Managing the career deal: the psychological contract as a framework for understanding career management,organizational commitment and work behavior

This paper reports the findings of a study that investigated the relationship between different kinds of career management activities, the psychological contract, and outcomes of psychological contract fulfillment. The study tested a series of linked hypotheses which propose that individual career management behavior is associated with the experience of organizational career management help, which is related to fulfillment of the psychological contract. Fulfillment of the psychological contract in turn is linked to organizational commitment and is associated with behaviors at work, including absenteeism, turnover, and independent ratings of job performance. The findings provide some support for these proposed links. As a result, the paper makes four contributions to the psychological contract and careers literature: first, it shows that both individual and organizational career management behaviors are linked to psychological contract fulfillment; second, organizational career management help is associated with affective commitment and job performance; third, psychological contract fulfillment plays a key role in mediating the relationship between career management help and such attitudes and behaviors; and fourth, organizational commitment may mediate between psychological contract fulfillment and individual career management behavior aimed at furthering the career outside the organization. Copyright © 2005 John Wiley & Sons, Ltd.     

The supervisor POS–LMX–subordinate POS chain: Moderation by reciprocation wariness and supervisor's organizational embodiment

We present three studies providing an increased understanding of the interdependence between perceived organizational support (POS) and leader–member exchange (LMX). Using employees from a social service agency and new hires from a variety of organizations, we report evidence for a relational chain leading from supervisors' perceptions of support by the organization (supervisor POS) to the formation of high‐quality LMX relationships with their subordinates (first link), who interpret high‐quality LMX as support from the organization (subordinate POS, second link) and, ultimately, repay the organization with increased dedication and effort (examined here in terms of reduced withdrawal behavior). The relationship between supervisor POS and LMX with subordinates was strongly moderated by supervisor fear of exploitation in exchange relationships (reciprocation wariness), holding only for supervisors with low reciprocation wariness. Consistent with the view that employees perceive the organization as partly responsible for treatment received from supervisors, LMX was found to be more strongly related to POS when employees highly identified their supervisors with the organization (supervisor's organizational embodiment), and this interaction extended to reduced withdrawal behavior. Copyright © 2013 John Wiley & Sons, Ltd.     

Managing employee perceptions of the psychological contract over time: the role of employer social accounts and contract fulfillment

This study proposed and tested relationships pertaining to employee perceptions of psychological contract type over time. Using a longitudinal design, we examined the mediated role that adequacy of social accounts and psychological contract fulfillment play in determining the development of contract perceptions. More specifically, our model posits that perceptions of contract type will influence employee perceptions of the adequacy of social accounts that are offered by the organization and its agents to explain job‐related decisions. These initial perceptions of social accounts at Time 1 were expected to impact perceptions of psychological contract fulfillment at Time 2 (6 months later) and psychological contract fulfillment was proposed to be positively associated with perceptions of a relational psychological contract. Results support the mediating roles of social accounts and psychological contract fulfillment in determining perceptions of contract type over time. Practical implications of these findings and directions for future research are discussed. Copyright © 2006 John Wiley & Sons, Ltd.     

A multi‐level investigation of psychological contract breach and organizational identification through the lens of perceived organizational membership: Testing a moderated–mediated model

Drawing on the perceived organizational membership theoretical framework and the social identity view of dissonance theory, I examined in this study the dynamics of the relationship between psychological contract breach and organizational identification. I included group‐level transformational and transactional leadership as well as procedural justice in the hypothesized model as key antecedents for organizational membership processes. I further explored the mediating role of psychological contract breach in the relationship between leadership, procedural justice climate, and organizational identification and proposed separateness–connectedness self‐schema as an important moderator of the above mediated relationship. Hierarchical linear modeling results from a sample of 864 employees from 162 work units in 10 Greek organizations indicated that employees' perception of psychological contract breach negatively affected their organizational identification. I also found psychological contract breach to mediate the impact of transformational and transactional leadership on organizational identification. Results further provided support for moderated mediation and showed that the indirect effects of transformational and transactional leadership on identification through psychological contract breach were stronger for employees with a low connectedness self‐schema. Copyright © 2012 John Wiley & Sons, Ltd.     

The development of psychological contract breach and violation: a longitudinal study

This study examines factors affecting employees' perceptions that their psychological contract has been breached by their organization, and factors affecting whether this perception will cause employees to experience feelings of contract violation. Data were obtained from 147 managers just prior to their beginning of new job (time 1) and 18 months later (time 2). It was found that perceived contract breach at time 2 was more likely when organizational performance and self‐reported employee performance were low, the employee had not experienced a formal socialization process, the employee had little interaction with organizational agents prior to hire, the employee had a history of psychological contract breach with former employers, and the employee had many employment alternatives at the time of hire. Furthermore, perceived breach was associated with more intense feelings of violation when employees both attributed the breach to purposeful reneging by the employer and felt unfairly treated in the process. Theoretical and practical implications of these results are discussed. Copyright © 2000 John Wiley & Sons, Ltd.     

