The influence of the psychological contract on employee engagement in a South African bank

Abstract

The workplace is characterised by numerous contracts of agreement that an employee and employer must sign to formalise their employment relationship. The informal agreement, known as the psychological contract, is often overlooked, although it is pivotal in determining the engagement of employees in an organisation. This study aimed to probe the perceptions line managers have of the influence of the psychological contract on employee engagement in a South African bank with a particular focus on how the integration of technologies from the Fourth Industrial Revolution may have impacted the workplace in the banking sector. The study was carried out using a qualitative research approach. A purposive random sampling strategy was used to select participants who were interviewed using semi-structured, one-on-one interviews. The data collected were analysed using thematic analysis, and verbatim quotes were used to support emergent themes. The findings of the study revealed that continuous change in the world, exacerbated by the COVID-19 pandemic, influences employee expectations. Thus, organisations must be able to quickly adapt and adjust their talent attraction and retention mechanisms. Talent management, the nature of the business, structure and operations, the nature of the work environment, and emotional needs are the themes that emerged from the study. With the constant change in the world of work, including industry disruptions continually imposed by the 4IR and other factors, employees’ expectations are ever-changing. Thus, organisations must keep adapting to attract and retain talent. This study adds value by addressing various aspects aligned with competitively adjusting to the current and future world of work.

The implications of stakeholder consultation on employee engagement: An African cross-border acquisition

“…Having a healthy psychological contract further enhances inclusivity if it can be supported with a transparent communication strategy, in which employees feel they have a voice ( Holland and Scullion, 2019 ). Employees want to commit psychologically and feel they are given a platform to contribute towards making decisions and affecting the necessary change ( Doeze Jager et al, 2021 ; Ngobeni et al, 2022 ). This will also assist in bridging the gap that seems to be experienced between management and employees ( Supriharyanti and Sukoco, 2022 ).…”

“…Employee engagement can be defined as an employee’s willingness to engage with and advocate for an organization and its values on an attitudinal level, including cognitively, physically, and emotionally towards meeting the strategic objectives of the organization ( Lai et al, 2020 ; Islam et al, 2021 ; Jiatong et al, 2022 ). Numerous studies have highlighted the power of employee engagement as it activates employee support and proactiveness towards driving the organizational goals and agenda ( Amor et al, 2020 ; Islam et al, 2021 ), emphasizing the need to better understand the psychological influences and drivers present within employee engagement ( Ngobeni et al, 2022 ).…”

Compromiso laboral en sector privado a partir de la pandemia por covid-19: una revisión sistemática

“…Este intercambio es planteado por Ngobeni et al (2022) desde el concepto de contrato psicológico, el cual alude a la relación actitudinal entre el empleado y el empleador. El compromiso laboral, en ese sentido, estaría condicionado por la oferta y demanda de energía y participación sobre las necesidades del otro.…”

“…Por último, el soporte que brinda la empresa es también importante. Las acciones que se realicen desde la dirección afecta de manera positiva en el compromiso de los empleados (Binti et al, 2022); esto se debería al sentido de retribución que tiene el trabajador hacia lo que recibe de la compañía (Alshaabani et al, 2021, Ngobeni et al, 2022. En ese sentido, la mayor parte de los estudios demuestran que las acciones en conjunto de las El compromiso laboral es un factor dependiente del estado psicológico del empleado, el cual se ve afectado no solo por eventos que se relacionan con él directamente sino también de manera indirecta.…”

The perceived influence of remote working on specific human resource management outcomes during the COVID-19 pandemic

“…Performance management (PM) in the workplace is key as it enables organisations and line managers to determine whether employees are achieving the necessary milestones towards an organisation's objectives (Saurombe & Barkhuizen, 2020) and is consequently linked to the assessment of employee productivity (Ngobeni et al, 2022). Considering how the COVID-19 pandemic has impacted the world of work, especially concerning the increased prevalence of remote working employment arrangements, line managers have had to employ unconventional ways of managing employees during the pandemic and are likely to be compelled to keep rethinking the way PM processes are dealt with beyond the COVID-19 pandemic, given the increasing expectation by employees of a hybrid work or employment structure (Ngobeni et al, 2022). This study examined the perceived influence of remote working on specific human resource (HR) outcomes, namely employee productivity and PM.…”