MGTA01H3 Chapter Notes - Chapter 10: Frederick Herzberg, Longrun, Abraham Maslow
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MGTA01H3 Full Course Notes
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May ask for raise, promotion, etc or put forth less effort or look for better job. In some ways, a psychological contract resembles a legal contract (signed when buying car or house) but less formal and less rigidly defined. Psychological contract: set of expectations held by an employee concerning what he/she will contribute to an organization (contributions) and what the organization will provide the employee (inducements) in return. If either party perceives an inequity in contract, that party may seek a change. Organization can also initiate change by training workers to improve their skills, transferring them to new jobs, or terminating them. Valuable but underpaid employees may perform below their capabilities or leave for better job. Overpaying employees who contribute little incurs unnecessary costs. Human relations: interactions b/w employers & employees & their attitudes toward one another. Foundation of good human relations is a satisfied and motivated workforce.
