Psychological Contract Research Articles

Navigating evolving employment realities: an integrative model of psychological contract in contemporary workplaces

Navigating evolving employment realities: an integrative model of psychological contract in contemporary workplaces

AI in the Organizational Nexus: Building Trust, Cementing Commitment, and Evolving Psychological Contracts

AI in the Organizational Nexus: Building Trust, Cementing Commitment, and Evolving Psychological Contracts

Entrepreneurial Psychological Contracts: Shaping the Future of Work in Times of Uncertainty

In the backdrop of a global work environment characterized by uncertainty, fragmentation, and precarization, this paper introduces the ‘entrepreneurial psychological contract’, a concept that reshapes our understanding of employment relations in new venture creation. The paper responds to the need for reimagining employment in an era where standard, stable employment is increasingly an exception. By extending psychological contract theory with insights from incomplete contracting literature, a nuanced perspective is provided on how entrepreneurs navigate the inherent uncertainties of new ventures to establish employment agreements. The paper is conceptual, and it reveals that entrepreneurial psychological contracts are markedly different from traditional bureaucratic contracts, characterized by their procedural, associational, constitutional, and polyarchic nature. This distinction is pivotal in comprehending the adaptive employment strategies in entrepreneurial environments, which mirror the global trends of work fissuring and employee precarization. This paper contributes to the broader discourse on how work and employment should be reorganized in contemporary capitalism. It offers theoretical advancements in entrepreneuring, human resource management, and contracting under uncertainty, and presents practical insights for entrepreneurs in crafting flexible and resilient employment relations. The paper aligns with the call for broadening perspectives on work, promoting sustainable organizational practices, and envisioning new ways of mobilizing workers in the face of global challenges.

Relationships between leadership style, career development, work stress, and turnover intention in a high-tech industry: Moderating role of psychological contract

Employee turnover is an unavoidable part of business development, costing important human resources and impeding long-term growth and strategy implementation. To maintain a steady workforce, businesses must prioritize understanding and addressing this issue. The objective of this study is to examine the impact of leadership style, career development, and work stress on turnover intention in the high-tech industry and to investigate the moderating role of psychological contracts in these relationships. The sample consists of 380 employees of the R&D departments in high-tech companies in Shenzhen, Guangdong province, China, mainly engaged in the electronic information, advanced manufacturing, and automation sectors. The data were gathered via an online questionnaire, and the Smart-PLS approach was used to analyze the data. The empirical findings indicate that transactional leadership, transformational leadership, and career development are significantly and negatively related to turnover intention, whereas work stress has a significant positive effect. The psychological contract moderates the relationship between career development and turnover intention; the higher the psychological contract, the stronger the relationship. In addition, the psychological contract moderates the relationship between work stress and turnover intention, whereby the higher the psychological contract, the weaker the relationship. However, no empirical evidence suggests that the psychological contract moderates the relationship between leadership styles and turnover intention. The R² value is 0.485, indicating moderate explanatory power, and with a GOF index of 0.492, the model also demonstrates a good fit with the data. This study offers considerable implications for both theoretical and practical applications.

How consumer perceptions of virtual streamers affect purchase intention in live streaming commerce: based on cognition-affect-behavior model

PurposeDespite widespread use of virtual streamers, academic research on this subject remains limited. This study aims to explore the mechanisms by which consumer perceptions of virtual streamers influence consumer purchase intentions.Design/methodology/approachWe used partial least squares structural equation modeling to analyze validated online survey data from 414 consumers watching virtual streamers.FindingsConsumer perceptions of virtual streamers (perceived competence, perceived interaction quality and perceived warmth) promote the establishment of transactional psychological contract and relational psychological contract between consumers and virtual streamers, which further affects consumers’ purchase intention.Originality/valueThis study enriches the research on virtual streamers, facilitates their adoption and introduces the psychological contract into a new research context by revealing the formation of the psychological contract from the perspective of virtual streamers. Moreover, this study provides a new understanding of the relationship between disembodied artificial intelligence and consumers.

