Contract Violation Research Articles

Moderating Effect of Psychological Contract Violations on Organizational Commitment and Retention Intention among Hospital Nurses

Moderating Effect of Psychological Contract Violations on Organizational Commitment and Retention Intention among Hospital Nurses

Optimal CC-2DOF(PI)-PDF controller for LFC of restructured multi-area power system with IES-based modified HVDC tie-line and electric vehicles

This article is introducing an optimal cascaded two-degree of freedom proportional-integral (2DOF(PI)) and proportional-derivative with filter (PDF) controller, i.e., CC-2DOF (PI)-PDF for load frequency control (LFC) mechanism. The designed controller increases the degree of freedom and rejects disturbances faster with fewer dynamics. Further, the application of an opposition-based volleyball premier league algorithm (OVPLA) has been explored to optimize the designed controller's parameters. The proposed LFC mechanism has been studied on a two-area thermal-hydro-gas restructured power system. The thermal system present in each area is equipped with generation rate constraints (GRC) for more realistic analysis. The performance of the suggested OVPLA optimized 2DOF(PI)-PDF controller has been verified over several classical controllers and algorithms separately for step and random load disturbances. Moreover, accurate modeling of the HVDC tie-line and inertia emulation strategy (IES) is discussed, and the power system’s inertia enhancement is verified. This article also highlights the ancillary services of electric vehicles (EVs) and distributed generations (DGs) to tackle any contract violation in the power system. Next, the proposed LFC mechanism's efficacy has been validated on extending a three-area power system. Finally, several case studies and comparative performance analysis with published literature demonstrate the effectiveness and efficiency of investigated LFC in handling any load disturbances.

When the past is strongly involved in the present: Examining the transference effects of past psychological contract violation on present deviance

Employees who experience psychological contract violation may quit the organization and join a new organization. However, how past psychological contract violation influences employees’ behavior in the new organization is less understood. Drawing on the social-cognitive model of transference, we hypothesize that past psychological contract violation is associated with lower psychological ownership and higher job insecurity in the new organization. These adverse transference effects can be buffered by institutionalized socialization tactics in the new organization. Furthermore, past psychological contract violation influences employees’ present deviant behaviors through psychological ownership and job insecurity in the new organization. These indirect effects are weaker when the new organization uses more (vs. less) institutionalized socialization tactics. The results across two field studies provide consistent and robust support for our hypothesized model. We discuss how our findings shed light on the transference effects of psychological contract violation and how to attenuate these harmful effects.

The effects of a psychological contract breach on customer-directed deviance

Based on conservation of resource theory, this study proposes that a psychological contract breach influences psychological contract violation and forgiveness, which in turn lead to customer-directed deviance. Moreover, this study investigates the moderating role of organizational ethical climate, which is influenced by ethical leadership, in these relationships. It also examines the moderating role of breach magnitude and breach attribution in the relationship between psychological contract breaches and violations, and analyzes the moderating role of organizational apology and the role of organizational compensation in the relationship between psychological contract breaches and forgiveness. Study 1 involved a multi-level structural equation modeling analysis using a matched sample consisting of data from 84 managers, 512 frontline employees, and 512 customers drawn from 84 travel agencies. Study 2 collected data from 176 manager-customer dyads. Hypothesis testing results indicate that most of hypotheses are supported.

How transformational leadership, psychological contract violation, empowerment and affective commitment influence employee’s intention to quit an organisation

Purpose: The first aim of this article is to assess the influence of transformational leadership and some selected psychological constructs on employee’s intention to quit an organisation. The second aim is to develop and validate a conceptual model that depicts the linear relationships amongst the constructs of this study (i.e. transformational leadership, psychological contract violation, psychological empowerment, affective commitment and intention to quit).Design/methodology/approach: The article employs correlational research method using quantitative research strategy. Structural equation modelling (SEM) was adopted in analysing data collected from 232 conveniently sampled respondents from various organisations in South Africa. The partial least square based SEM methodology was used to test the relationships amongst the various constructs of the study.Findings/results: Transformational leadership showed indirect influence on intention to quit through psychological contract violation, psychological empowerment and affective organisational commitment.Practical implications: The conceptual model of this study provides a useful psychological framework that guide organisations in the formulation and implementation of retention policies and practices. Further, it is imperative for organisations to encourage the adoption of transformational leadership at all levels of management. This is in consideration of the significant influences that this leadership behaviour exerts on individual employee’s intention to quit an organisation.Originality/value: An extensive search of instant literature did not produce evidence of an existing literature regarding the relationship between transformational leadership and psychological contract violation as we found in this article. This is a theoretical contribution to the field of organisation psychology. Furthermore, the article developed a unique and a empirically validated model that explained the direction and strength of relationships amongst selected antecedents of intention to quit. This practical contribution provides managers with both pragmatic insights and theoretical framework in formulating an effective retention strategy for their organisations.

