The Effect of Psychological Contract Fulfillment and Organizational Justice on Employee Reactions under Moderation by Organizational Trust among the Lady Health Workers of District Gujranwala, Punjab Pakistan

Abstract

In this mounting competitive atmosphere, organizations attempt to gain competitive advantage with the assistance of employees’ heartfelt and paramount efforts towards realizing organizational goals. In this regards, justice perceptions and implied expectations of employees play an imperative role in drawing positive reactions of employees at workplace. This research study highlighted the contribution of fulfillment of employees’ promises and justice perceptions in shaping positive employee reactions (ERs). Scant literature shed light on the impact of organizational justice (OJ) and psychological contract fulfillment (PCF) on ERs especially in the health sector. The study aimed to probe the effect of OJ and PCF on different components of ERs among the lady health workers (LHWs) of the district Gujranwala of the province of Punjab, Pakistan. The organizational trust (OT) has also significant role in augmenting ERs. In most studies, OT mediated the relationship among OJ, PCF and different components of ERs. The fundamental contribution and objective of the present study was to investigate the moderating role of OT on the relationship between OJ – ERs and PCF – ERs. The data were collected from the LHWs of four Tehsils of district Gujranwala by using simple random sampling. All the variables were measured by using instruments of numerous past researchers. The questionnaire was translated into Urdu. To check validity and reliability of questionnaire, factor analysis and Cronbach’s alpha were used. To test hypotheses i.e. the impact of OJ and PCF on employee engagement (EE), organizational citizenship behaviors (OCB), organizational commitment (OC) and work motivation (WM), simple regression analysis method was used. The check the moderation of OT on the relationships of OJ – components of ERs and PCF – components of ERs, Hayes’ (2013) method namely PROCESS was applied. Moreover, the findings depicted that OJ and PCF had positive and significant effect on EE, OCB, OC and WM. The results also demonstrated that OT antagonistically moderated the relationship of OJ with EE, OCB, OC and WM. Similarly, the findings also revealed that OT also antagonistically moderated the relationship of PCF with EE and WM but didn’t moderate the relationship of PCF with OCB and OC. The present study contributed to the literature of PC, OJ, OT and ERs. For government, it provided prodigious guidance such as by fulfilling its promises with employees and by augmenting positive justice judgments develop positive ERs. Self-reported data, sectional and cross analysis established the present study’s limitation. Directions for future research were also deliberated such as future researchers should go for longitudinal research.