Psychological Contract and Employee Job Performance in Selected Private Agricultural Firms in Edo State

ABSTRACT

This study investigated the relationship between psychological contract fulfillment and employees’ performance. The specific objectives were to investigate the influence of transactional, relational, transitional, and balance psychological contract breach/fulfillment on employees’ performance in private agricultural firms in Benin City. To achieve the objectives of the study, a cross-sectional survey research design was adopted. This was done by using a structured questionnaire to collect data from 331 employees from Presco and Okomu Oil firms in Benin City, Edo State. The data collected from sampled academics were analyzed using descriptive statistics and multiple regressions. The main findings of the study are that transactional, relational, transitional, and balance psychological contract fulfilment both group and individual levels have a significant positive influence on employees’ job performance in private agricultural firms in Benin City. In light of these findings, the study recommends that the management of Presco and Okomu oil firms should fulfill the following transactional promise obligations to employees, which include regular increase allowance and offering of adequate well-working equipment as well as better office, furniture, and fittings to employees. The management should also fulfil relational promise obligations by being committed to the long-term emotional wellbeing of employees, supporting them to develop externally marketable skills, and offer them the needed support to meet new and challenging performance requirements that align with industrial standards without the failure to providing them feedback about job performance, regularly promotion, job security, and healthcare benefits. The management should also endeavor to perform the transitional psychological contract of employees by incorporating and ensuring that selected potential employees for interviewed are evaluated based on their work values to employ only those employees whose work values can be meet and incorporate into human resources practices and policy by the organization.