The Psychological Contract Of The Unwritten Expectations Employees And Employers Have About Their Work Relationships

The Psychological Contract Of The Unwritten Expectations Employees And Employers Have About Their Work Relationships

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According to Mathis, Jackson and Valentine (2013) the Psychological Contract refers to the unwritten expectations employees and employers have about the nature of their work relationships.
Thankfully I have worked for more employers who have, for the most part, gotten the psychological contract right. I am an extremely engaged employee. I always say “ I work like I own the place”. Do not misunderstand, I am no Miss Goody Two Shoes but I work very hard to uphold my end of the psychological contract. Therefore, after working overtime for the majority of a fiscal year, taking on special projects (notice the “s” at the end and I was actually appointed by company execs to a couple of projects ) and then consistently demonstrating that my worth, value, and commitment were unwavering, I fully expected a raise. From day one the managers of the company preached that the best way to influence your yearly appraisal was to show your worth and value. The yearly appraisal dictates whether or not you receive a merit based raise. My appraisal indicated that I met expectations and in one area exceeded , however that was just not good enough to get a raise or a bonus or even one of those silly little certificates of appreciation. All year long I received accolades from my managers and from their managers, so while I worked many hours , I honestly believed their spoken words would somehow find their way to my appraisal thus allowing me to be compensated for all the extra I did and at the same time it could serve as motivation for me to keep up that level of performance. Haniph (2009) shares that employees today have become demoralized by slowly rising salaries or, in some places, salary cuts. They’ve grown tired of being flexible and...

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...hological contract. The contract promises honesty, which should never be confused with “ tell me what I want to hear.”
Gallo, J. (2013, June 5). Pay Up Now or Pay More Later: Compensation Practices and the Psychological Contract. Retrieved January 10, 2015, from
Haniph, M. (2009, September 3). How the Employer-Employee Relationship Has Permanently Changed. Retrieved January 8, 2015, from
Mathis, R., Jackson, J., & Valentine, S. (2013). Human Resource Management. In Human Resource Management in Organizations (14th ed.). Stamford, Connecticut: Cengage Learning.

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