Social capital, psychological contract fulfillment and buyer-supplier collaboration: the moderating roles of guanxi orientation and market uncertainty

Purpose Drawing on signaling theory and social capital theory, this study aims to examine the underlying mechanisms and contingencies of the relationships between social capital (SC) and collaboration in buyer-supplier relationships (BSRs). This is achieved by evaluating the mediating effect of psychological contract fulfillment (PCF) and the moderating roles of guanxi orientation and market uncertainty. Design/methodology/approach The current study used a survey method to collect data from 271 buyers in China. Structural equation modeling (SEM) and moderated regression analysis were applied to examine the hypotheses. Findings The positive effect of structural and relational SC on buyers’ collaborative behaviors is partially mediated by buyers’ PCF. In contrast, the positive effect of cognitive SC on collaboration is fully mediated by buyers’ PCF. Guanxi orientation strengthens the indirect effect of buyers’ PCF on the cognitive SC-collaboration relationship and relational SC-collaboration relationship. Market uncertainty amplifies the relational SC-collaboration relationship. Originality/value Prior studies have presented mixed evidence of the effect of SC on collaboration and have paid little attention to the underlying mechanisms and conditions moderating the effect. This research proposes a theoretical model that integrates signaling theory and social capital theory to explore how three dimensions of SC can enhance buyer collaboration through buyers’ PCF under different levels of guanxi orientation and market uncertainty.

Exploring the Impact of After-Hours Work Connectivity on Employee Performance: Insights from a Job Crafting Perspective

With the leapfrog development of information and communication technology and the intensification of external competition among enterprises, after-hours work connectivity through communication devices has become a new norm in the workplace. While it offers certain conveniences, the constant connectivity it entails also imposes significant pressure on employees. How to comprehensively understand and rationally treat after-hours work connectivity has become an issue that organizations need to pay great attention to. Based on conservation of resources theory, this study analyzed 407 questionnaires to explore the “double-edged sword” effect of after-hours work connectivity on employee performance and analyzed the moderating effect of the psychological contract. The results indicate the following: (1) Proactive pathway: after-hours work connectivity promotes employees’ job crafting behaviors toward approach-oriented adjustments, thereby enhancing job performance. (2) Passive pathway: after-hours work connectivity encourages employees’ job crafting behaviors toward avoidance-oriented adjustments, leading to decreased job performance. (3) The psychological contract positively moderates the relationship between after-hours work connectivity and approach-oriented job crafting and negatively moderates the relationship between after-hours work connectivity and avoidance-oriented job crafting, regulating both the positive and negative coping pathways. The research findings contribute to assisting organizations in adopting a dialectical perspective towards and effectively utilizing after-hours work connectivity. This aids in achieving a balance between organizational effectiveness and employee well-being, seeking a mutually beneficial work paradigm, and providing managerial recommendations to promote sustainable organizational development.

Towards a ‘Newer Normal’? A Bibliometric Analysis Examining Organisational Culture in the Post-COVID-19 Higher Education Landscape in the United Kingdom

Concern continues to grow over the changing nature of work that initially formed a ‘new normal’ within higher education institutions resulting from the COVID-19 pandemic. This situation is now being further impacted by subsequent economic and political challenges in the sector, which in turn shifts the workplace towards an even ‘newer normal’. The purpose of this article is to: (1) methodically and logically review the extant literature and research linking the influence of the COVID-19 pandemic to the organisational culture of higher education institutions in the United Kingdom; and (2) based on a bibliometric analysis, to offer a road map for further empirical research in the future. Researchers have found that changing workplace norms, such as remote and hybrid working and other forms of flexibility in approaches to learning and the availability of delivery modes, have become increasingly common, which has changed the nature of working practices and underpinning aspects of organisational culture. Therefore, it now appears opportune to update existing knowledge on organisational culture theory within the United Kingdom higher education context to support policy development and enhance workplace practices in the post-COVID-19 period. From a theoretical perspective, this article contributes to organisational culture literature by assimilating a dataset of nascent studies generated through keyword search on Clarivate Analytics Web of Science that have examined the impact of COVID-19 on organisational culture in United Kingdom higher education institutions. This emergent dataset was analysed using VOS Viewer, with the results of subsequent quantitative bibliometric analysis identifying the main existing research fronts as well as potential research directions for the empirical development of organisational culture. Based on this bibliometric analysis, the main suggested future research agendas that need to be addressed linked to organisational culture in the UK higher education sector in the post-COVID period are: (a) to further examine changing cultural norms and expectations; (b) hybrid approaches to working; (c) academic identity; and (d) organisational culture and the changing psychological contract. Such research is important as the UK Higher Education sector now progresses towards an even ‘newer normal’.

