Antecedents and consequences of psychological contract breach

2016 ◽  
Vol 31 (8) ◽  
pp. 1312-1326 ◽  
Author(s):  
J.C. Peng ◽  
Jia-Jing Jien ◽  
Julian Lin
Keyword(s):  
Servant Leadership ◽  
Hierarchical Linear Modeling ◽  
Psychological Contract ◽  
Negative Relationship ◽  
Psychological Contract Breach ◽  
Employee Behavior ◽  
Cross Sectional Survey ◽  
Cross Sectional ◽  
Contract Breach ◽  
Content Type

Purpose The purpose of this paper is to investigate store-level servant leadership and the procedural justice climate (PJC) as key antecedents for employee-perceived psychological contract breach (PCB) and explores the mediating roles of PCB in the relationships among servant leadership, the PJC and deviant employee behavior. Design/methodology/approach Survey data were collected from 301 employees at 94 stores of a restaurant chain in Taiwan. The model and hypotheses were tested using hierarchical linear modeling. Findings The results support the moderated mediation model, showing that the indirect effects of servant leadership and PJC on deviant employee behavior through PCB were stronger for employees with an external locus of causality attribution than for those with an internal locus. Research limitations/implications The study relied on cross-sectional survey design, therefore the authors cannot infer causality. Practical implications The results will help organizations and managers understand that supervisor servant leadership has suppressive effects on deviant employee behavior through the intermediary mechanism of negative psychological perception (i.e. the perception of a PCB). Originality/value The primary purpose of this study is to examine the influences of store-level servant leadership and the PJC on employee deviance and to examine the mediating role played by PCB. The findings suggest a significantly negative relationship.

Breach or bridge your career? Understanding the relationship between career plateau and internal employability

2018 ◽  
Vol 47 (5) ◽  
pp. 986-1002 ◽  
Author(s):  
Yi-chun Lin ◽  
Angela Shin-yih Chen ◽  
Yu-ting Lai
Keyword(s):  
Psychological Contract ◽  
Negative Relationship ◽  
Psychological Contract Breach ◽  
Hierarchical Regression ◽  
Contract Breach ◽  
Content Type ◽  
Career Plateau ◽  
Job Content ◽  
The Impact ◽  
The Relationship

Purpose The purpose of this paper is to identify the impact of career plateau (hierarchical and job-content plateau) on internal employability, and to investigate psychological contract breach as a moderator on the relationship between career plateau (hierarchical and job-content plateau) and internal employability. Design/methodology/approach Data were collected by distributing paper-based questionnaires to 521 workers in private banking sectors in Taiwan. Hierarchical regression analysis was used to examine the results of the relationships. Findings The results supported the idea that career plateau (hierarchical and job-content plateaus) could be a significant antecedent of internal employability. Psychological contract breach significantly moderated the negative relationship between career plateau (hierarchical and job-content plateau) and internal employability. Specifically, the negative relationship between career plateau and internal employability will be stronger for employees who perceive a higher level of psychological contract breach. Practical implications These findings can help human resource practitioners gain a better understanding of the value of applicable approaches as an influence on a plateaued employee’s perception of internal employability, and to facilitate a positive employer–employee relationship, which could foster both a successful career for an individual and a prosperous performance for the organization that employs them. Originality/value Career plateau have been aroused variety issues in HR practice, but employability and psychological contract breach have barely been discussed with career plateau. This study empirically establishes the correlation between career plateau and internal employability as well as shown that psychological contract breach would decrease the plateaued individual’s willingness to stay in the current organization. Thus, the career plateau may provide organizations with a helpful perspective on one’s career development. Building substantial relationships between employees and employers lead to better human capital for organizations as it deals with rapidly changes in the real world.

