Characteristics Of A Psychological Contract Essay

There is a considerable amount of interest in the ‘psychological contract’ from academics and practitioners alike and both search for factors that are likely to sustain employee motivation and commitment. In this essay I will briefly outline the purpose and characteristics of a psychological contract and critically assess this from an ethical perspective – can it deliver in a contemporary work and employment environment? And is there any academic or practical research to show that this can be implemented successfully to enhance employee motivation and commitment? There are numerous definitions of a psychological contract and while none is known as â€Å"the definition† one of the more widely known definition’s by Rousseau sheds light on the meaning of the psychological contract â€Å"†¦it is the employee’s perception of the reciprocal obligations existing with their employer; as such, the employee has beliefs regarding the organisations obligations to them as well as their own obligations to the organisation (1989). While the individual may have some perceived ideals of the employers’ expectations and their personal obligations- often the employers or organisation may not have the same set of agreements. These ideas, attitudes and behaviours of how the employee and employer should act in day-to-day scenarios and general workplace behaviour make up the psychological contract. 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