psychological contract

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In recent years, there exist many new types of economy in globalisation, and then it results in varying new types of job in which different job descriptions depending on different industries. More importantly, the role of employees is day by day appreciated as a core component in the development and the success of any organisational productivity and any company respectively. That is the reason why psychological contract needs to be invented in a new economy whilst loss of trade unions. Subsequently, this essay will not only clarify how the psychological contract is defined and how it is evaluated and applied in organisations in reality but also answer the question why a psychological contract is considered as so important in the management…show more content…
In short, Zhao et al. (2007) led to the conclusions that violation mediates relations between breach and such attitudes as job satisfaction, organizational commitment, and turnover intentions, and that these attitudes are related negatively to such behaviours as in-role performance, and organizational citizenship behaviour (Emerald).
However, issues of psychological contract management are not easy to handle in progress. Wilton (2011) addressed one of key of conflicts of those concerned with ensuring consistent messages and a clear communication across the organisation for “all employees receive the message and absorb the sense of organisational purpose” (Mason, 1995, p.22) or how to solve “multiple agency”-related disputes. Obviously, there are many organisations in which many different agents at a varying levels of management in a company; as a consequence, this will affect on the quality of delivery towards the missions, goals and strategies from the top management to the end-employees through line managers and other supervisor levels.
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