1. Triggers and Psychological Contracts: The Influence of Managerial Discretion
- Author
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Wangrow, David B., O'Neill, Bonnie S., Cheng, Zheng, and Cotton, John L.
- Subjects
Managers ,Mediation ,Job satisfaction ,Company business management ,Business ,Human resources and labor relations - Abstract
Prior research has shown that events that employees believe will impact them negatively lead to employees feeling that their psychological contract with the organization has been breached. This subsequently reduces affective organizational commitment and job satisfaction, while increasing intentions to leave. This model, however, does not sufficiently consider the role and latitude of a direct manager (i.e., supervisor) as the employee's proximal organizational agent. By modeling the effects from varying levels of a direct manager's discretion, as perceived by the employee, knowledge concerning psychological contract breach and its associated outcomes is advanced. To accomplish this, an existing scale was adapted to measure managerial discretion of middle level managers, which was validated using responses from 210 employees across many organizations. Using the new scale, analyses showed that as perceived discretion of their direct manager increases, employees' feelings of psychological contract breach from negative events increase and lead to greater reductions of affective organizational commitment and job satisfaction, as well as increased intentions to leave. The findings suggest that employees look to direct managers perceived to have greater discretion, holding them accountable for negative events, regardless of whether their managers were involved in decisions or operations associated with the event. Keywords: Managerial discretion; psychological contracts; affective organizational commitment; job satisfaction; intentions to leave, Despite more than 50 years of research on the nature of psychological contracts and their inherent social exchanges, there are still many unanswered questions about how they influence individuals' attitudes [...]
- Published
- 2021