
This study sheds light on the effect of AI and robotics awareness on TI 5.3. Limitations and future directions
of hospitality employees. Likewise, this study enlightens the importance
of MT, which is crucial to stump negative intentions among employees. This study has several limitations, which may set the path to future
Meanwhile, competitiveness is crucial for the organisations to survive, researchers. First, the data were collected from a single region in
whereby negative competition yields negative consequences while a Pakistan that differs from the Western hemisphere, thus creating the
positive competitive environment ascertains competitive advantage. issue of generalisability. Hence, data from different regions and coun­
This study highlights the pathways through which AI and robotics tries can validate the results reported in this present study. Second, data
awareness may affect the TI of employees. This study adds to the liter­ were gathered from managers, supervisors, and room service providers;
ature that MT significantly influences the relationship of AI and robotics in which data from front-line employees and lower-skilled employees
awareness with employee TI. Theoretically, MT and CPC have signifi­ offer a holistic view. Third, the cross-sectional study design imple­
cant influence on employee retention. This study measured the mented in this present work may create common method bias. There­
damaging effect of COVID-19 on employees’ perceptions regarding the fore, future studies should adopt the longitudinal study design.
adoption of AI and robots as a threat to their job. The impact of AI and Fourth, as this study involved 3-star and 5-star hotels, future studies
robots usage on employees’ retention is established, but an effective should consider restaurants, resorts, and other hotel types to unravel the
mechanism to avoid the damaging effect of modern technologies on phenomenon studied here. Fifth, this study considered MT and CPC as
employee turnover is untapped [13]. This provides empirical evidence the potential moderators, while keeping in view that other factors (e.g.,
of the social learning theory on hospitality employees. Although past career development & technical grooming of employees) can buffer the
investigation has explained the benefits, i.e., cost-effectiveness, speed, effect of AI and robotics awareness on TI. Similarly, AI and robots cannot
and accuracy, of AI and robots [80], none has considered the negative provide empathy to customers and may influence their experience
consequence of these technologies on the behaviour of hospitality em­ adversely. Hence, future studies should assess the effect of modern
ployees and the strategies to mitigate such behaviour. As such, this study technologies on customer experience and social connectedness as the
analysed the perceived threat of hospitality employees regarding the major goal of visitors.
adoption of new technologies during the COVID-19 pandemic, thus
providing an integrative and holistic view for TI of hospitality em­ Acknowledgements
ployees, whereby such an investigation is still in infancy stage.
All persons who have made substantial contributions to the work
5.2. Practical implications reported in the manuscript (e.g., technical help, writing and editing
assistance, general support), but who do not meet the criteria for
As TI costs an organisation, it increases the need to determine the authorship, are named in the Acknowledgements and have given us their
potential measure by the human resource expert to decline the negative written permission to be named. If we have not included an Acknowl­
consequences of AI and modern technologies. The hospitality sector edgements, then that indicates that we have not received substantial
should understand that redundant and lower-skilled jobs are at greater contributions from non-authors.
threat from AI and robots. To keep the employees on track with modern
trends of hospitality and to establish a positive attitude towards AI, the References
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