Psychological Contract Breach

A Psychological Contract Breach occurs when an employee perceives that their employer has failed to fulfill implicit promises or expectations, such as support, fairness, or career opportunities. Unlike formal contracts, these are unwritten understandings rooted in mutual trust and belief about what’s fair. When breached, employees may feel betrayed, disengaged, or less committed, which can impact morale and performance. It’s important to recognize that this breach is based on perceptions and emotions, reflecting the importance of trust and mutual respect in workplace relationships.