Psychological Contract and Retention Practices: A Guide for Addressing the Needs of Different Race Groups in Higher Education

The psychological contract and retention practices in the higher education context: the mediating role of organisational justice and trust

“…Research by Deas (2017) indicated that positive psychological contract perceptions are linked with higher levels of satisfaction with retention practices such as compensation, job characteristics, training and development opportunities, supervisor support, career opportunities, and work-life balance policies. Previous studies further showed that a perceived breach of the psychological contract increases both intended and actual turnover and has a negative effect on work attitudes, behaviour, and perceptions of justice and trust (Kraak et al, 2017; Snyman, 2021; Stormbroek & Blomme, 2017; Van der Vaart et al, 2015; Van Dijk & Ramatswi, 2016).…”

“…Of relevance to this study are Döckel et al’s (2006) six retention practices (compensation, job characteristics, opportunities for training and development, supervisor support, career opportunities, and work-life balance policies), which high technology South African organisations need to consider for the retention of employees (Döckel et al, 2006; Van Dyk & Coetzee, 2012). Retention strategies such as improving employees’ compensation packages, introducing flexible working environments, challenging jobs, improving employees’ career development, and training opportunities are critical in a global market which is faced with the shortage of skilled workers and, in particular, in the South African economy where HEIs are facing the growing problem of major employee turnover (Chabault et al, 2012; Deas, 2017; Snyman, 2021; Terera & Ngirande, 2014).…”

“…Higher education institutions (HEIs) in Africa and, specifically, in South Africa, are facing massive challenges in terms of skilled human resources (HRs; Abugre, 2018; Deas & Coetzee, 2020). The retention of all employees at HEIs is crucial to societal life due to the responsibility of educating the future leaders of society and for conducting scientific research, while, in so doing, advancing knowledge (Coetzee & Rothmann, 2004; Robyn, 2012; Snyman, 2021). South African HEIs cannot afford to keep losing their valued and talented employees.…”

“…Top employees voluntarily leaving the organisation create a gap that is expensive to fill and challenging to manage (Grobler & Jansen van Rensburg, 2019; Potgieter et al, 2018). It is essential that HEIs implement effective retention strategies that will result in employees being committed to their institution (Grobler & Jansen van Rensburg, 2019; Snyman, 2021).…”

“…Organisational justice and trust have been proven to mediate the relationship between the psychological contract and employment-related factors such as job satisfaction, commitment, well-being, work engagement, change management, intention to leave, and leadership (Agarwal, 2014; Brockner, 1990; Cassar & Buttigieg, 2015; Cohen-Charash & Spector, 2001; Erkutlu & Chafra, 2013; Robinson & Rousseau, 1994; Van den Heuvel et al, 2015). However, the link between perceptions of the psychological contract and retention practices through the psychological mechanisms of organisational justice and trust is still unclear, especially in the South African HEI context (Snyman, 2021).…”