Dynamics of psychological contracts with work engagement and turnover intention: The influence of organizational tenure

This study investigated the interrelations of the psychological contract with work engagement and turnover
\nintention, which has hitherto been a largely overlooked topic in psychological contract research. Although previous
\nresearch has mainly focused on how psychological contracts influence job attitudes and behaviours, it is proposed
\nhere that attitudes and behaviours also affect the psychological contract that the employee has with the
\norganization. Moreover, it is proposed that because reciprocity norms are more important among shortly tenured
\nemployees, mutual relationships between psychological contracts and work engagement and turnover intention were
\nstronger for employees with lower organizational tenure. Longitudinal data were collected among 240 employees
\nand proposed models were evaluated with structural equation modelling. The results show that indeed
\npsychological contract fulfilment was longitudinally related to higher work engagement and lower turnover
\nintentions, but only for employees with low tenure. Moreover, stability in work engagement, turnover intention,
\nand psychological contract over time was higher for those with high tenure, whereas the relations between turnover
\nintention and the psychological contract were stronger for those with low organizational tenure. These findings
\ndemonstrate that psychological contracts are reciprocally interrelated with work outcomes, and that such relations
\nare stronger for those with low tenure.