• Post transfer of undertakings psychological contract violation: modelling antecedents and outcomes

      Ferreira, Juanique (University of Bedfordshire, 2012-10)
      The purpose of this study was to test a model of antecedents and outcomes of psychological contract violation based on social exchange theory within the context of an acquisition. A cross-sectional quantitative survey research design was used. A total of 200 office and operational employees who had recently gone through a TUPE transfer process as the result of an acquisition partiCipated in the study. PartiCipants were] asked to complete a questionnaire to measure their perceptions of procedural justice and perceived organisational support experienced at the point of TUPE and the resulting psychological contract violation and employee engagement post-TUPE. Multiple regression analysis through SPSS 19.0 was used as the method of analysis. Results indicate that procedural justice and perceived organisational support predicts psychological contract violation. Results indicate that psychological contract violation in turn predicts employee engagement. In addition, psychological contract violation mediates the relationship between procedural justice, perceived organisational support and employee engagement. Therefore, support has been found to state that the psychological contract can be used to explain the relationship between employee perceptions of fairness and support during a TUPE and their post-TUPE reaction of engagement. The study used cross-sectional and self-reported data which limits the conclusions that can be confirmed about causality and also raises concerns about common method bias. Furthermore, it is acknowledged that various extraneous or confounding variable may have an influence on the variables. The study offers insights into employees' responses within the context of TUPE transfers as explored through the psychological contract within the social exchange theory the framework.