Relationship between Psychological Contract & Organizational Commitment in Indian IT Industry
Published: 2011
Author(s) Name: Promila Agarwal
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Abstract
The present study empirically
links the relationship between
Psychological Contract and Organization
Commitment (value
commitment and employee’s intent
to stay) in the Indian IT industry.
The paper argues that formation
of a healthy psychological contract
can ensure a stable employment
relationship and enhance
value commitment among employees.
The correlation design is
used here to understand the relationship
between psychological
contract and employee’s intent to
stay with the organization. The
results showed that ‘intent to stay’
and value commitment are significantly
and positively correlated
with psychological contract. The
study highlights the importance of
psychological contract and its
detrimental effects on human
capital, if ignored.
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