The purpose of this paper is to review and synthesise literature on the role of human resource practices (HRP) in shaping employee psychological contract (PC). Based on this review, a conceptual framework for examining the relationship between HRP and PC and their impact on employee attitudes as well as behaviour has been put forward for further examination.
An extensive review of the literature, examining the role of HRP in influencing PC of employees, between the periods 1972 to 2007 has been conducted. Adopting the multi‐level approach, the paper discusses the role of individual variable (PC) and organisational variable (HRP) on employee attitudes and behaviours.
The review brings to fore the following: the role of business and employment relationship strategy on HRP; the relationship between HRP and organisation culture as well as employees attitudes and behaviours; the relationship between HRP on and employee's psychological contract; and the moderating effect of those conceptions on employee attitudes and behaviours relationship.
HRP and PC influence employee attitudes and behaviours as well as have a bearing on organisational effectiveness. Suggestively, as a policy implication, firms need to craft and effectively communicate their HR toolkit based on their employment relationship and business strategies.
The main contribution of this paper is that it synthesises the research examining the impact of HRP on PC. Adopting a meso theory, the paper integrates both organisational and individual level variables and proposes a conceptual model.