Abusive supervisors and employees who cyberloaf

2020 ◽  
Vol 30 (3) ◽  
pp. 789-809 ◽  
Author(s):  
Upasnaa A. Agarwal ◽  
James B. Avey
Keyword(s):  
Psychological Contract ◽  
Abusive Supervision ◽  
Psychological Contract Breach ◽  
Full Time ◽  
Cross Sectional ◽  
Contract Breach ◽  
Content Type ◽  
Mediating Role ◽  
Cross Sectional Design ◽  
The Impact

PurposeThe purpose of this study is to examine the effects of abusive supervision on cyberloafing behavior, to test the mediating role of PsyCap in this relationship and the extent to which these relationships are moderated by psychological contract breach.Design/methodology/approachA total of 394 full-time managers across different Indian organizations served as the sample for this study.FindingsThe results revealed that the abusive supervision and PsyCap are significantly correlated with cyberloafing, the relationship between abusive supervision and cyberloafing is partially mediated by PsyCap and the impact of abusive supervision and PsyCap on cyberloafing is moderated by psychological contract breach such that the effects of abusive supervision and PsyCap on cyberloafing are stronger when employees perceive high psychological contract breach.Research limitations/implicationsA cross-sectional design and use of self-reported questionnaires are a few limitations of this study.Originality/valueThis is one of the first studies examining cyberloafing in response to abusive supervision and one of the few attempts to examine the effects of abusive supervision on individual resources (PsyCap) in response to workplace mistreatment. This study is also the first to examine these phenomena in the Indian context.

Abusive supervision and intention to quit: exploring multi-mediational approaches

2019 ◽  
Vol 49 (6) ◽  
pp. 1269-1286
Author(s):  
Sajeet Pradhan ◽  
Aman Srivastava ◽  
Lalatendu Kesari Jena
Keyword(s):  
Psychological Contract ◽  
Abusive Supervision ◽  
Partial Least Square ◽  
Least Square ◽  
Intention To Quit ◽  
Psychological Contract Breach ◽  
Cross Sectional ◽  
Contract Breach ◽  
Content Type ◽  
Electronic Data Collection

Purpose Based on the unfolding theory of voluntary turnover, the purpose of this paper is to investigate the linkage between abusive supervision (a shock) and subordinate’s intention to quit (withdrawal cognition). The study also explores the multi-mediation routes by testing the abusive supervision-intention to quit relationship via psychological contract breach and via burnout. Design/methodology/approach To test the proposed hypotheses, the study draws cross-sectional data from Indian employees working in various MNCs in the country. Data were collected using an electronic data collection method. The online form link was send to 600 employees, out of which 246 valid and complete responses were received (n=246). Partial least square (PLS–SEM) was used for the analysis. Findings Results showed that abusive supervision is positively related to intention to quit. Similarly, psychological contract breach and burnout partially mediates the abusive supervision-intention to quit linkage. Originality/value First, the current study has conceptualized and tested abusive supervision as a shock that triggers various adverse cognitions including withdrawal cognition (intention to quit). Second, the study also empirically investigated multi-mediational routes via psychological contract breach and burnout that explained the indirect effect between abusive supervision and intention to quit.

Determinants of psychological contract breach: an empirical study of Vietnamese employees

2018 ◽  
Vol 41 (1) ◽  
pp. 29-45 ◽  
Author(s):  
Phuong Tran Huy ◽  
Kiyoshi Takahashi
Keyword(s):  
Organizational Performance ◽  
Performance Appraisal ◽  
Psychological Contract ◽  
Psychological Contract Breach ◽  
Full Time ◽  
Past Performance ◽  
Cross Sectional ◽  
Contract Breach ◽  
Content Type ◽  
The Relationship

