Digital Transformation, Work Demands, and Public Service Motivation

Evidence from Indonesia’s Tax Authority

Abstract

Digital transformation (DT) in the public sector reshapes work processes, employee experiences, and motivational outcomes, yet empirical evidence remains limited regarding how DT-related job demands and resources influence public service motivation (PSM). Drawing on the Job Demands–Resources (JD–R) framework, this study examines how DT-related uncertainty reduction initiatives, excessive workload, perceived stress, perceived usefulness, and DT integration interact to affect PSM within Indonesia’s Directorate General of Taxes. Survey data from 210 employees were analyzed using partial least squares structural equation modeling (PLS-SEM). The results show that uncertainty reduction initiatives significantly reduce excessive workload and enhance perceived DT usefulness. Excessive workload significantly increases DT-related stress, while perceived stress has a significant negative effect on DT integration but does not significantly affect perceived DT usefulness. Perceived DT usefulness exerts a strong positive effect on DT integration, which in turn significantly enhances PSM. The proposed moderation effects of uncertainty reduction initiatives and excessive workload on key JD–R relationships are not supported. These findings indicate that uncertainty reduction in public-sector DT operates primarily through direct job resource effects rather than moderating mechanisms. Public organizations should prioritize uncertainty reduction practices, such as structured communication and workload coordination, to enhance perceived system usefulness, ‘DT integration, and PSM.