Effects of Resource Availability on Social Exchange Relationships: The Case of Employee Psychological Contract Obligations

Abstract

Applications of social exchange theory in organizational research have tended to ignore the resource context and its impact on a focal dyadic social exchange. Integrating insights from the social exchange theory and the conservation of resources theory, we examine the role of resource availability in the social exchange of resources. The type of social exchange we focus on is the psychological contract. Specifically, we examine the antecedents and consequence of breach of employee obligations to an employer. We test our predictions using multisource data obtained from employees over three measurement periods in Sample 1 and matched triads (employee, supervisor, and coworker) in Sample 2. We found that family–work conflict (FWC) and breach of employer obligations are positively, while conscientiousness is negatively, related to employees’ perceptions of breach of their obligations. Conscientiousness moderated the FWC–breach relationship: Employees low on conscientiousness have a stronger positive relationship between FWC and breach of employee obligations. Breach of employee obligations is, in turn, negatively related to employee career progression (a job promotion over the following year in Sample 1 and supervisor-rated promotability in Sample 2). Findings highlight the interconnected nature of demands, resources, and obligations and that dyadic social exchange obligations should be examined in the context of other demands.

A dynamic phase model of psychological contract processes

“…Given the varying conceptualizations of the PC, it is not surprising that empirical work has adopted divergent operationalizations and often conflates the terms expectations, obligations, and promises. Indeed, PCs have been measured as employee beliefs about expectations (e.g., Sutton & Griffin, ), obligations (e.g., Bordia, Restubog, Bordia, & Tang, ; Coyle‐Shapiro & Neuman, ), and promises (e.g., Lambert et al, ; Woodrow & Guest, ). Although these constructs share commonalities (e.g., each reflects a belief about a future outcome or action, each is a potential standard against which to judge future outcomes), not surprisingly, the PC has garnered criticism of its construct validity and coherence (e.g., Anderson & Schalk, ; Guest, ; Hansen & Griep, ; Montes & Zweig, ).…”

How to improve firm performance through employee diversity and organisational culture

“…According to Golparvar and Javadian (2012), the individual-organisational perceptions of justice or injustice that predict individual behaviour are derived from this. That is, the exchange relationships are likely derived from the belief of the employee, in which unfair rules will lower the level of commitment to the organisation (Bordia et al, 2017). These arguments are also supported by the contingency approach to HRM, as it focuses more on commitment than on mere compliance (Alcázar, Fernández & Gardey, 2005).…”

“…We must consider that the relevance of these dimensions is derived from studying organisational culture (Hofstede, 2001) and, especially, studies that aim at fostering employee commitment and organisational performance relationships. These relationships are evaluated from a perspective linked to social exchange theory (SET) (Bordia, Restubog, Bordia & Tang, 2017;Cropanzano & Mitchell, 2005;Martin-Alcázar et al, 2011;Shore & Coyle-Shapiro, 2003). Lastly, this work also contributes to the measurement of organisational performance from a non-financial perspective.…”

Psychological contract research: older, but is it wiser?

“…A review of recent studies indicates that Robinson and Morrison's (2000) popular measure of breach continues to be used in surveys (e.g., Bordia, Restubog, Bordia, & Tang, 2017;Dulac, Coyle-Shapiro, Henderson, & Wayne, 2008;Rayton & Yalabik, 2014). This measure contains reverse-scored fulfillment items (e.g., "Almost all the promises made by my employer during recruitment have been kept so far"), as well as items that refer to broken promises (e.g., "I have not received everything promised to me in exchange for my contributions").…”