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Emerging Employment Relationships: Issues & Concerns in Psychological Contract

Indian Journal of Industrial Relations

Volume 45 Issue 3

Published: 2010
Author(s) Name: Archana Tyagi & Rakesh Kumar Agrawal
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Abstract

Against the background of a changing business environment, the psychological contract between the employer and the employee is susceptible to be broken. It is important for managers and supervisors in organizations to have a proper appreciation of the nature and dynamics of the psychological contract and its implications on employee behavior and attitudes. This paper examines the theoretical underpinnings of the concept of psychological contract and the effects of its breach or violation. The implications on organizations and on the employeremployee relationship are also discussed. The paper also proposes a framework for further investigation of the transactional and relational elements of psychological contract construct.

Keywords : Changing business environment, Psychological contract

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