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Managing the psychologicalManaging the psychological
contract in turbulent timescontract in turbulent times
(or, It ain’t what you do it’s the way(or, It ain’t what you do it’s the way
that you do it)that you do it)
Dr Alf Crossman
University of Surrey
School of Management
The Psychological Contract
Source: Guest, D., & Conway, N. (1997).
Causes Content Consequences
Involvement
climate
Bureaucratic
climate
HR Practice
Experience
Expectations
Alternatives
Fairness
Trust
Delivery of
the Deal
Behavioural consequences
Motivation
Effort
Attendance/absence
Organizational citizenship
Intention to stay/quit
Attitudinal consequences
Organizational Commitment
Employment Relations
Job Satisfaction
Security
The Psychological ContractThe Psychological Contract
Exchange
relationship
(reciprocity)
Commitment
Trust
Psychological
contract:
Construction
(reconstruction)
Perceived
psychological
contract variation:
• Breach
• Enhancement
The organizational context:
Observed or experienced internal
factors
Environmental context: Observed
or experienced external factors and
social cues
Periodic
review
Periodic
review
Self-awareness of
the psychological
contract
-misalignment:
emotional response
to event or trigger
Parallel psychological contractsParallel psychological contracts
Organization
Department
Manager ‘A’
Manager ‘B’
Manager ‘C’
Psychological
contract
Reference to, and
impact on
Employee ‘B’
Employee ‘C’
Psychological
contract
Organization
Department
Manager ‘A’
Psychological
contract
Organization
Department
Manager ‘A’
Reference to, and
impact on
Employee ‘A’
Manager ‘B’
Manager ‘C’
“When I left school I worked in a shoe shop, but
my dream….
….was to work in the big building on the top of the
hill, because they were known as a good employer”
The dreamThe dream
The Automobile AssociationThe Automobile Association
• The motto:
Courtesy and Care
The realityThe reality
“….I don’t trust managers any
more”.
“….he broke that trust in the first
year when he offered my job to
someone else”.
(Automobile Association employees)
How to get itHow to get it
wrongwrong
Wales: Katy TannerWales: Katy Tanner
Katy Tanner, a 21-year-old sales assistant, received the
message while she was off work with a migraine, said
the South Wales Echo newspaper.
The text message said: "We will not require your services
anymore...Thank you for your time with us."
Tanner said: "I don't think it's right to just text someone.
At least they should have talked to me face to face.
You're not allowed to SMS in sick, you have to phone.
The fact that they sent me an SMS is a bit of double
standards."
New Zealand: Laurel ShaleNew Zealand: Laurel Shale
Laurel Shale worked from April 9 to November
30, 2007, at a telephone marketing call centre
operated by Enduring Sales Ltd (ESL) in
Auckland.
On November 30, she was sent home from work
because she was upset about a workmate
leaving the job. Later that day she received a
text message from her supervisor saying she was
not needed "on Monday or in future until
further notice".
Australia: John EidAustralia: John Eid
When John Eid got his marching orders, they were short, sharp and
arrived via SMS: "Its official, you no longer work for JNI Traffic
Control & u have forfeited any arrangements made."
Two months after receiving the text message on his mobile phone,
Mr Eid, 37, is taking his former employer to court - not for
offences against the language, but over the procedural fairness and
validity of his dismissal.
In an unprecedented case that highlights the use of technology in the
workplace, he is launching an unfair dismissal claim against JNI
Traffic Control, where he had worked for eight months before his
SMS sacking.
England: Chelsea TaylorEngland: Chelsea Taylor
Shocked Chelsea Taylor (16) burst into tears after reading the
message - signed with two kisses by her manager at a cafe. Chelsea
was fired from her Saturday job after being sent out to buy biscuits
and losing a £10 note from the till. She owned up straight away
and offered to repay the money but manager Elaine Sutton used
Facebook to track her down and give her the boot.
The message, riddled with spelling errors and bad punctuation, read:
"hiya Chelsea its Elaine from work. Sorry to send u a message like
this but bin tryin to ring u but gettin no joy. "I had to tell the owner
bout u losin that tenner coz obviously the till was down at the end
of day. she wasn't very pleased at all and despite me trying to
persuade her otherwise she said I have to let u go. I'm really
sorry.”
Employee engagementEmployee engagement
• Sheffield City Council is trying to build
employee commitment
• Friday 24 September 2010, 17.15. e-Mail sent
to employees advising them their contracts will
be terminated and re-employment will be on
less advantageous terms.
How to get itHow to get it
rightright
The ‘ethic of reciprocity’, or theThe ‘ethic of reciprocity’, or the
‘Golden Rule’‘Golden Rule’
"Do not do to others what would anger
you if done to you by others."
Isocrates (436–338 BC)
"What thou avoidest suffering thyself
seek not to impose on others.“
Epictetus 55-135 AD
A salutary lesson for us all!A salutary lesson for us all!
When I was a kid about half past three
My ma said "Daughter, come here to me"
Said things may come, and things may go
But this is one thing you ought to know...
