Not seeing eye to eye: differences in supervisor and subordinate perceptions of and attributions for psychological contract breach

This study examines supervisor and subordinate perceptions of and attributions for psychological contract breach. The data suggest that supervisor and subordinate perceptions are most likely to differ on the extent to which the organization violated its obligations to provide fair pay, advancement opportunities, and a good employment relationship. In addition, the results indicate that the greater the degree of psychological contract breach reported by subordinates, the less committed they are to the organization and the lower their job performance (as rated by their supervisor). Moreover, when psychological contract breach is perceived, supervisors' and subordinates' attributions regarding the reasons for the breach are likely to differ. Specifically, the findings suggest that subordinates are more likely to attribute breach to the organization's intentional disregard for the commitments that it had made to the employee, while supervisors are more inclined to attribute breach to situations beyond the organization's direct control. Copyright © 2001 John Wiley & Sons, Ltd.     

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.     

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.     

The application of the psychological contract to workplace safety

INTRODUCTION: Psychological contracts of safety are conceptualized as the beliefs of individuals about reciprocal safety obligations inferred from implicit or explicit promises. Although the literature on psychological contracts is growing, the existence of psychological contracts in relation to safety has not been established. The research sought to identify psychological contracts in the conversations of employees about safety, by demonstrating reciprocity in relation to employer and employee safety obligations. The identified safety obligations were used to develop a measure of psychological contracts of safety. METHOD: The participants were 131 employees attending safety training sessions in retail and manufacturing organizations. Non-participant observation was used to collect the data during safety training sessions. Content analysis was used to analyze the data. Categories for coding were established through identification of language markers that demonstrated contingencies or other implied obligations. RESULTS: Direct evidence of reciprocity between employer safety obligations and employee safety obligations was found in statements from the participants demonstrating psychological contracts. A comprehensive list of perceived employer and employee safety obligations was compiled and developed into a measure of psychological contracts of safety. A small sample of 33 safety personnel was used to validate the safety obligations. CONCLUSIONS AND IMPACT ON INDUSTRY: Implications of these findings for safety and psychological contract research are discussed.     

Age,work experience,and the psychological contract

The purpose of the current paper is to examine the ways in which age and work experience shape how individuals experience psychological contract breaches. We first introduce the concepts of contract malleability (the degree to which individuals can tolerate deviations from contract expectations) and contract replicability (the degree to which individuals believe that their psychological contracts can be replicated elsewhere). Next, we discuss the variety of reasons why contract malleability and replicability become greater with age and work experience and how contract malleability and replicability may temper negative reactions to psychological contract breaches. We also address the different ways contract malleability and replicability mediate the relationships between age and work experience, on one hand, and exit, voice, loyalty, and neglect behaviors on the other. We consider the moderating effects of age similarity and dissimilarity here as well. The paper concludes with a discussion of the implications for future research designs and for managing older and more experienced workers. Copyright © 2009 John Wiley & Sons, Ltd.     

Reciprocation wary employees discount psychological contract fulfillment

The present study examined the moderating role of reciprocation wariness in the association of employees' psychological contract fulfillment with psychosomatic strain and voluntary turnover, as mediated by perceived organizational support. To study these relationships longitudinally, 169 graduating college seniors were surveyed upon job acceptance and again 3 weeks, 3 months, 6 months, and 18 months following the start of employment. The findings showed that psychological contract fulfillment was positively related to perceived organizational support. However, this positive relationship was eliminated by reciprocation wariness, and this influence was carried over to psychosomatic strain and voluntary turnover. Thus, it appears that reciprocation wariness leads employees to discount psychological contract fulfillment as an indication of the organization's valuation and caring. Copyright © 2015 John Wiley & Sons, Ltd.     

A process perspective on psychological contract change: Making sense of,and repairing,psychological contract breach and violation through employee coping actions

Psychological contracts are dynamic, but few studies explore the processes driving change and how employees influence them. By adopting a process approach with a teleological change lens, and drawing upon the sensemaking and coping literatures, this study positions individuals as active and adaptive agents driving contract change. Employing a mixed methodology, with a four‐wave longitudinal survey (n = 107 graduate newcomers) and qualitative interviews (n = 26 graduate newcomers), the study focuses on unfolding events and develops an “adaptive remediation” process model aimed at unraveling contract dynamics. The model demonstrates how breach or violation events trigger sensemaking, resulting in initially negative employee reactions and a “withdrawal” of perceived contributions, before individuals exercise their agency and enact coping strategies to make sense of, and adapt and respond to, these discrepancies. A process of contract “repair” could then occur if the coping actions (termed “remediation effects”) were effective, with individuals returning to positive exchange perceptions. These actions either directly addressed the breach and repaired both it and the psychological contract (termed “remedies”) or involved cognitive reappraisal of the broader work environment and repaired the contract but not the breach (termed “buffers”). The results highlight the unfolding, processual nature of psychological contracting. Copyright © 2015 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.     

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.     

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.     

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.     

