Abstract: This research aims to study the causal factors influencing teachers’ anxiety on transferring the schools to the local government authorities. Three thousond and five hundred school teachers under the office of education commission region in 19 provinces of the Northeastern region, Thailand was sampled by multi- stage random sampling techniques. The model consisted of four external latent variables: self-confidence, social participatory, attitudes towards local government authority and Internal working relationship. The internal latent variable was the anxiety on transferring the schools to the local government authority. The instruments used for collecting data were: a test on self-confidence, a test on social participatory, a test on attitude towards local government authority and a test on the anxiety on transferring the schools to the local government authority. The data were analyzed by descriptive statistics and validity test of the causal relationship model, a test on internal working relationship. Results indicated that the model fit the empirical data. Goodness of fit measures included chi-square (χ²) value = 300.89 at degree of freedom = 263, probability = 0.053, Goodness of Fit Index (GFI) = 0.99, Adjusted Goodness of Fit Index = 0.98, Standardized Root Mean Square Residual (SRMR) = 0.01 and Root Mean Square Error of Approximation (RMSEA) = 0.00. The variables in the model were found to account for 72% of the dependent variable’ s cvariance. All variables were statistically significant, having a direct effect on transfer the schools to the local government organization.