Who came first, the egg or the chicken? What comes first, psychological contract breach or perceived job insecurity?

Who came first, the egg or the chicken? What comes first, psychological contract breach or perceived job insecurity?

The Relationship Between the Psychological Contract and Job Satisfaction of Beginning College Student Employees

In the context of the rapidly evolving economic landscape, the relationship between the psychological contracts of newly-graduated entry-level employees and their job satisfaction has emerged as a pivotal research topic within the realm of organizational management. The psychological contract, an informal and subjective promise of employment relations, directly influences employees' attitudes and performance. Various types of psychological contracts, such as transactional, relational, and developmental, to some extent, impact employees' job satisfaction. By effectively managing psychological contracts, enterprises can enhance employees' job satisfaction, thereby achieving a win-win situation. This article elucidates the impact mechanism of psychological contracts on job satisfaction and proposes a series of measures to improve the job satisfaction of newly-graduated entry-level employees. These measures include establishing a robust psychological contract, providing systematic introductory training, fostering a supportive work environment, implementing fair performance management, and promoting teamwork and social interaction.

Sustainable practices: organisational citizenship behaviour and psychological contract fulfilment

PurposeSustainable practices are the modern-day necessities for organisations as the world is becoming highly dynamic. The purpose of this study is to examine the influence of sustainable training and creativity practices (STP and SCP) on organisational citizenship behaviour (OCB-individual and OCB-organisation) via the mediating role of psychological contract fulfilment (PCF).Design/methodology/approachA sample of 326 white-collar Indian service industry employees was collected. The data are analysed using structural equation modelling and random forest regression supervised learning (RFRSL).FindingsThe findings indicate that sustainable training practices (STP) had an indirect impact on organisational citizenship behaviour (OCB-I, OCB-O) via the mediating effect of transactional (T-PCF) and relational psychological contract fulfilment (R-PCF). In terms of sustainable creative practices (SCP), the impact on OCB-I was indirect due to T-PCF. In addition, R-PCF acts as a mediator between SCP and OCB-O. In the latter portion of the analysis, the RFRSL approach created a prediction model for T-PCF, R-PCF, OCB-I and OCB-O, with demographic characteristics such as industry experience, gender, age, etc. playing a constructive role.Originality/valueThe study conducts a combination of both traditional and newer technology (machine learning), resulting in highlighting the uniqueness of the relationship between variables and the role of demographic variables.

The Influencing Factors of Knowledge Hiding Among Employees in the Construction Industry: A Psychological Contract Perspective

This study explores the factors influencing employee knowledge hiding in construction industry organizations. Utilizing quantitative methods, the research examines the impact of demographic factors, including gender, age, educational level, marital status, and duration of service, as well as psychological contract breaches on employee knowledge hiding. An independent samples t-test and multiple comparisons using the least significant difference (LSD) test were conducted to analyze the demographic factors. At the same time, a simple linear regression analysis was employed to assess the relationship between psychological contract breach and knowledge hiding. The results indicate that demographic factors significantly affect employee knowledge hiding, with females, older employees, those with lower educational levels, divorced or widowed individuals, and employees with longer service durations tending to hide knowledge more frequently. Furthermore, psychological contract breach is found to have a strong and positive relationship with employee knowledge hiding, suggesting that employees are more likely to engage in knowledge-hiding behaviors when they perceive a violation of their psychological contract. The findings have important managerial implications, emphasizing the need for tailored strategies to address knowledge hiding among different employee groups and maintaining a strong psychological contract with employees to foster a culture of knowledge sharing and innovation.

