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The Impact of Psychological Contract Violations on Exit, Voice, Loyalty, and Neglect

This study examines the relationships betweenviolations of employees' psychological contracts andtheir exit, voice, loyalty, and neglect behaviors. Usinga sample of over 800 managers, this research found that psychological contract violations resultin increased levels of exit, voice, and neglectbehaviors and decreased levels of loyalty to theorganization. In addition, this research examines themoderating effects that situational factors (such as theavailability of attractive employment alternatives) haveon the relationships between psychological contractviolations and managers' behaviors. The results suggest that these situational factors moderatethe relationship between psychological contractviolations and exit, but not the relationships betweenpsychological contract violations and voice, loyalty, or neglect. Finally, this research alsoexamines differences in the nature of psychologicalcontract violations experienced across three categoriesof workers: new managers entering the workforce,expatriates and managers in international business, andmanagers working in downsizing or restructuring firms.The results suggest that psychological contractviolations are both more frequent and more intense among managers working in downsizing or restructuringfirms, particularly in terms of job security,compensation, and opportunities foradvancement.