Precariousness under the new psychological contract: the effect on trust and the willingness to converse and share knowledge

This paper argues that the traditional employment relationship based on long-term commitment and reciprocity has been replaced by one which incorporates a high level of precariousness and that individuals form perceptions of the trust they have in the organisation based on their view of the psychological contract. This paper develops a model of these perceptions and develops six propositions about an individual's level of trust in the organisation, management and fellow workers and their belief that their expectations will be progressively met and that they will be compensated in the long term for their contribution. These perceptions and the six propositions developed in the paper have profound ramifications for the willingness of individuals to converse and potentially to share their knowledge with others for the benefit of the organisation, because high levels of trust will be needed before individuals will be predisposed to start to converse and exhibit a willingness to share their knowledge.