A new look at the psychological contract during organizational socialization: The role of newcomers' obligations at entry

Previous studies have demonstrated that the psychological contract is largely shaped during socialization. This study adopts a complementary perspective and analyzes how the psychological contract at the start of employment shapes the subsequent socialization process. Drawing upon social exchange theory, we propose that newcomers with a higher sense of their personal obligations at entry will perceive orientation training as more useful and develop better relationships with their supervisors and peers, which in turn will facilitate their work adjustment. Results of a longitudinal survey on a sample of 144 recruits from a European Army show that newcomers with a higher initial sense of their employee obligations toward their employer report higher perceived training utility, higher leader–member exchange (LMX) with their instructors, and higher team–member exchange (TMX) with their platoon peers. Moreover, perceived training utility and LMX predict the fulfillment of employers' obligations; and training utility predicts the level of newcomers' employee obligations. Finally, training utility, LMX, and TMX predict some of three indicators of newcomers' adjustment, namely, role clarity (training utility and LMX), group integration (TMX), and organizational values understanding (training utility). These results highlight how newcomers' obligations at the start of employment contribute to the social exchange dynamic underlying organizational socialization. Copyright © 2015 John Wiley & Sons, Ltd.     

How work ideologies shape the psychological contracts of professional employees: doctors' responses to perceived breach

This study suggests that the psychological contract between a professional and his/her employing organization is shaped by both professional and administrative work ideologies and therefore involves both professional and administrative roles and perceived role obligations. It is also suggested that because of important differences between these two ideologies, a professional employee's response to perceptions that his/her organization is not fulfilling its role obligations will depend on whether the perceived breach involves professional or administrative obligations. Hypotheses based on this general proposition were strongly supported in a sample of medical professionals. Specifically, results suggest that perceived breaches of administrative role obligations are most strongly associated with dissatisfaction, thoughts of quitting, and turnover whereas perceived breaches of professional role obligations are most strongly associated with lower organizational commitment and job performance (productivity and client satisfaction). Implications for theory and research on the dimensionality of the psychological employment contract and on the employment of professionals are considered. Copyright © 2001 John Wiley & Sons, Ltd.     

A psychological contract perspective on organizational citizenship behavior

This study examined the contribution of the psychological contract framework to understanding organizational citizenship behavior (OCB) using survey data gathered at three measurement points over a three‐year period from 480 public sector employees. Separating perceived contract breach into its two components (perceived employer obligations and inducements), the data suggest that perceived employer obligations explained unique variance in three dimensions of citizenship behavior (helping, advocacy and functional participation) beyond that accounted for by perceived employer inducements. Employees' acceptance of the norm of reciprocity moderated the relationship between employer inducements and the dimensions of advocacy and functional participation. Employees' trust in their employer moderated the relationship between perceived employer obligations and the dimensions of advocacy and functional participation. Contrary to the hypothesis, procedural or interactional justice did not moderate the relationship between employer inducements and OCB. The implications of the findings for psychological contract research are discussed. Copyright © 2002 John Wiley & Sons, Ltd.     

Antecedents and consequences of relational components of the new psychological contract

The literature regarding the new psychological contract suggests that the traditional paternalistic employer–employee relationship in U.S. companies has eroded. We investigated the relationship between relational components of the new psychological contract (personal responsibility for career development, commitment to type of work, and expectations of job insecurity), work experiences (involuntary job loss, organizational change, voluntary job change, and violation of obligations), and work outcomes (job satisfaction, participation in development activities, and intention to remain with the employer). We hypothesized that managerial and professional employees' level of agreement with relational components of the new psychological contract would mediate the relationship between their work experiences and work outcomes. In partial support of the model, we found that level of agreement with relational components of the new psychological contract mediated the relationship between work experiences and intention to remain with the employer and job satisfaction. Contrary to the model, no relationship was found among work experiences, level of agreement with relational components of the new psychological contract, and participation in development activities. Copyright © 1999 John Wiley & Sons, Ltd.     

