Digitalization of Indonesian SOEs and Employee Mental Health: Mitigating Digital Anxiety in Finance Functions

<ns3:p>This study investigates factors that mitigate digital anxiety, focusing on organizational climate (digital training, role clarity, teamwork, transformational leadership), regulatory support, and information and communication technology (ICT) skills. Grounded in the Technology-Organization-Environment framework, this research provides a novel contribution by exploring these relationships in the context of state-owned enterprises (SOEs) in Indonesia. Data were collected through a survey targeting finance department employees in SOEs who utilize digital technology in their daily tasks. A total of 270 valid responses were analyzed using SmartPLS. The findings reveal that organizational climate variables along with regulatory support, significantly reduce digital anxiety. Moreover, ICT skills enhance the negative impact of digital training and teamwork on digital anxiety. However, the moderating role of ICT skills in strengthening the effects of role clarity and transformational leadership on digital anxiety was not supported. The practical implications of this study are significant for SOE management. To foster a supportive organizational climate, managers should ensure clearly defined roles through detailed job descriptions and encourage collaborative teamwork. Such measures can help employees address challenges collectively, thereby alleviating digital anxiety. These insights contribute to both academic literature on workplace digital transformation and managerial strategies for employee well-being.</ns3:p>