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Abstract
The paper reports on a longitudinal study examining how employer and employee psychological contract (PC) fulfilment influences employee turnover. The boundary conditional role of Chinese traditional values on the influence process is also examined. Results show that traditional employees are more likely to leave their employers when they fail to fulfil their PCs than less traditional employees. On the other hand, when employers fail to fulfil contracts, less traditional employees are more likely to leave the organisations than more traditional employees. Implications of the results are discussed.
Acknowledgements
The study was supported by a grant from the Research Grant Council of HKSAR, China (HKU4647/06H) and Renmin University Research Grant (10XNK048). The work described in this paper by Cynthia Lee was supported by the Walsh Professorship, College of Business Administration, Northeastern University. An earlier version of the paper was presented at the Eighth International Business Research Conference and won the Best Micro-paper Award of Management. The authors thank Denise Rousseau for her valuable comments.