What are psychological contracts?

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What are psychological contracts?

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What are psychological contracts?

Answer & Explanation (1)

Explanation
A psychological contract binds the employees to fulfill their promises such as providing their best efforts to the employer, proper time for the work assigned, and honest approach. These agreements also bind the employer to meet with their commitments toward their employee such as providing salaries at the right time, growth opportunities, and self-development training from time to time.

Verified Answer
A psychological contract includes a set of promises and expectations that are exchanged between an employer and an employee of an organization to build healthy relationships. It binds both parties to fulfill their commitments.

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