Organizations and supervisors as sources of support and targets of commitment: a longitudinal study

The main objective of this study was to examine the relationship between perceived support and affective commitment, and the linkages between these constructs and some of their common antecedents and consequences. More precisely, using a sample of 238 employees, we conducted a longitudinal study to examine the linkages between the favorableness of intrinsically and extrinsically satisfying job conditions, perceived organizational support, perceived supervisor support, affective commitment to the organization and supervisor, and turnover. Affective commitment to the supervisor was found to completely mediate the effect of perceived supervisor support on turnover, whereas neither perceived organizational support nor organizational affective commitment were significantly related to turnover. Perceived organizational support partially mediated the effect of favorable intrinsically satisfying job conditions on organizational affective commitment and fully mediated the effect of extrinsically satisfying job conditions on organizational affective commitment. Finally, perceived supervisor support totally mediated the effect of favorable intrinsically satisfying job conditions on affective commitment to the supervisor. As a whole, findings suggest that exchange relationships between employees and their supervisors should be further investigated in future turnover research. Copyright © 2003 John Wiley & Sons, Ltd.     

Some psychological consequences of striking: A six month,longitudinal study

The literature available on organizational psychology has largely neglected the issue of industrial conflict, and little is known about individual psychological effects of industrial conflict such as labour disputes and strikes. Psychological consequences of involvement in a strike were assessed in this research. Data were collected from 117 full-time, white collar union members immediately following a 22 day strike, and again two and six months later. Negatively perceived industrial relations events (e.g. 'strike or lockout', 'being involved in negotiations') were associated with marital adjustment, psychosomatic symptoms and a lack of psychological well-being on completion of the strike, and predicted unfavourable changes in psychological well-being over the next two and six months. A framework for understanding the negative effects of labour disputes and strikes is proposed, and the role of the organizational psychologist when such conflicts occur is considered.     

When the type of move matters: employee outcomes under various relocation situations

The type of job change associated with relocation and the type of relocation decision were examined as predictors of post‐move attitudes and intentions. Employees who relocated for a lateral or downward job change reported lower perceived organizational support and higher turnover intentions than those who relocated for a promotion. Further, those taking downward moves or moving involuntarily had lower perceptions of support and higher intentions to quit than lateral relocators and voluntary relocators, respectively. Copyright © 2000 John Wiley & Sons, Ltd.     

Perceived organizational support and embeddedness as key mechanisms connecting socialization tactics to commitment and turnover among new employees

Retention of new hires is a critical issue for organizations. We propose that relationships are important mechanisms through which socialization tactics influence commitment and turnover. The key theoretical mechanisms connecting socialization tactics to turnover in our model are the extent to which newcomers perceive their relationship with the organization as supportive, caring, and entailing positive social exchanges and the extent to which newcomers become embedded within the organization. We collected longitudinal data from over 500 employees over the first year of employment. Consistent with our hypotheses, socialization tactics influence perceived organizational support (POS) and job embeddedness, and POS and embeddedness both relate to organizational commitment and voluntary turnover. Results support POS and embeddedness as relational mechanisms that bind employees to the organization as a result of socialization tactics. Copyright © 2012 John Wiley & Sons, Ltd.     

Emotion as mediators of the relations between perceived supervisor support and psychological hardiness on employee cynicism

In this study we explore whether emotion experienced at work mediates the relationships between perceived supervisor support, psychological hardiness, and employee cynicism. Data were collected from employees working at a medical technology company located in Switzerland. Mediational analyses showed that employees' positive and negative emotions experienced amidst an organizational crisis fully accounted for the relations between perceived supervisor support and cynicism and psychological hardiness and cynicism. Practical implications and directions for future research are discussed. Copyright © 2006 John Wiley & Sons, Ltd.     

The more I want,the less I have left to give: The moderating role of psychological entitlement on the relationship between psychological contract violation,depressive mood states,and citizenship behavior

Research has emphasized the negative effects of organizations' broken promises and failed obligations on employee attitudes and behaviors. However, not all employees respond in the same manner. This paper integrates research on psychological contracts and psychological entitlement to examine how individuals with exceedingly high demands and expectations react to a perceived letdown by the organization. Drawing on conservation of resources theory, we argue that a psychological contract violation is associated with employee depressive mood states, which, in turn, influence the amount of citizenship behavior displayed. We further posit that psychological entitlement moderates the link between contract violation and depressive mood states. Using Hayes' PROCESS macro to assess a moderated mediation model, findings from a multi‐source field study support our predictions. This research contributes to the work on psychological contracts and psychological entitlement on multiple fronts. Suggestions for future research and practical implications for managers are discussed. Copyright © 2016 John Wiley & Sons, Ltd.     

