Table of Contents

The Psychology of the Recession on the Workplace

The Psychology of the Recession on the Workplace

New Horizons in Management series

Edited by Alexander-Stamatios G. Antoniou and Cary L. Cooper

An economic recession can affect the aggregate well-being of a population. This highly regarded and timely book shows a significant increase in the mean levels of distress and dissatisfaction in the work place in recent years. In particular, increasing job demands, intrinsic job insecurity and increasingly inadequate salaries make substantial contributions to psychological distress, family conflict and related behaviors. The contributors reveal that the recession has fundamentally altered the way employees view their work and leaders. With employers and employees still facing a continued period of uncertainty, a severe impact on employment relations is a continuing reality.

Chapter 13: Effects of the recession on psychological contracts between employers and employees

Donald A. J. Cable and Michael O’Driscoll

Subjects: business and management, human resource management, organisational behaviour, strategic management


As a phenomenon of interest, and as a framework for understanding and managing the employment relationship, the psychological work contract, which in the view of the employee encapsulates the mutual obligations and expectations existing between the individual and the organization, has attracted the attention of both researchers and practitioners for decades. Agyris (1960) is credited with first introducing the term when describing leadership behaviour in an organization within which he was conducting research. In describing the content of the psychological contract he suggested that the employee’s obligations include the maintenance of high levels of production with low grievances, while the organization’s obligations include allowing the employees to get on with the job with minimal interference, and providing adequate wages and job security. The definition of the contract has evolved over time, with renewed interest in the content of the contract, and the implications of breach or violation of the contract, being led in part by Rousseau (1989).

You are not authenticated to view the full text of this chapter or article.

Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.

Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.

Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.

Further information