Gig workers' psychological contracts and turnover intention: A mediated path analysis of organizational identification and job satisfaction

This study, grounded in social exchange theory and social identity theory, aims to examine the influence of psychological contract fulfillment on turnover intention among gig workers. It employs mediated path analysis, specifically examining the mediating roles of organizational identification and job satisfaction. Structural equation modeling (SEM) was utilized to assess the goodness of fit of the proposed model and to test the proposed hypotheses. In Study 1, data collected from the ride-hailing industry in China (N = 374) proved that both transactional and relational contract fulfillment negatively impacted turnover intention, with this relationship mediated by organizational identification and job satisfaction. Study 2, employing time-lagged data (N = 426) collected at two different time points from the food delivery industry in China, also confirmed the negative relationship between transactional and relational contract fulfillment and turnover intention, as well as the mediating effects of organizational identification and job satisfaction. This research advances the current understanding within the psychological contract literature by providing insights into the dynamics of psychological contracts within the context of the gig economy. The findings have significant implications for the management.

Eye of the beholder: A meta-analysis of personality traits' relationships with psychological contract breach and job performance

Psychological contract breach (PCB) is a subjective perception that one's employer has failed to live up to promised obligations. Because PCB is subjective, personality traits should play an important role. However, existing research on the relationships between personality traits and PCB is scattered and explores a variety of subsets of personality traits, with little agreement on which traits are most important to PCB. Thus, we focus on personality traits selected based on insights from a reneging-incongruence framework suggesting that personality traits will be important to the degree that they influence the likelihood that employees are targeted for a “real” PCB (i.e., reneging) or bias their perspective of their PCB (i.e., incongruence). Further, drawing from social exchange theory, we examined PCB as a mechanism by which personality traits relate to job performance. Meta-analytic results indicated that the multiple correlation between personality traits and PCB was R = 0.34, and they continued to account for variance in PCB beyond social exchange quality. Emotional stability and equity sensitivity were the strongest predictors of PCB. Results also demonstrated that PCB mediates the relationships equity sensitivity and emotional stability have with task performance, organizational citizenship behavior, and counterproductive work behavior, even controlling for job satisfaction as an alternative mediator.

Investigating the relationship between various dimensions of organizational justice and psychological contract breach among clinical nurses: a cross-sectional study

BackgroundAlthough psychological contract breach is linked to various significant organizational consequences, few studies have explored the antecedents of this important concept within the nursing field. This study aimed to investigate the correlation between perceived organizational justice and psychological contract breach among clinical nurses.MethodsThis descriptive cross-sectional study included 328 inpatient ward nurses from six teaching hospitals in Tehran, Iran. Clinical nurses were selected through multistage random sampling. Data were collected using a demographic questionnaire, the Niehoff and Moorman (1993) Organizational Justice Questionnaire, and the Robinson and Morrison (2000) Psychological Contract Breach Questionnaire.Data analysis was performed in SPSS version 21 using descriptive statistics, Pearson’s correlation coefficient, and multiple linear regression analysis.ResultsThe findings revealed that procedural justice (P < 0.001; β=-0.20) and interactional justice (P < 0.001; β=-0.47) explained 41% of the variance in psychological contract breach among nursing staff.ConclusionsThe results identified interactional and procedural justice as the most significant dimensions of organizational justice in explaining nurses’ perceived psychological contract breach. Therefore, healthcare managers should prioritize fair decision-making processes and interactions with nurses to mitigate ' perceived the psychological contract breach.

The Fulfillment of Psychological Contract and Job Satisfaction in Reducing Procrastination of Employees Working in the Public SectorPublic Sector

This research aims to examine the factors that influence procrastination among education staff at a university. The research used mono methods: quantitative method, survey strategy, and cross-sectional research design. The data were collected by questionnaires distributed offline and online via Google Forms to 145 education staff at a state university in Yogyakarta. The data were analyzed using the Structural Equation Modeling equation based on Partial Least Square (SEM PLS). The research found that achievement motivation and organizational commitment influence procrastination directly and through the mediation of fulfilling the psychological contract. Meanwhile, job satisfaction does not significantly affect procrastination, nor does it mediate the influence of achievement motivation and organizational commitment on procrastination. The research results were then discussed according to the characteristics of organizations in the public sector in higher education.