The impact of perceived justice on behavioral intentions of Cantonese Yum Cha consumers: The mediation role of psychological contract violation

In this study, the relationship between perceived justice, psychological contract violations, and behavior intention was analyzed in the context of Cantonese Yum Cha service. Additionally, the moderating effect of the service failure severity and responsibility attribution was examined. The findings established the critical role of psychological contract violations in mediating the relationship between procedural justice and negative word of mouth, as well as the relationship between distributive justice and negative word of mouth. Simultaneously, the research findings confirm that the service failure severity and the responsibility attribution have a moderating effect on certain paths. When service failures are severe, the detrimental effect of interactional and procedural justice on psychological contract violations becomes more apparent. When consumers are more receptive to external attribution, interactional justice has a greater negative effect on psychological contract violations. This study also discusses the theoretical and managerial implications of the aforementioned research findings.

The Impact of Psychological Contract on Employees’ Loyalty of Private Higher Education Institutions: A Case Study of the Arab Academy for science, Technology, and Maritime Transport (AASTMT)

Purpose – The purpose of this paper is to examine the relationship between psychological contract, employee's loyalty and organizational trust. Moreover, the study clarified the moderating effect of organizational culture on the relationship between psychological contract and employee's loyalty. Finally, the study shows the mediating effect of organizational trust on the relationship between psychological contract and employee's loyalty. Design/methodology/approach – This study is based on questionnaire method distributed on employees working at a private education institution; which is Arab Academy for Science, Technology and Maritime Transport (AASTMT). Findings – Results based on a structural equation modeling for data analysis indicated that psychological contract has significant effect on both employee’s loyalty and organizational trust and there was a significant relationship between Organizational Trust and Employees Loyalty. Furthermore, the significant moderator role of organizational culture and organizational trust. Practical implications – The findings are important to enable decision makers to Studying this topic will lead to necessary understanding of the root cause of psychological contract violation in the Egyptian environment, enable organizations to build and maintain the necessary mutual trust with employees. As well as open, the research field to others to study the variables and other aspects that contribute to maintaining the success of the organizations and institutions operating in Egypt. Research limitations– The primary limitation of this study is the scope of its sample.

Workplace bullying and turnover intentions of nurses: the multi-theoretic perspective of underlying mechanisms in higher-order moderated-serial-mediation model

PurposeThis study examines the relationship between workplace bullying (WPB) and the turnover intentions (TIs) of nurses, both directly and indirectly, i.e. through serial mediation of psychological contract violation (PCV) and poor employee wellbeing (EWB). And that with the moderating effect of servant leadership (SL) on its final path to TIs of nurses.Design/methodology/approachA total of 285 nurses voluntarily participated in the survey through convenient sampling from 13 different district hospitals. The authors performed partial least squares structural equation modeling (PLS-SEM) to test the study's measurement and structural models.FindingsOverall, results indicated 62% prevalence rate of WPB and TIs of nurses had 67% variance explained by the exogenous factors. Workplace bullying was found to have direct as well as indirect relationship with TIs of nurses. For the latter, PCV and poor EWB were found to have partially mediated, both singly and serially. The moderating effect of SL on the serial mediation pathway was negative and significant.Originality/valueDrawing on a tripartite theoretical perspective, this study illuminates the mechanism underlying WPB-TIs relationship with an advanced multivariate statistical technique in the nursing work setting in a developing country.

