Abstract

This study examines the effect of challenging work-related psychological contracts (PCs) on subsequent employee outcomes in the unique context of internships prior to formal organizational entry. We administered online surveys to 196 college students participating in summer internships, with data collected both pre and post internship completion. Our results show that employer fulfillment of challenging work was positively associated with organizational attractiveness, as mediated by intern skill development. In taking into account the potential moderating role of person-organization (P-O) fit, we further found differential effects for those with high and low P-O fit, such that high-challenge work environments ameliorated the effect of low P-O fit on organizational attraction. These results highlight the instrumental benefits of PC fulfillment in driving potential employees’ attraction towards the organization.

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