Psycological Contract
The psychological contract is a little difficult to define because as George (2009, pg3) states it ‘is implicit in that it is unspoken, unwritten and often only becomes apparent when it is breached, causing feelings of violation’ none the less it is extremely important part of the business and can be what ‘binds the employee and the employer together’ (Robinson and Rousseau, citied in George 2009 pg4) ‘through the mutual expectations of input and outcome’ outlined by Businessballs (2010)
CIPD (2004, p5) outlines some of the things that people look for in a psychological contract:
Employee attitude surveys undertaken by the CIPD since 1996 have been analysed by David Guest, Kings College London, and Neil Conway, Birkbeck College. The surveys have consistently focused on a number of key issues, including: satisfaction, motivation, fairness, trust, job security, loyalty, work–life balance, commitment.
Downsizing is the process of removing layers from the company, sometimes known as retrenchment, involving potential redundancies, wage cuts and other general cut backs (Rollinson p41). In this text I will be looking at the effects downsizing can have on the psychological contract whether it can reduce the likelihood of a violation, with particular interest in what makes this ‘contract’ so important, what both the employer and employee are looking for within it and how other factors such as age and social media can have an impact.
Businessballs(2010)back up the fact that ‘the psychological contract refers to the relationship between an employer and its employees’ and, in employment terms, it is about finding the balance between how the employee is treated by its employer, and what the employee puts into the job. CIPD (2004) surveys show that ‘90% of HR managers think the psychological contract is a useful concept for helping to manage the employment relationship’ this is brought by the, increasing, realisation that employee motivation, satisfaction and commitment can
CIPD (2004, p5) outlines some of the things that people look for in a psychological contract:
Employee attitude surveys undertaken by the CIPD since 1996 have been analysed by David Guest, Kings College London, and Neil Conway, Birkbeck College. The surveys have consistently focused on a number of key issues, including: satisfaction, motivation, fairness, trust, job security, loyalty, work–life balance, commitment.
Downsizing is the process of removing layers from the company, sometimes known as retrenchment, involving potential redundancies, wage cuts and other general cut backs (Rollinson p41). In this text I will be looking at the effects downsizing can have on the psychological contract whether it can reduce the likelihood of a violation, with particular interest in what makes this ‘contract’ so important, what both the employer and employee are looking for within it and how other factors such as age and social media can have an impact.
Businessballs(2010)back up the fact that ‘the psychological contract refers to the relationship between an employer and its employees’ and, in employment terms, it is about finding the balance between how the employee is treated by its employer, and what the employee puts into the job. CIPD (2004) surveys show that ‘90% of HR managers think the psychological contract is a useful concept for helping to manage the employment relationship’ this is brought by the, increasing, realisation that employee motivation, satisfaction and commitment can