As unethical pro-organizational behavior (UPB) is prevalent in organizational contexts, understanding its consequences has become an important research priority. Based on social exchange theory, in this paper we argue that engaging in UPB can undermine the reciprocal exchange relationship between employees and the organization, triggering retaliatory behaviors. Specifically, we hypothesize that UPB increases psychological entitlement and organizational deviance and that this relationship is moderated by perceived psychological contract breach.
Data were collected through a scenario-based experiment (Study 1a) and a recall-based experiment (Study 1b) to examine the effect of UPB on psychological entitlement. We also conducted a three-wave survey (Study 2) with 304 valid responses to investigate the mediating role of psychological entitlement and the moderating effect of perceived psychological contract breach in the relationship among UPB, psychological entitlement, and organizational deviance.
Results from Studies 1a and 1b demonstrate that UPB is positively related to psychological entitlement. Study 2 provides evidence that psychological entitlement mediates the effect of UPB on organizational deviance and that perceived psychological contract breach moderates these relationships.
First, we extend research on the consequences of UPB by introducing social exchange theory, showing how engaging in UPB shapes employees' beliefs about what they deserve from the organization. Second, we identify psychological entitlement as a key mechanism linking UPB to organizational deviance. Third, we identify psychological contract breach as an important boundary condition, showing that the indirect effect of UPB on organizational deviance through psychological entitlement is stronger when psychological contract breach is low rather than high.
