<![CDATA[The AI-driven digital transformation demands Generation Z to possess workforce readiness that relies not only on technical competencies but also on psychological readiness in facing new technologies. This study aims to analyze the effect of Digital Reskilling, Digital Upskilling, and AI Readiness on Workforce Readiness, as well as to examine the role of AI Anxiety as a moderating variable that strengthens or weakens the effect of AI Readiness on Workforce Readiness. This study employs an explanatory quantitative approach. Data were collected from 132 Generation Z respondents in Indonesia through questionnaires using a 5-point Likert scale and analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS software. The results show that Digital Reskilling (β = 0.345; p = 0.000), Digital Upskilling (β = 0.357; p = 0.000), and AI Readiness (β = 0.448; p = 0.000) each have a positive and significant effect on Workforce Readiness, with the model explaining 61.0% of the variance in Workforce Readiness (R² = 0.610). AI Anxiety significantly moderates the effect of AI Readiness on Workforce Readiness (β = 0.366; p = 0.000); interestingly, the direction of moderation strengthens, rather than weakens, the effect of AI Readiness on Workforce Readiness. These findings contribute theoretically to the integration of Human Capital Theory and Transactional Theory of Stress and Coping, as well as provide practical implications for universities, training institutions, and companies in designing reskilling and upskilling programs that consider the psychological aspects of Generation Z toward AI. This study contributes theoretically by disentangling digital reskilling and digital upskilling as two distinct constructs and by positioning AI anxiety as a moderating variable, rather than merely a predictor or mediator, in explaining Generation Z's workforce readiness in the AI era.]]>
