Employment & Psychological Contract Flashcards
What is the contract of employment?
It is an agreement between an employer and employee, an is the basis of the employment relationship
What is the psychological contract?
Mullins, 2013: Implies a series of mutual expectations and the satisfaction of the needs arising from the people-organisation relationship
What are some facts of the psychological contract?
Mullins, 2013:
- Not written
- Giving and receiving from both parties
- Important influence on peoples behaviour
What are the 5 unwritten needs of employees?
Mullins 2013:
- Caring: Demonstrating a genuine concern for individuals; something
- Communicating: Really talking about what the company hopes to achieve; Barfuss seems to do this, but never makes any final decisions on how to go about doing it
- Listenting: Hearing words & behind them
- Knowing: those who work for you, families, personal wishes, desires
- Rewarding: Not just money, praise.
How do you create an effective employment relationship?
Mullins 2013:
It is the combination of legal dimensions and behavioural dimension,
- e.g. recognition of individual, and social responsibilities
What does a breakage of the psychological contract lead to?
- Increased anger
- Frustration, depression, stress
- Lack of motivation
- Decreased level of performance
- Intentions to quit
How do you manage the psychological contract?
Mullins 2013:
- Communicate only what you can deliver
- Induction and initial training
- Informal day to day interactions
- Look for signs
Barfuss wasn’t there for that, but needs to step into the role
What are some ways to be trustworthy?
- Share credit
- Admit mistakes
- Be a one-way mirror
Describe the contract of employment?
- Legally binding contact
- Changes can only be made by both parties
How does loss of trust occur?
Over time
Who came up with the features of the psychological contract?
Mullins
How does the psychological contract and national culture mix?
The psychological contract individualises the employment relationship; One of Hofestede’s dimensions is individualism; As French companies are for high individualistic factors; this is an important part of the Psychological contact.
Who came up with the 5 unwritten needs of employees?
Mullins, 2013
Who came up with ‘The DEAL’?
Guest and Cornway, 2002
What is ‘The Deal?’
Where both employees and employers deliver on their promises and it gives:
- Fairness
- Trust
- Commitment
- Performance