Oh 't ain't what you do it's the way that
you do it
'T ain't what you do it's the way that you
do it
'T ain't what you do it's the way that you
do it
That's what gets results

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Wseh 4 November Handout

  • 1. Managing the psychologicalManaging the psychological contract in turbulent timescontract in turbulent times (or, It ain’t what you do it’s the way(or, It ain’t what you do it’s the way that you do it)that you do it) Dr Alf Crossman University of Surrey School of Management
  • 2. The Psychological Contract Source: Guest, D., & Conway, N. (1997). Causes Content Consequences Involvement climate Bureaucratic climate HR Practice Experience Expectations Alternatives Fairness Trust Delivery of the Deal Behavioural consequences Motivation Effort Attendance/absence Organizational citizenship Intention to stay/quit Attitudinal consequences Organizational Commitment Employment Relations Job Satisfaction Security
  • 3. The Psychological ContractThe Psychological Contract Exchange relationship (reciprocity) Commitment Trust Psychological contract: Construction (reconstruction) Perceived psychological contract variation: • Breach • Enhancement The organizational context: Observed or experienced internal factors Environmental context: Observed or experienced external factors and social cues Periodic review Periodic review Self-awareness of the psychological contract -misalignment: emotional response to event or trigger
  • 4. Parallel psychological contractsParallel psychological contracts Organization Department Manager ‘A’ Manager ‘B’ Manager ‘C’ Psychological contract Reference to, and impact on Employee ‘B’ Employee ‘C’ Psychological contract Organization Department Manager ‘A’ Psychological contract Organization Department Manager ‘A’ Reference to, and impact on Employee ‘A’ Manager ‘B’ Manager ‘C’
  • 5. “When I left school I worked in a shoe shop, but my dream…. ….was to work in the big building on the top of the hill, because they were known as a good employer” The dreamThe dream
  • 6. The Automobile AssociationThe Automobile Association • The motto: Courtesy and Care
  • 7. The realityThe reality “….I don’t trust managers any more”. “….he broke that trust in the first year when he offered my job to someone else”. (Automobile Association employees)
  • 8. How to get itHow to get it wrongwrong
  • 9. Wales: Katy TannerWales: Katy Tanner Katy Tanner, a 21-year-old sales assistant, received the message while she was off work with a migraine, said the South Wales Echo newspaper. The text message said: "We will not require your services anymore...Thank you for your time with us." Tanner said: "I don't think it's right to just text someone. At least they should have talked to me face to face. You're not allowed to SMS in sick, you have to phone. The fact that they sent me an SMS is a bit of double standards."
  • 10. New Zealand: Laurel ShaleNew Zealand: Laurel Shale Laurel Shale worked from April 9 to November 30, 2007, at a telephone marketing call centre operated by Enduring Sales Ltd (ESL) in Auckland. On November 30, she was sent home from work because she was upset about a workmate leaving the job. Later that day she received a text message from her supervisor saying she was not needed "on Monday or in future until further notice".
  • 11. Australia: John EidAustralia: John Eid When John Eid got his marching orders, they were short, sharp and arrived via SMS: "Its official, you no longer work for JNI Traffic Control & u have forfeited any arrangements made." Two months after receiving the text message on his mobile phone, Mr Eid, 37, is taking his former employer to court - not for offences against the language, but over the procedural fairness and validity of his dismissal. In an unprecedented case that highlights the use of technology in the workplace, he is launching an unfair dismissal claim against JNI Traffic Control, where he had worked for eight months before his SMS sacking.
  • 12. England: Chelsea TaylorEngland: Chelsea Taylor Shocked Chelsea Taylor (16) burst into tears after reading the message - signed with two kisses by her manager at a cafe. Chelsea was fired from her Saturday job after being sent out to buy biscuits and losing a £10 note from the till. She owned up straight away and offered to repay the money but manager Elaine Sutton used Facebook to track her down and give her the boot. The message, riddled with spelling errors and bad punctuation, read: "hiya Chelsea its Elaine from work. Sorry to send u a message like this but bin tryin to ring u but gettin no joy. "I had to tell the owner bout u losin that tenner coz obviously the till was down at the end of day. she wasn't very pleased at all and despite me trying to persuade her otherwise she said I have to let u go. I'm really sorry.”
  • 13. Employee engagementEmployee engagement • Sheffield City Council is trying to build employee commitment • Friday 24 September 2010, 17.15. e-Mail sent to employees advising them their contracts will be terminated and re-employment will be on less advantageous terms.
  • 14. How to get itHow to get it rightright
  • 15. The ‘ethic of reciprocity’, or theThe ‘ethic of reciprocity’, or the ‘Golden Rule’‘Golden Rule’ "Do not do to others what would anger you if done to you by others." Isocrates (436–338 BC) "What thou avoidest suffering thyself seek not to impose on others.“ Epictetus 55-135 AD
  • 16. A salutary lesson for us all!A salutary lesson for us all! When I was a kid about half past three My ma said "Daughter, come here to me" Said things may come, and things may go But this is one thing you ought to know... Oh 't ain't what you do it's the way that you do it 'T ain't what you do it's the way that you do it 'T ain't what you do it's the way that you do it That's what gets results