The Psychological Contract Theory on Student Retention: A Systematic Literature Review

The purpose of this article is to cover the themes central to psychological contract theory as well as its impact on student retention. While psychological contract theory has been extensively studied and applied in work-related settings, its influence in educational settings has not been fully explored. To address this gap, this study collected and analyzed data following the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) guidelines. Data was collected from studies published between 2013 and 2023, resulting in the analysis of 24 eligible papers from various academic databases in the review. Based on the number of eligible papers within a ten-year timeframe indicates a scarcity of research on psychological contracts in educational contexts, particularly concerning student retention. The findings from the 24 eligible papers were synthesized and reported using descriptive analysis and tabulation, thus shedding light on how psychological contract theory influences student retention. The analysis suggests that unfulfilled psychological contracts between students and academic staff can contribute to student attrition, especially when students' expectations, formed during earlier educational experiences, are not met. This systematic literature review emphasizes the importance of the psychological contract in educational settings particularly in managing the dynamic student and academic relationship. The review made suggestions for practical implications for academic leaders, policymakers, and education administrators, stressing the need for adaptive, inclusive, and forward-looking approaches in education, and recommendations for future studies.

Job-Hopping Intention Among Lecturers in Private Education Institutions

The practice of frequently changing jobs known as job-hopping is increasingly prevalent across industries, including academia in search of better opportunities or personal growth. Due to this situation, it is more challenging for educational institutions, particularly in the private education sector to retain highly skilled lecturers in the organization. This study aims to identify the relationship between job-hopping intention among lecturers in private educational institutions and the factors that are job satisfaction, job motivation, psychological contract, and person-environment fit. Data was collected from 260 respondents across all KPTM branches through questionnaires and analyzed using SPSS version 29. The findings show that strong psychological contract negatively influences job-hopping. On the other hand, job satisfaction, job motivation, and person-environment fit show no significant influence. This study not only provides a deeper understanding of job-hopping motivation but also gives valuable insight for policymakers to develop strategies and modules that enhance job satisfaction and retention among lecturers, especially in private education institutions.

Neither Employment nor Self‐Employment: Avenues Towards Functional Platform‐Mediated Work Systems

ABSTRACTDigital labour platforms are contested because they create work relationships that neither fall into the category of traditional employment nor fulfil the criteria of freelance work due to platforms’ heavy interference in the work process. Although existing research has elucidated different pathways for improving the working conditions of platform workers, we develop an employment relations perspective on platform‐mediated work systems building on David Marsden's theory of employment systems. On the basis of an assessment of the psychological, economic and legal contracts underlying platform‐mediated work, we discuss the limited functionality of these contracts in their ability to control opportunism among platforms, workers and clients. Our analysis contributes to existing debates by providing a theoretically informed framework for analysing the design of platform‐mediated work systems and their consequences for the participating parties. Our insights add nuance to the platform regulation debate by going beyond the question of worker classification towards understanding the organizational and institutional elements of the work system that need to be redesigned and supported by appropriate institutional safeguards. An employment systems perspective also allows for reflection on the economic, societal, sectoral and strategic conditions that could drive such changes.

The influence of organizational atmosphere and psychological capital on work performance: The moderating role of psychological contract

This study explores the interconnected roles of organizational atmosphere, psychological capital, work engagement, and psychological contract on the work performance. Structural equation modeling and moderated mediation analyses were conducted to test the hypothesized relationships. Methodologically, the study employed a stratified random sampling of 369 faculty members across various disciplines. Key findings reveal that both organizational atmosphere and psychological capital have a significant positive impact on work engagement, which in turn, enhances work performance. Work engagement acted as a mediator in these relationships. Moreover, the psychological contract was found to moderate the relationship between work engagement and work performance, indicating that the engagement-performance link is stronger when employees perceive their psychological contract has been fulfilled. The implications of this research are multifaceted. Theoretically, it contributes to organizational behavior literature by integrating psychological contracts into the engagement-performance narrative. Practically, it provides actionable insights for university administrators, suggesting that investments in a supportive organizational atmosphere and the development of faculty psychological capital are likely to yield improvements in engagement and performance. The study also underscores the importance of effectively managing psychological contracts to maximize employee output.