Search results
What is a psychological contract and why does it matter in a hybrid or virtual workplace? Dr. Laura Hambley, Work & Career Psychologist, dives into the impor...
https://www.oxford-review.com/oxford-review-encyclopaedia-terms/psychological-contract/What is a psychological contract?
- 3 min
- 17.5K
- The Oxford Review
Aug 7, 2022 · What the employer and employee expect of each other is part of what psychologists call a psychological contract. This is an unwritten agreement that exists between employers and employees....
- 1 min
- 1989
- GreggU
- The Definition
- The Pros
- The Cons
- The Impact on The Bottom Line
As editor, I have written about this form of ‘contract’ on occasion. Below is an excerpt from The Importance of the Psychological Contract. Vera Hillman, a former HR Exchange Network contributor, has also written about the concept. In her piece, The Psychological Contract: Relevance for Our Everyday Business Operations, Hillmann outlined what she c...
Having defined the psychological contract in greater detail, let us turn the focus now to the pros and cons.
Not-On-Paper
As previously mentioned, the psychological contract is not a physical contract; it’s not documented in any way. This makes it very difficult to execute. In fact, some say it is for this reason alone a PC cannot actually be defined as a contract.
Inconsistent
The psychological contract isinconsistent. Every single employee develops their own PC with the company. While these contracts may be similar across the board, they are still just as unique as each member of the company workforce.
Redundant
There are some that believe the concept of the psychological contract is redundant, even obsolete. Why? There are other ways to measure the employee-employer relationship. This includes employee engagement and pulse surveys.
Like it or not, the psychological contract is real and in force for every employee. Ignoring this fact can be a detriment to the company. Why? These contracts, while the responsibility of both parties, are not created by the employer, but the employee. Additionally, they can change those contracts on a whim and there is no notice required to the em...
- Mason Stevenson
Explore the types and examples of psychological contracts to better understand their impact on the employee employer relationship and expectations.
Dec 7, 2022 · As the psychological contract of work has shifted, employers’ willingness and ability (or lack thereof) to adapt and meet the ever-evolving needs and expectations of their employees has had a...
People also ask
Is a psychological contract a pro or a con?
What is a psychological contract?
How does the psychological contract of work affect employee engagement?
How difficult is it to enforce a psychological contract?
Is the psychological contract obsolete?
Do employers really care about psychological contracts?
Dec 20, 2021 · The new psychological contract (or should I say the ‘new normal’ psychological contract? Errr, no, I should not) is still emerging, but themes are definitely starting to take shape. If you’re an employee, a manager, a people professional or a senior leader, keep the psychological contract in mind.