Purpose This study aims to verify the entire process of psychological contract breach (PCB). It investigates organizational variables such as organizational performance, previous employee performance, participative performance appraisal systems and leader power as the antecedents of perceived unfulfilled promises. It then examines whether perceived failure to fulfill contracts leads to the perception of PCB, and the possible moderating impacts of perceived self-fulfillment and individual differences on the relationship. Design/methodology/approach The current study uses cross-sectional design. Data have been collected from 364 full-time employees who enrolled in evening MBA courses in Vietnamese universities. Multiple regression and moderation analyses were used. Findings Participative performance appraisal, past performance, perception of leader’s power and overall organizational performance influenced perceived failure to fulfill promises, which contributed to contract breach. Furthermore, perceived self-fulfillment, equity sensitivity and self-esteem moderated the relationship between perceived failure to fulfill promises and PCB. Research limitations/implications The limitations of the study include a sampling technique which only focuses on MBA students, and cross-sectional research design. Practical implications The study confirms the role of individual traits in the PCB development. Vietnamese companies should collect information concerning employees’ personalities to focus on fulfilling promises that matter most to each type of employees. Originality/value The study distinguishes between perception of unmet promises and PCB. Furthermore, the moderating impacts of perceived self-fulfillment on the relationship between unmet promises and breach were examined.

An extended model of the interaction between work-related attitudes and job performance

2016 ◽  
Vol 65 (1) ◽  
pp. 42-57 ◽  
Author(s):  
Santiago Melián-González
Keyword(s):  
Job Performance ◽  
Organizational Support ◽  
Psychological Contract ◽  
Employee Attitudes ◽  
Psychological Contract Breach ◽  
Extended Model ◽  
Cross Sectional ◽  
Contract Breach ◽  
Content Type ◽  
Work Related

Purpose – The purpose of this paper is to test a comprehensive work-related attitudinal model relevant for job performance by extending the perceived organizational support (POS), job satisfaction, and organizational commitment model with both perceived supervisor support (PSS) and psychological contract breach attitudes. Design/methodology/approach – The proposed model was tested using a sample of a company’s 104 employees and through partial least squares analysis. Findings – A total of 23 percent of the variance in job performance was explained. Interactions among attitudes were all significant. PSS and psychological contract breach accounted for 70 percent of the POS variance. Research limitations/implications – There is a risk of common-method bias. The cross-sectional design limits making causal inferences. Practical implications – Instead of measuring employee attitudes in an amorphous way, managers can rely on the included attitudes since these are significant for job performance. The construct’s content allows managers to elaborate specific practices to improve staffs’ attitudinal state. Originality/value – This model incorporates five independent attitudes that any employee can experience. This is the first study that proposes and tests an interaction among all of them that is significant for job performance.

Study of Indian bank shows psychological contract breach (PCB) during restructuring has impact on stress

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Keyword(s):  
Psychological Contract ◽  
Positive Relationship ◽  
Negative Relationship ◽  
Job Involvement ◽  
Psychological Contract Breach ◽  
Job Outcomes ◽  
Contract Breach ◽  
Content Type ◽  
Employee Stress ◽  
The Impact

Purpose Restructuring is a common strategy to increase competitiveness, but a lot of the time it is unsuccessful. The author believes this is likely to be because of “psychological contract breach” (PCB), but says the phenomenon has not been studied much. Another factor, he says, is the high level of stress caused by the restructuring. Therefore, the researcher wanted to study the impact of both the psychological contract breach and stress on employee job outcomes during restructuring. Design/methodology/approach Data was collected from bank employees using a questionnaire. A total of 322 completed questionnaires were used in the analysis. There were also 30 interviews with native employees of SBI to find out their opinions of working with bank associate employees. There were 17 questions covering PCB, job stress, job involvement and organizational citizenship behaviour (OCB). Findings The results confirmed Hypothesis 1, Hypothesis 2 and Hypothesis 3. Therefore, the author’s research proved a positive relationship between PCB and employee stress, a significant negative relationship between employee stress and job involvement, and a significant positive relationship between job involvement and OCB. However, analysis rejected three other hypotheses. Although there was a change in stress, job involvement and OCB after the merger, it was not significant. Originality/value The study was a significant contribution to research because few previous studies have dealt with the impact of organizational restructuring on stress and job outcomes in India.

