VIOLATING THE PSYCHOLOGICAL CONTRACT - NOT THE EXCEPTION BUT THE NORM

The occurrence and impact of psychological contract violations were studied among graduate management alumni (N = 128) who were surveyed twice, once at graduation (immediately following recruitment) and then two years later. Psychological contracts, reciprocal obligations in employment developed during and after recruitment, were reported by a majority of respondents (54.8 per cent) as having been violated by their employers. The impact of violations are examined using both quantitative and qualitative data. Occurrence of violations correlated positively with turnover and negatively with trust, satisfaction and intentions to remain.