The development and validation of a psychological contract of safety scale

Introduction

This paper builds on previous research by the author and describes the development and validation of a new measure of the psychological contract of safety. The psychological contract of safety is defined as the beliefs of individuals about reciprocal safety obligations inferred from implicit and explicit promises.

Method

A psychological contract is established when an individual believes that perceived employer and employee safety obligations are contingent on each other. A pilot test of the measure is first undertaken with participants from three different occupations: nurses, construction workers, and meat processing workers (N = 99). Item analysis is used to refine the measure and provide initial validation of the scale. A larger validation study is then conducted with a participant sample of health care workers (N = 424) to further refine the measure and to determine the psychometric properties of the scale.

Results

Item and correlational analyses produced the final employer and employee obligations scales, consisting of 21 and 17 items, respectively. Factor analyses identified two underlying dimensions in each scale comparable to that previously established in the organizational literature. These transactional and relational-type obligations provided construct validity of the scale. Internal consistency ratings using Cronbach's alpha found the components of the psychological contract of safety measure to be reliable.

Impact on Industry

The refined and validated psychological contract of safety measure will allow investigation of the positive and negative outcomes associated with fulfilment and breach of the psychological contract of safety in future research.     

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.     

Re‐examining the effects of psychological contract violations: unmet expectations and job dissatisfaction as mediators

This research examines whether the relationships between psychological contract violations and three types of employee behavior (intention to quit, neglect of in‐role job duties, and organizational citizenship behaviors) are mediated by unmet expectations and job dissatisfaction. Using a sample of over 800 managers from a wide variety of research sites, this study tests for mediator effects using both hierarchical regression analyses and structural equation modelling. The results suggest that unmet expectations and job dissatisfaction do partially mediate such relationships. Copyright © 2000 John Wiley & Sons, Ltd.     

The psychological contract and the transition from full to part‐time police work

The cognitive‐perceptual conceptualisation of the psychological contract has dominated research in this field. In this paper, it is argued that locating the psychological contract at the level of the individual‐organisational relationship can offer rich insights into psychological contract dynamics. Using qualitative interview data from a research study exploring how managers and part‐timers deal with the transition from full to part‐time police work in the UK, it is argued that a multi‐perspective conceptualisation of the sources of the psychological contract is critical for understanding processes that lead to non‐mutuality of understandings. Specifically, it is argued that the institutional and organisational context, embedded in the actions of third parties and in management practices, can undermine the extent to which the manager and the employee can reach agreement about mutual obligations. The theoretical and policy implications of this position are developed. Copyright © 2006 John Wiley & Sons, Ltd.     

Not if,but when we need resilience in the workplace

Workplace resilience is a necessity for organizations and employees given it assists them in overcoming adversity and ultimately succeeding. However, organizational scholars have largely overlooked this construct. In this Incubator, we briefly summarize extant research on workplace resilience to highlight opportunities for theory building and advancement of empirical research. Copyright © 2015 John Wiley & Sons, Ltd.     

Using a psychological contract of safety to predict safety climate on construction sites

Introduction: The fact that safety climate impacts safety behavior and delivers better safety outcomes is well established in construction. However, the way workers safety perception is inclined and developed is still unclear. Method: In this research, the influence of supervisors' developing safety climate and its impact on workers' safety behavior and their conceptualization of safety is explored through the lens of the ‘Psychological Contract’ (PC). More specifically, it is argued that ‘Psychological Contract of Safety’ (PCS) is a vital factor in explaining how workers attach meaning to a supervisor behavior. Extant research suggests: (a) safety climate is based on the perception of workers regarding safety; and (b) PCS is based on perceived mutual obligations between workers and supervisors. As a result, this research argues that if PCS or mutual obligations between workers and supervisors are fulfilled, then safety climate of the workers will be positively influenced. A model is presented depicting PCS as an alternative intervention in understanding how safety climate could be influenced and predicted by the level of fulfillment of mutual safety obligations. Using Structural Equation Modeling (SEM) the model of the PCS is validated with data collected from a mega-construction project in Australia. Results: The results suggest that to have a positive and strong safety climate, top-level managers must ensure that mutual safety obligations between supervisor and workers are fulfilled. This enables the PCS to be introduced as a new ‘predictor’ of safety climate. Practical applications: The novel outcome of the research could be considered as a management intervention to modify supervisors' behavior to produce better safety outcomes.     

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.     

A daily diary study of affective responses to psychological contract breach and exceeded promises

The psychological contract has been viewed as an explanatory framework for understanding the employment relationship, and is regarded by some researchers as central in understanding employee attitudes and behavior. Despite the importance ascribed to the psychological contract, it remains theoretically underdeveloped and has received limited empirical attention. This study takes a new approach to researching the psychological contract, through the use of daily diaries, and addresses a number of fundamental questions regarding its nature. Results show that both broken and exceeded promises occur regularly and in relation to virtually any aspect of work, that the importance of the promise contributes significantly to emotional reactions following broken and exceeded promises, and that the psychological contract is an important concept for understanding everyday fluctuations in emotion and daily mood. Copyright © 2002 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.