This study investigates the relationship between job insecurity and insomnia among frontline hotel employees in Pakistan, focusing on psychological distress as a mediating variable and financial stress as a moderating factor. Using data from 292 full-time employees, the research applied confirmatory factor analysis and the SPSS PROCESS macro to test the hypotheses with 5,000 bootstrap samples.

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The findings reveal that job insecurity correlates positively with insomnia and psychological distress. Psychological distress serves as a partial mediator in the link between job insecurity and insomnia, indicating that feelings of employment uncertainty contribute to sleep issues partly through increased emotional strain. Additionally, financial stress enhances the positive relationship between job insecurity and psychological distress, suggesting that financial concerns intensify the effects of job insecurity.

These insights deepen the understanding of how job-related uncertainties and emotional stresses impact sleep and overall well-being in the hospitality sector, which is characterized by unique challenges such as irregular work hours and high emotional demands.

Job insecurity has become increasingly prevalent due to economic instability, technological advancements, and organizational changes. It poses both economic and psychological threats, affecting employees' sense of stability and potentially disrupting their recovery outside work.

Research indicates that sleep disturbances, including insomnia, are significant public health concerns, with about 16.2% of adults worldwide affected. This study highlights the urgency of examining these issues within specific occupational contexts like hotels, where employees are particularly vulnerable to stressors.

Participants were frontline employees from five four- and five-star hotels across major Pakistani cities. Data collection involved distributing questionnaires during shift changes to ensure accessibility while maintaining privacy, resulting in an 88% response rate.

The study's implications for hotel organizations include the need for improved communication regarding job security and the provision of psychological support and resources to mitigate anxiety associated with job uncertainty.

In summary, the research emphasizes the significance of addressing psychological and financial factors to enhance employee well-being and reduce the adverse effects of job insecurity on sleep in hospitality settings.