IDEAS home Printed from
   My bibliography  Save this article

Exploring The Nexus Between Psychological Contract And Turnover Intention: Conceptual Framework


  • Sovanjeet Mishra

    (National Institute of Technology (NIT) Karnataka, Surathkal)

  • Pavan Kumar

    (National Institute of Technology (NIT) Karnataka, Surathkal)


The present study investigates the impact of psychological contract on turnover intention in the insurance sector of India which is heavily affected by high employee or agent turnover. This research clarifies the paucity of literature related to psychological contract in Indian insurance industry. Psychological contract, work culture, workforce diversity is considered as the independent variable and turnover intention, work engagement, trust and job satisfaction as dependent variable. A model is proposed which explores the relationship between psychological contract, turnover intention, and work engagement and it is mediated by job satisfaction. Further,relationship between work culture and job satisfaction; workforce diversity and job satisfaction has been studied. The methodology adopted for this study is literature search. On the basis of the literature search and proposed model it is concluded that a fulfilled psychological contract would result in reducing employee turnover. Limitations and Implications are discussed in detail.

Suggested Citation

  • Sovanjeet Mishra & Pavan Kumar, 2017. "Exploring The Nexus Between Psychological Contract And Turnover Intention: Conceptual Framework," Romanian Economic Business Review, Romanian-American University, vol. 12(1), pages 68-81, March.
  • Handle: RePEc:rau:journl:v:12:y:2017:i:1:p:68-81