Once bitten, twice shy? Past breach and present exchange relationships

2014 ◽  
Vol 29 (8) ◽  
pp. 938-952 ◽  
Author(s):  
Robert Buch ◽  
Bård Kuvaas ◽  
Lynn Shore ◽  
Anders Dysvik
Keyword(s):  
Social Exchange ◽  
Organizational Support ◽  
Psychological Contract ◽  
Negative Relationship ◽  
Psychological Contract Breach ◽  
Economic Exchange ◽  
Exchange Relationship ◽  
Exchange Relationships ◽  
Contract Breach ◽  
Content Type

Purpose – The purpose of this paper is to examine the relationship between previous employer's psychological contract breach and exchange perceptions with the current employer, and seeks to uncover moderating influences of perceived organizational support (POS). Design/methodology/approach – Data were obtained from a cross-lagged sample of 314 employees in Norway. Hierarchical moderated regression analysis was used to test the hypotheses. Findings – The authors found a positive relationship between previous employer's psychological contract breach and economic exchange with the current employer, and a negative relationship between previous employer's psychological breach and social exchange with the current employer. The authors also found that POS from the current employer attenuates the positive association between previous employer's breach and economic exchange with the current employer. Research limitations/implications – The data were cross-lagged, so causal inferences should be made with caution. Practical implications – Managers should be aware that past employment experiences may relate to present employment exchange relationships. In addition, POS from current employer may serve to counterbalance the “carry over” effects of past employment experiences. Social implications – In light of the present global economic climate, increasing POS among employees could decrease the likelihood that they assume that the employment relationship constitutes an economic exchange relationship. Originality/value – This study contributes to a more complete understanding of factors that shape employees’ relationships with their organization. Furthermore, this study suggests a way by which organizations can repair damages incurred by previous employer's psychological contract breach.

Interplay between trust and distrust in the workplace: examining the effect of psychological contract breach on organizational disidentification

2018 ◽  
Vol 12 (1) ◽  
pp. 1-16 ◽  
Author(s):  
Hira Rani ◽  
Ghulam Ali Arain ◽  
Aneel Kumar ◽  
Iram Rani Shaikh
Keyword(s):  
Mixed Method ◽  
Psychological Contract ◽  
Equation Modeling ◽  
Psychological Contract Breach ◽  
Time Lags ◽  
Cross Sectional ◽  
Contract Breach ◽  
Content Type ◽  
Positive Effects ◽  
Mediating Mechanisms

Purpose This study aims to examine the effect of psychological contract breach on organizational disidentification through the “affect-based” mediating mechanisms of trust and distrust. Design/methodology/approach Using a convenient sampling technique, cross-sectional data were collected from 281 doctors working in public sector health-care organizations in Pakistan. After initial data screening, a confirmatory factor analysis (CFA) was conducted to test the measurement models’ validity and reliability. The hypothesized relationships were tested using structural equation modeling (SEM) with AMOS. Findings The results of this study showed that psychological contract breach had significant direct and indirect positive effects through the mediating mechanism of distrust on organizational identification. However, trust was not supported as a mediator in that relationship. Research limitations/implications This study uses cross-sectional data. Other researchers should use longitudinal design with two or three time lags. This study uses a sample of doctors from different cities of Pakistan, as this is a global era, so results cannot be generalized; this opens the future avenue for other scholars to select a broad sample from multiple organizations like businesses and NGOs from different countries or to use it in different context. The authors have used single source (questionnaires) and quantitative method to collect data for this study, so there is a probability of self-report bias. As future is of mixed method, so future researchers should use mixed method for deep and thorough understanding of different selected phenomena. Practical implications Due to the experiences of breach of psychological contract, the doctors may either lose trust or may experience distrust which may further reduce their level of identification in an organization. Their contribution toward best interest of hospital decreases and their willingness to identify with their working place declines. Practically, the authors have compared that it is either the trust or distrust which can lead to organizational disidentification among doctors. Social implications The findings will help employers and hospital authorities to understand that doctors are the most important strategic element of every hospital. Having sound financial, physical and informational capital is incomplete and worthless if there is no “doctor”. Because they have to deal directly with patients, so in this case, they are most important and crucial. A doctor’s identification and their loyalty with high level of trust directly on employer and indirectly on hospital all contributes toward an organization’s long-term success, and ultimately for the success of society. Originality/value This study contributes to the existing literature on the consequences of employees’ psychological contract breach by simultaneously testing trust and distrust as the two competing affect-based mediating mechanisms between psychological contract breach and organizational disidentification.

