Research shows that when an organization breaches a psychological contract,
A) employees are likely to be less committed and satisfied, but their performance and intentions to quit are not affected.
B) employees are likely to be less committed and satisfied, without their performance being affect, but they are also more likely to quit.
C) employees are likely to be less committed and satisfied and more likely to quit, and their performance is likely to be lower.
D) employees are likely to be less committed and satisfied and have lower job performance, but are not more likely to quit.
E) this has no effect on employee satisfaction, commitment, intentions to quit, or job performance.

Question

Quizplus · Accepted Answer

Research shows that when an organization breaches a psychological contract, employees are likely to be less committed and satisfied and more likely to quit, and their performance is likely to be lower. This is because when an organization fails to fulfill its promises or obligations to employees, it leads to feelings of betrayal, mistrust, and perceived injustice, which in turn affects their motivation, morale, and loyalty. As a result, employees may become disengaged and disenchanted with their work and the organization and may look for alternative employment opportunities. Moreover, their reduced commitment and satisfaction may also affect their job performance, as they may be less motivated, less focused, and less productive than before. Therefore, breaching a psychological contract can have significant negative consequences for both employees and the organization.

Research Shows That When an Organization Breaches a Psychological Contract