Psychological Contract: A New Dimension in Preventing Corrupt Behaviour in Customs

The fight against corruption in the Customs environment is a major challenge for many countries. It is important to highlight the commendable efforts that have been made by Customs through the implementation of anti-corruption programmes. However, it is difficult to identify cases where these efforts have yielded a positive return on investment. This is partly because they are not sufficient to foster a process of organizational, cultural and behavioural change conducive to Customs integrity. As corruption ultimately results from decisions made by individuals, an understanding of human behaviour is of paramount importance. Behavioural insights that help us understand corruption and make integrity-promoting measures more effective should be applied in consultation with Customs practitioners in the development of workable anti-corruption strategies. Through this article, we aim to explore a new approach (Although previous research studies have examined the effect of the psychological contract on promoting behavioural change in employees at work (e.g., Conway & Briner, 2005; Coyle-Shapiro, 2002; Van de Ven, 2012; etc.), to the best of our knowledge, there has not been any research directly investigating the link between the psychological contract and corruption behaviour in the Customs working environment.) to corruption prevention from the perspective of the psychological contract as a cognitive concept, one that is measurable and that forms the foundations of the employment relationship. This can help to assess the ‘emotional distance’ between the employee and the employer in any given Customs administration, and can thus assist in analysing measures of the level of trust, reciprocity and integrity exhibited by Customs employees in relation to the organization. This article aims to discuss the value of the concept of the psychological contract and, more specifically, the consequences of contract violation in understanding and combating the phenomenon of corruption in the Customs environment. Behavioural insights, psychological contract, psychological contract violation, corruption in Customs, integrity in Customs

A WoT-Based Method for Creating Digital Sentinel Twins of IoT Devices.

The data produced by sensors of IoT devices are becoming keystones for organizations to conduct critical decision-making processes. However, delivering information to these processes in real-time represents two challenges for the organizations: the first one is achieving a constant dataflow from IoT to the cloud and the second one is enabling decision-making processes to retrieve data from dataflows in real-time. This paper presents a cloud-based Web of Things method for creating digital twins of IoT devices (named sentinels).The novelty of the proposed approach is that sentinels create an abstract window for decision-making processes to: (a) find data (e.g., properties, events, and data from sensors of IoT devices) or (b) invoke functions (e.g., actions and tasks) from physical devices (PD), as well as from virtual devices (VD). In this approach, the applications and services of decision-making processes deal with sentinels instead of managing complex details associated with the PDs, VDs, and cloud computing infrastructures. A prototype based on the proposed method was implemented to conduct a case study based on a blockchain system for verifying contract violation in sensors used in product transportation logistics. The evaluation showed the effectiveness of sentinels enabling organizations to attain data from IoT sensors and the dataflows used by decision-making processes to convert these data into useful information.

Formal Contract Violation and Conflict: The Mediating Mechanism of Psychological Contract Violation

Although contract violation has a great negative effect on the supply chain relationship, few studies have deeply explored its influence. Based on the institutional theory, this study investigates how formal contract violation affects conflict in emerging economies. We extend the contract violation literature by suggesting that formal contract influents conflict through the psychological contract violation. The findings from a dataset of 186 firms in China indicate that formal contract violation has a positive effect on psychological contract violation. And psychological contract violation has a J-shaped relationship with conflict. Moreover, legal enforceability and relationship orientation strengthen the positive effect of formal contract violation on psychological contract violation.

Double shock effects of downsizing in economic downturn on employees with high firm-specificity

Extant human capital theory relies on isolating mechanisms through which the employer restricts mobility of employees with firm-specific human capital (less favorable to external market). Recently, studies suggested a possibility that such employees experience reduced job satisfaction and increased attention from new employers. In an effort to find a strong situation in which collapse of isolating mechanisms happens prevalently, this paper suggests double shock effects of downsizing in economic downturn, which cause employees with firm-specific skills to feel violation of the psychological contract and want to leave the organization voluntarily, using two Korean labor panel studies. Study 1 suggested that employees with firm-specific skills experience were less satisfied with their jobs in economic downturn than those with general skills. Study 2 showed that downsizing cause employees to perceive low levels of trust in talent management and intend to leave the organization when the employer downsize their employees in economic downturn. Firm-specificity worked as a moderator between trust and turnover intention in a way that employees with high firm- specificity are more likely to feel distrust in talent management than those with low firm-specificity, resulting in high levels of turnover intention. This paper contributes to human capital literature by shedding a light on the possibility that traditional belief of human capital theory could be inconsistent with a specific situation and fail to explain unexpected outcomes.