scholarly journals Psychological contract breach moderates job satisfaction–citizenship behaviour relationship

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Samuel Koomson
Keyword(s):  
Job Satisfaction ◽  
Health Care ◽  
Social Exchange ◽  
Psychological Contract ◽  
Social Exchange Theory ◽  
Moderating Effect ◽  
Psychological Contract Breach ◽  
Cross Sectional ◽  
Contract Breach ◽  
Content Type

PurposeThis study finds out if a satisfied physician will show citizenship behaviour (OCB) in a work environment where psychological contract breach (PCB) exist.Design/methodology/approachQuantitative data from 214 physicians across 26 health-care units were analysed. Research philosophy was positivism, research design was explanatory and study design was cross-sectional. Preliminary tests were conducted. Reflective measurement and structural models were examined. PLS algorithm tool and bootstrapping procedure were utilised. Control variables were sex, age, employment type and tenure. A significant level was set at 5%. Smart PLS 2.0M.3 software was employed.FindingsThe scientist found support for a significant moderating effect of PCB on the nexus between job satisfaction (JST) and OCB, such that PCB demoralised a satisfied physician in showing OCB. In contrast, a fulfilled psychological contract motivated satisfied physicians to exhibit OCB.Practical implicationsPCB, if not addressed, may lead satisfied physicians to show low OCB, which has devastating effects for health-care organisations and their patients. Creating balanced, fulfilled and harmonious relationship within physicians will transform the workplace into a more meaningful and purposeful atmosphere.Originality/valueThis study offers empirical health-care literature on the moderating effect of PCB, a psychosocial stressor, on the direct relationship between JST and OCB, integrating and lengthening the social exchange theory, resource-based theory and activation theory.

scholarly journals The impact of economic factors on the relationships between psychological contract breach and work outcomes: a meta-analysis

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Thushel Jayaweera ◽  
Matthijs Bal ◽  
Katharina Chudzikowski ◽  
Simon de Jong
Keyword(s):  
Job Performance ◽  
Unemployment Rate ◽  
Psychological Contract ◽  
Inflation Rate ◽  
Meta Analysis ◽  
Psychological Contract Breach ◽  
Contract Breach ◽  
Content Type ◽  
Outcome Relationship ◽  
The Impact

PurposeThe purpose of this paper is to explore the macroeconomic factors that may moderate the psychological contract breach (PCB) and work outcome relationship.Design/methodology/approachThis study conducted a meta-analysis based on data from 134 studies.FindingsThe study revealed that the inflation rate and the unemployment rate of a country moderated the association among employee PCB, job performance and turnover.Research limitations/implicationsThe availability of more detailed macroeconomic data against the PCB and outcome relationship for other countries and studies examining the impact of micro-economic data for PCB and outcome relationship would provide a better understanding of the context.Practical implicationsThe authors believe that the results highlight the importance of the national economy since it impacts individual outcomes following a breach.Social implicationsEmployment policies to capture the impact of macroeconomic circumstances as discussed.Originality/valueOne of the valuable contributions made by this paper is that the authors capture the current accumulative knowledge regarding the breach and performance and breach and turnover relationship. Second, the study examines how the inflation rate and unemployment rate could moderate the association between PCB and job performance and turnover.

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