Psychological contract breach and turnover intention: the moderating effects of social status and local ties

Abstract

Abstract The aim of this study is to examine whether social networks reduce the effects of psychological contract breach on an employee’s intention to leave the organisation. This paper focusses on two particular elements of the social network in an organisation: (1) social status and (2) local ties/connectedness. Using a sample of 242 responses from officers in the Irish Defence Forces, the results provide empirical evidence of the impact of psychological contract breach on officer turnover intentions. The results also demonstrate that perceptions of social networks moderate the relationship between psychological contract breach and turnover intentions through social status. Contrary to expectations, strong connectedness with senior officers was also found to be a moderator but not in the direction that was hypothesised. The theoretical and practical implications of these results are discussed.