Job Losers’ Wellbeing: Integrating Psychological Contract and Conservation of Resource Perspectives

Although there is a consensus in the literature that layoff can be viewed as a form of psychological contract (PC) violation, research is yet to examine how such violation impacts layoff victims’ wellbeing outcomes including life satisfaction, sleep quality and psychological distress. Integrating psychological contract theory and the conservation of resource theory, we hypothesized a dual-stage moderated mediation model in which PC violation resulting from layoff is associated with three dimensions of layoff victims’ wellbeing via worry. This indirect effect is proposed to be conditional on the level of social support received. Based on a sample of 252 layoff victims, we found support for the dual-stage moderated mediation model in which the association between PC violation and the three dimensions of wellbeing via worry was weak for layoff victims reporting high levels of social support. Findings contribute to our understanding of how PC violation is associated with nonwork outcomes.

The Generative Mechanism of Boomerang Intention: From the Perspective of Legacy Identification

In addition to internal and external hiring, re-hiring as a third way to obtain employees, has become increasingly important in the case of volatile career and fierce competition in the talent market. Current studies on boomerang employment are scarce and mainly focus on boomerang performance, with little emphasis on the generation of boomerang employment. Based on social identity theory, this paper explores the generation of boomerang employment from the perspective of legacy identification, holds that legacy identification affects boomerang intention, and that both corporate prestige and psychological contract violation affect legacy identification through legacy identification. The cooperative possibility between the current and former organization will moderate the positive effect of both corporate prestige and psychological contract violation and boomerang intentions through legacy identification, such that the mediated effect is stronger when the cooperative possibility is higher. We find support for our hypotheses in a sample of 393 ex-employees in the industries of internet communications, financial, and the professional services. Hopefully, this study can provide the basis for the continuous attention and management of former employees, thus enrich turnover research and expand the connotation and boundary of human resource management.

Being Left in The Dark: The Effect of Perceived Leader Secrecy on Employee Discretionary Behaviors

We all keep secrets and secrecy plays an important role in organizational life. While a growing body of work examines how keeping personal secrets influences the psychological states of the secret holder, scant empirical work has examined the effect of perceiving oneself as left out of a secret by other important organizational actors, such as, leader. By integrating research on secrecy in the social psychology literature with psychological contract theory, the current studies examined how employee perceptions of leader secrecy can reduce leader-directed organizational citizenship behaviors (OCBs) and voice, through employee perceived psychological contract violation. These effects were especially pronounced among employees with a low propensity to trust. Results from two experiments with different leader secrecy manipulations and one multi-source multi-wave field study (total N = 834) consistently supported our hypothesized model. Implications are discussed as well as possible limitations and directions for future research.

Standard Contract on Banking Sector: Regulation and Description in Internal Banking Regulations

This study aims to determine the regulations regarding standard contracts in the banking sector after the existence of the authority of the Otoritas Jasa keuangan, to find out the legal consequences of violations of the provisions of standard contracts carried out by banking financial services and to determine efforts to prevent violations of standard contracts by banking financial services. This is normative legal research with with statutory approach and a conceptual approach. The results show that the regulation regarding the standard contract after the existence of the OJK as a financial service consumer protection agency is regulated through the Financial Services Authority Regulation (POJK) No.1/POJK.07/2013 concerning Consumer Protection in the Financial Services Sector and in the Financial Services Authority Circular Letter (SEOJK) No. 13 /SEOJK.07 / 2014 regarding the Standard contract. The legal consequences of violating the provisions of the standard contract are not regulated in the POJK and the SEOJK. When it compared with the provisions of article 18 paragraph (3) of the Consumer Protection Law which explicitly states that violations of article 18 paragraphs (1) and (2) result in standard clauses being null and void, POJK and SEOJK only require financial service actors to make action plan, hence it is deemed to have no clear legal consequences. One of the efforts that must be made by banking financial service actors to prevent violations of the provisions of the standard contract is by making standard contract regulations independently and elaborating them in the internal banking regulations.

