Abstract
This paper reports a quantitative study of psychological contract between employees and employers in the telecommunications industry in Hong Kong, and the relationships between the psychological contract, work behaviour and turnover intention. Previous research in the telecommunications industry in Hong Kong has focused mainly on consumer protection and telecommunications market competition, and research has seldom been done on the human resources issues in this industry. This research investigates the informal relationship between employees and employers in the telecommunications industry in Hong Kong. A quantitative research methodology was used in this research by surveying employees. A total of 227 valid responses were received, and the data was analysed by Partial Least Squares Structural Equation Modelling (PLS-SEM). The results found that the psychological contract has a significant relationship with work behaviour and turnover intention. The psychological contract is a better means of explaining turnover intention than work behaviour. Business managers can leverage this finding to develop better plans and approaches to deal with work behaviour and turnover intention issues. The outcomes also provide empirical evidence to validate the psychological contract inventory developed by Rousseau [1]. This research contributes to the development of human resource theory and practice.
Highlights
The deregulation of telecommun ications services inHong Kong creates business opportunities for companies and provides substantial career development opportunities for emp loyees
Principal co mponents analysis (PCA) and Pearson Correlations were used in exp loratory factor analysis (EFA)
The study found that the psychological contract between emp loyers and employees has a significant impact on work behaviour and turnover intention
Summary
The deregulation of telecommun ications services in. Hong Kong creates business opportunities for companies and provides substantial career development opportunities for emp loyees. The business growth of teleco mmunications services has established a strong workforce in this industry. Based on the statistical informat ion fro m the Office of Teleco mmunications Authority of Hong Kong (OFTA) [2], the total number of teleco mmunicat ions full-time staff has fluctuated between 15,862 and 26,042 in the past decade in a declining trend. Staff turnover has been a co mmon issue encountered by telecommun ications service providers in Hong Kong. There has been little research on human resources issues in the industry, and previous research has focused main ly on consumer protection and telecommun ications market co mpetition. It is essential to investigate the relationship between the emp loyer and emp loyee and how it is affecting work behaviour and turnover intention
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