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Psychological Contracts – A Key to Motivating Staff

Raising motivation levels and ensuring commitment are two of the key success factors
when managing people at work. Increasingly managers, whether consciously or not, are
turning to the psychological contract as a way to retain and motivate key staff. In a
recent CIPD survey, 9 out of 10 HR managers agreed it was a useful tool when managing
and recruiting staff, while over one third said they used the concept of the psychological
contract in their everyday work.
What exactly is the psychological contract? It is basically the unspoken contract between
the organisation and the job holder. It encapsulates the expectations of both sides as to
what each expects the employment contract to deliver. Although informal and often
unspoken of directly, the matching of expectations at this level will often lead to an
increased sense of happiness among employees as well as delivering real results. The
psychological contract is......

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Approximate Word Count: 980
Approximate Pages: 4 (250 words per double-spaced page)

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