How Does Environmental Interpretation Affect Psychological Well-Being? A Study Conducted in the Context of COVID-19

The COVID-19 crisis has challenged and generated severe impact on the global society, economy, and environment. Under this pandemic context, governments and organizations around the world have issued and strengthened environmental policies and regulations to protect the environment and human health. However, the extant knowledge about how people’s interpretation of environmental policies and regulations influence their psychological well-being in the context of the COVID-19 pandemic is still limited. This study, therefore, investigates the impact of environmental interpretation on psychological well-being with the mediating role of environmentally responsible behavior and the moderating role of psychological contract violation. Using the data from a large sample of 960 residents in China, results of structural equation modeling show a positive relationship between environmental interpretation and psychological well-being, and this relationship is mediated by environmentally responsible behavior. Notably, psychological contract violation has a moderating effect on the indirect effect of environmental interpretation on psychological well-being via environmentally responsible behavior. These findings have several important implications for policymakers in environmental sustainability and pandemic planning.

The Effect of Abusive Supervision on Organizational Identification: A Moderated Mediation Analysis

This study investigated the effect of abusive supervision on employee organizational identification by analyzing the mediating effect of psychological contract violation. In addition, it explored the moderating role of favoritism in the direct association of abusive supervision and organizational identification and the indirect effect through psychological contract violation. A total of 488 seasonal, immigrant, and part-time employees from family-run hotel organizations were surveyed during the data collection process. By utilizing Hayes’s macro, we found that abusive supervision and psychological contract violation had a significant negative effect on organizational identification. In addition, the results showed that psychological contract violation mediated the effect of abusive supervision on organizational identification and favoritism moderated the effect of abusive supervision on psychological contract violation. The findings highlight the detrimental effects of favoritism and abusive supervision on employee outcomes in the hospitality industry.

Enforcement against contract violation in Chinese construction projects: impacts of trust and perceived intentionality

Violations happen frequently in construction projects due to opportunistic intentions and/or the lack of awareness of obligations and/or honest attempts to react to unforeseen circumstances. Dealing with contract violations plays an important role in managing projects. The aim of the research is to investigate the impact of trust, analyzed in terms of the goodwill-based and competence-based trust, on both contract and social enforcement after a contract violation. A questionnaire survey, partially based on semi-structured interviews, was used for data collection. All the data is from the Chinese construction industry since it provides a fertile context to explore the research questions. The results show that: 1) reputation is used as social enforcement in practice and the severity of it is reflected by the scope of the disclosure, 2) the two dimensions of trust have opposite influences on the severity of contract and social enforcement via different mediating effects of perceived intentionality. Specifically, goodwill-based trust reduces the severity of enforcement via decreasing perceived intentionality, while competence-based trust increases the severity of enforcement by increasing perceived intentionality. A comprehensive and nuanced understanding for managing contract violation is generated in this research, which will help project managers to manage the contract violation and the interfirm relationships more effectively.

Constructing and Validating Students' Psychological Contract Violation Scale.

For two and a half decades, psychological contracts are researched mainly in work organisations as drivers of the attitudes and behaviours of employees, overlooking the importance of understanding the nature of the psychological contracts of students in higher education. This study constructs and validates a new scale for measuring the perceived psychological contract violations of students in the context of faculty incivility. A mixed-method approach was applied to study the issue in three phases. First, a qualitative method was used to capture and analyse the perceived entitlements of students, as described by 78 college students, resulting in 37 items or elements identified by students as reflecting their psychological contracts. Second, a sample of 244 students was studied to identify the perceptions of violated expectations of students. In the final phase, items were rephrased as expectations and were given to the third sample of 154 undergraduate college students to determine the level of fulfilment of these expectations. Additionally, to ascertain discriminate and convergent validity measures, students were asked about the extent to which they experienced faculty incivility (discriminant validity) and frustration with the quality of interaction with their faculty (convergent validity). From these results, students’ psychological contract violation scale was constructed and validated.