Psychological contract and trust – implications for organisational performance in the clearing and forwarding sector

Abstract

A psychological contract contravention is a common occurrence in organisations, often resulting in a breakdown in trust between employer and the employee. This occurrence is in contrast with the organisation’s objective of optimal performance and to increase profits (Morsch & Dijk, 2020). This phenomenon has adverse consequences in the organisation through employees that are disengaged, high employee turnover/attrition, employee performance, skills and knowledge, skill erosion to name but a few. All these have an impact on organisational performance (Whalley, 2021