Talent Management and Employee Outcomes: A Psychological Contract Fulfilment Perspective

Abstract

This study examines a salient mechanism ─ psychological-contract (PC) fulfilment through which talent management (TM) practices might affect talented employees’ outcomes. Using two samples from parastatal (n = 232) and banking (n = 145) institutions in Ghana, a partial mediation model was outlined and tested using structural equation modelling. In both samples, the findings showed that TM practices had positive relationship with PC fulfilment, affective commitment and organisational citizenship behaviour (OCB). Similarly, the findings showed that TM practices not only had a direct positive effect, but also an indirect effect on talented employee outcomes via PC fulfilment in both parastatal and banking institutions. The findings further suggest that, even though the results are similar, the relationships are stronger in sample two and that banking sector employees perceived more TM practices, PC fulfilment, are more committed and engage in more OCB than parastatal sector employees. The findings have important theoretical, policy and managerial implications.