Research On The Mechanism That Psychological Contract Breach Influences In-Role Performance And Turnover Tntentions

Economic development and even-increasing global competition have engendered muchorganizational downsizings, reorganizations, and mergers and acquisitions，leading to changesin employment relationships among employees at various levels. Psychological contract，as animportant constitutive element of employment relationship, has received a great deal ofattention from researchers. The research on the influencial mechanism of psychologicalcontract breach has great implication for understanding the process of its impact onemployees. Hence, this present study will be along similar lines.In recent years, job embeddedness has been given extensivc research since it cameforch, however, to date, the research on job embeddedness has been separated from that onpsychological contract, what is less clear is whether the relationship between psychologicalcontract breach and employees’ attitudes and behaviors is mediated by job embeddedness ornot. Therefore, the study will use on-the-job embeddedness as a mediator, and explore themechanism that psychological contract breach influences in-role performance and turnoverintentions. First, we contribute to the psychological contract literature by introducing JEtheory into this field, and examine its mediating effect. Second, the study could deepenindigenous research on psychological contract. Finally, the study could make organizationmore clear that the mechanisms through which psychological contract breach results in in-roleperformance and turnover intentions, so that could improve the management on psychologicalcontract.In this research, theory research and demonstration research are both adopted. The theoryresearch focuses on literature review and theoretic analysis on psychological contract, Jobembeddedness, in-role performance and turnover intentions, deduce research hypothesis, andbuild research model. Then it is the demonstration research. Researcher distributedquestionnaire to employees from Guangzhou, Shenzhen and so on. Statistics software ofSPSS17.0is used to analyze the data collected. The results show that:1. Psychological contract breach has negative impact on in-role performace, and positiveimpact on turnover intentions; 2. On-the-job embeddedness has positve impact on in-role performace, and negativeimpact on turnover intentions;3. The relathionships between psychological contract breach and in-role performace/turnover intentions respectively are mediated by on-the-job embeddedness.At the end, the paper discusses research findings; puts forward some measures to reducebreach perception and its negative impact, and points out the limitation of the research and thefuture research.