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. Chieh-Peng Lin, 2010. "Modeling Corporate Citizenship, Organizational Trust, and Work Engagement Based on Attachment Theory," Journal of Business Ethics, Springer, vol. 94(4), pages 517-531, July.
    2. Simonetta Longhi, 2011. "Impact of Cultural Diversity on Wages and Job Satisfaction in England," Norface Discussion Paper Series 2011010, Norface Research Programme on Migration, Department of Economics, University College London.
    3. Wilmar Schaufeli & Marisa Salanova & Vicente González-romá & Arnold Bakker, 2002. "The Measurement of Engagement and Burnout: A Two Sample Confirmatory Factor Analytic Approach," Journal of Happiness Studies, Springer, vol. 3(1), pages 71-92, March.
    4. Grace Lee & Albert Teo, 2005. "Organizational Restructuring: Impact on Trust and Work Satisfaction," Asia Pacific Journal of Management, Springer, vol. 22(1), pages 23-39, January.
    5. Juan Pablo Román & Adalgisa Battistelli & Carlo Odoardi, 2014. "Organizational Respect as Mediator Between the Ideological Psychological Contract and Workers' Job Satisfaction: Empirical Findings from the Social Enterprise Sector," Journal of Social Entrepreneurship, Taylor & Francis Journals, vol. 5(1), pages 107-122, January.
    6. P. Matthijs Bal & Dorien T. A. M. Kooij & Simon B. De Jong, 2013. "How Do Developmental and Accommodative HRM Enhance Employee Engagement and Commitment? The Role of Psychological Contract and SOC Strategies," Journal of Management Studies, Wiley Blackwell, vol. 50(4), pages 545-572, June.
    7. Yvon Pesqueux, 2014. "Contrat psychologique et organisation," Post-Print hal-00987034, HAL.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sam Erevbenagie Usadolo, 2020. "The Influence of Participative Leadership on Agricultural Extension Officers’ Engagement," SAGE Open, , vol. 10(3), pages 21582440209, August.
    2. Duan, Jinyun & Peluso, Alessandro M. & Yu, Linhan & Pilati, Massimo, 2021. "How employment relationship types influence employee work outcomes: The role of need for status and vigor," Journal of Business Research, Elsevier, vol. 128(C), pages 211-221.
    3. Bonnie Simpson & Jennifer L. Robertson & Katherine White, 2020. "How Co-creation Increases Employee Corporate Social Responsibility and Organizational Engagement: The Moderating Role of Self-Construal," Journal of Business Ethics, Springer, vol. 166(2), pages 331-350, October.
    4. Frank Nana Kweku Otoo, 2022. "Human resource development and employee turnover intentions: The mediating role of employee engagement," International Journal of Business Ecosystem & Strategy (2687-2293), Bussecon International Academy, vol. 4(4), pages 01-12, October.
    5. Ramos, Hazel Melanie & Man, Thomas Wing Yan & Mustafa, Michael & Ng, Zuie Zuie, 2014. "Psychological ownership in small family firms: Family and non-family employees’ work attitudes and behaviours," Journal of Family Business Strategy, Elsevier, vol. 5(3), pages 300-311.
    6. Braganza, Ashley & Chen, Weifeng & Canhoto, Ana & Sap, Serap, 2021. "Productive employment and decent work: The impact of AI adoption on psychological contracts, job engagement and employee trust," Journal of Business Research, Elsevier, vol. 131(C), pages 485-494.
    7. Shoukat Iqbal Khattak & Tahir Hussain Rizvi & Muhammad Anwar Khan, 2022. "Unwrapping Software Projects Success in Asia: Assessing the Role Of Authentic Leadership, Psychological Empowerment, and Job Engagement in Project Success Using a Serial-Mediation Approach," SAGE Open, , vol. 12(2), pages 21582440221, May.
    8. Badrinarayan Srirangam Ramaprasad & Sethumadhavan Lakshminarayanan & Yogesh P. Pai, 2021. "Exploring the Mediating Role of Employee Attitudes in the Relationship between High-Performance Work Systems and Turnover Intention among IT Professionals in India: A Serial Mediation Approach," Global Business Review, International Management Institute, vol. 22(1), pages 197-218, February.
    9. Hui Li & Nazir Sajjad & Qun Wang & Asadullah Muhammad Ali & Zeb Khaqan & Shafi Amina, 2019. "Influence of Transformational Leadership on Employees’ Innovative Work Behavior in Sustainable Organizations: Test of Mediation and Moderation Processes," Sustainability, MDPI, vol. 11(6), pages 1-21, March.
    10. Klaus Friesenbichler & Eva Selenko, 2017. "Firm performance in challenging business climates: does managerial work engagement make a difference?," Asian Business & Management, Palgrave Macmillan, vol. 16(1), pages 25-49, April.
    11. Mader, Xana & Santos, Joana & Gonçalves, Gabriela, 2018. "Job Satisfaction In A Tourist Resort In Portugal," Journal of Tourism, Sustainability and Well-being, Cinturs - Research Centre for Tourism, Sustainability and Well-being, University of Algarve, vol. 6(3), pages 314-325.
    12. Serdar Çop & Victor Oluwafemi Olorunsola & Uju Violet Alola, 2021. "Achieving environmental sustainability through green transformational leadership policy: Can green team resilience help?," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 671-682, January.
    13. Onintze Letona-Ibañez & Silvia Martinez-Rodriguez & Nuria Ortiz-Marques & Maria Carrasco & Alejandro Amillano, 2021. "Job Crafting and Work Engagement: The Mediating Role of Work Meaning," IJERPH, MDPI, vol. 18(10), pages 1-15, May.
    14. Paula van Dommelen & Jennifer K Coffeng & Hidde P van der Ploeg & Allard J van der Beek & Cécile R L Boot & Ingrid J M Hendriksen, 2016. "Objectively Measured Total and Occupational Sedentary Time in Three Work Settings," PLOS ONE, Public Library of Science, vol. 11(3), pages 1-13, March.
    15. Viktoria Maria Baumeister & Leonie Petra Kuen & Maike Bruckes & Gerhard Schewe, 2021. "The Relationship of Work-Related ICT Use With Well-being, Incorporating the Role of Resources and Demands: A Meta-Analysis," SAGE Open, , vol. 11(4), pages 21582440211, November.
    16. Shilei Zhang & Rui Shi & Liping Yun & Xuefei Li & Yun Wang & Hongbin He & Danmin Miao, 2015. "Self-regulation and Study-Related Health Outcomes: A Structural Equation Model of Regulatory Mode Orientations, Academic Burnout and Engagement Among University Students," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 123(2), pages 585-599, September.
    17. Kaifeng Jiang & Riki Takeuchi & David P. Lepak, 2013. "Where do We Go From Here? New Perspectives on the Black Box in Strategic Human Resource Management Research," Journal of Management Studies, Wiley Blackwell, vol. 50(8), pages 1448-1480, December.
    18. Umair Ahmed & Abdul Halim Abdul Majid & Md Lazim Mohd Zin, 2016. "Meaningful Work and Work Engagement: A Relationship Demanding Urgent Attention," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 6(8), pages 116-122, August.
    19. Tilahun Kidane Diko & Shabnam Saxena, 2023. "Antecedents and outcome of employee engagement: Empirical study of Ethiopian public higher education institutions," SN Business & Economics, Springer, vol. 3(8), pages 1-30, August.
    20. Ginés D. López-García & María Carrasco-Poyatos & Rafael Burgueño & Antonio Granero-Gallegos, 2023. "Relationships Between Needs Satisfaction and the Quality of Motivation With Academic Engagement in Pre-Service Physical Education Teachers," SAGE Open, , vol. 13(3), pages 21582440231, September.


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rau:journl:v:12:y:2017:i:1:p:68-81. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Alex Tabusca (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.