The effects of perceived organizational support and perceived supervisor support on employee turnover

This study examines mediated effects of perceived supervisor support (PSS) and perceived organizational support (POS) on turnover cognitions, and their interactive effects on turnover behavior in a sample of 225 social services workers. In this study, we address a seeming contradiction in current findings regarding support and attachments to managers versus attachments to the organization itself. The POS literature suggests fully mediated causal paths to turnover from POS and PSS, through affective commitment. Whereas, the commitment, LMX, and turnover literatures suggest alternative causal paths that imply broader effects for POS and PSS on turnover. Contrary to earlier POS literature, findings showed that PSS had independent effects on turnover cognitions not mediated through POS. Model tests also indicated that POS had significant effects on turnover mediated through normative commitment, as well as affective organizational commitment. Moreover, a new significant interactive relationship was discovered such that low PSS strengthened the negative relationship between POS and turnover, while high PSS weakened it. Implications for research and practice are discussed. Copyright © 2007 John Wiley & Sons, Ltd.     

Outcomes associated with breach and fulfillment of the psychological contract of safety

IntroductionThe study investigated the outcomes associated with breach and fulfillment of the psychological contract of safety.MethodThe psychological contract of safety is defined as the beliefs of individuals about reciprocal employer and employee safety obligations inferred from implicit or explicit promises. When employees perceive that safety obligations promised by the employer have not been met, a breach of the psychological contract occurs, termed employer breach of obligations. The extent to which employees fulfill their safety obligations to the employer is termed employee fulfillment of obligations. Structural equation modeling was used to test a model of safety that investigated the positive and negative outcomes associated with breach and fulfillment of the psychological contract of safety. Participants were 424 health care workers recruited from two hospitals in the State of Victoria, Australia.ResultsFollowing slight modification of the hypothesized model, a good fitting model resulted. Being injured in the workplace was found to lower perceptions of trust in the employer and increase perceptions of employer breach of safety obligations. Trust in the employer significantly influenced perceived employer breach of safety obligations such that lowered trust resulted in higher perceptions of breach. Perceptions of employer breach significantly impacted employee fulfillment of safety obligations with high perceptions of breach resulting in low employee fulfillment of obligations. Trust and perceptions of breach significantly influenced safety attitudes, but not safety behavior. Fulfillment of employee safety obligations significantly impacted safety behavior, but not safety attitudes. Implications of these findings for safety and psychological contract research are explored. A positive emphasis on social exchange relationships in organizations will have positive outcomes for safety climate and safety behavior.     

An extension of Lee and Mitchell's unfolding model of voluntary turnover

Lee and Mitchell ( 1994 ) proposed a decision process‐based voluntary turnover model, which identifies the psychological processes involved in the decision to quit a job. The current study tests and extends the Lee and Mitchell's ( 1994 ) unfolding model of voluntary turnover using a sample of voluntary ‘quitters’ and ‘stayers’. Survey and interview results from 84 practicing accountants suggest that the Lee and Mitchell's ( 1994 ) model does an excellent job of capturing employee decision process‐data in an accounting environment. Additional extension hypotheses pertaining to economic consequences and gender differences are also proposed and subsequently supported. Copyright © 2006 John Wiley & Sons, Ltd.     

Sleeping with a broken promise: The moderating role of generativity concerns in the relationship between psychological contract breach and insomnia among older workers

This paper examines the relationship between psychological contract breach and insomnia among older workers (aged 40 years and up). Drawing upon the conservation of resources theory, we conceptualize breach as a stressful event characterized by a perceived threat, failure to gain, or actual loss of valued resources, which increases psychological distress and insomnia. Moreover, we hypothesized that older workers' generativity concerns would act as a personal resource that would buffer the negative impact of breach. We tested our proposed model in 2 studies (Study 1 = 123; Study 2 = 168) of employee–spouse dyads. Results revealed that psychological distress mediated the relationship between psychological contract breach and insomnia. These mediated relationships were significant for those with low, but not for those with high levels of generativity concerns. These effects remained significant even after controlling for perceived organizational support (i.e., a social exchange mechanism). Theoretical and practical implications are discussed.     

Reactions to psychological contract breach: a dual perspective

This study examined reactions to psychological contract breach from two separate perspectives, that is, employee's reactions to perceptions of employer breach and supervisor's reactions to perceptions of employee breach of the psychological contract. In addition to the main effects, we also hypothesized that the benevolence (or kindness) of the supervisor and the traditional values (or respect for authority) of the employee would attenuate the negative effects of psychological contract breach. We tested these hypotheses with a sample of 273 supervisor‐subordinate dyads from the People's Republic of China. The results showed that employer breach correlated negatively with employee outcomes of organizational commitment (OC), organizational citizenship behavior (OCB), and work performance, but this negative relationship was weaker for employees with traditional values. The results also demonstrated that employee breach correlated negatively with responses from the supervisor, in terms of the mentoring provided to the employee and the leader‐member exchange (LMX) quality. However, more benevolent supervisors reacted less negatively in terms of the mentoring than did the less benevolent supervisors. Implications for future research are offered. Copyright © 2007 John Wiley & Sons, Ltd.