Abstract

The current paper investigated age-related differences in the relations of psychological
contract breach with work outcomes over time. Based on affective
events theory, we expected job satisfaction to mediate the longitudinal relationship
of contract breach with changes in job performance. Moreover, based on
socio-emotional selectivity theory, it was predicted that reactions to contract
breach on job satisfaction and job performance would be stronger among
younger workers than older workers. This two-wave panel study among 240
employees investigated interactions of age with psychological contract breach
in relation to changes in job satisfaction and job performance over time. Moderated
structural equation modeling showed that job satisfaction partially
mediated the longitudinal relationships between contract breach and job performance.
Moreover, the analyses supported socio-emotional selectivity
theory; older workers reacted less intensely to psychological contract breach
towards job satisfaction and job performance, indicating a general decreased
responsiveness of older workers towards the psychological contract. It is concluded
that age plays an important role in how contract breaches relate to
changes in work outcomes over time.