Abstract

Whilst many studies of the psychological contract and its breaches are set in a Western context, this paper focuses on the evolution of psychological contract research and the missing link of the developing world. In an era of globalization which is seeing the emergence of developing economies such as China and India that have overtaken many western countries economically, it is worth looking at how the psychological contract is exemplified in those economies about which little such research has been conducted. The article also found that the context of high unemployment, unsatisfactory working conditions, absence of trade unions and the cultural context in which loyalty are significant, could well be parameters that shape the notion of psychological contract differently in the developing world.