The Psychological Contract
You know that feeling when you start a job, and you have expectations of what that job will be like? You think about what you’ll gain from that job, what you’ll learn, ways you might grow, and how you’ll be treated? Well, this is something called a psychological contract: an often unspoken, unofficial agreement between two parties—usually an employee and employer—that aligns beliefs, perceptions, and informal obligations. A psychological theory developed by Dr. Denise M. Rousseau in 1989, the psychological contract can dictate workplace culture, creating unspoken but colossal systems of accountability and abuse alike.
Examples of a psychological contract might include expectations of care, safety, growth, interpersonal acceptance, value, and career development. These are different than, let’s say, a formal benefits agreement (which I resent that they’re called “benefits” but that’s another post for another time) because “benefits” like health insurance, paid time off, and 401k matching are written into employment agreements and are often viewed as a form of compensation. Psychological contracts are simply expectations of what the workplace and the relationships within the workplace will be like.
Though they are simply expectations, we shouldn’t underestimate their power. Breaches of psychological contracts can be disastrous, eroding organizational trust and creating discrepancies in organizational justice. Not great. They result in explosive exits, theft, and resentment.
Psychological Contracts in the Hospitality, Food, & Drinks Industry
Now that we understand the basics of psychological contracts, let’s examine what a psychological contract might look like when you work in the hospitality industry. Ask yourself: what are your expectations when you start a new job? These are questions of safety, care, and support...do we expect those things in hospitality? I posit that our psychological contracts could even contain the opposite: that we’ll be treated as disposable, provided little to no opportunities for career advancement or growth, and subjected to abuse from coworkers, management, and guests alike. “It’s part of the job!” “If you can’t take the heat, get out of the kitchen,” and all that. Looking back on my career in bars and restaurants, I never had expectations of safety. Now, I knew what was ok and not ok, but distinguishing right and wrong is different than a psychological contract. If we have shared expectations that we will endure what we deem “wrong” and enter into the employment agreement anyway, we’re very likely to tolerate it.
This often continues on into other integral areas of the hospitality sector, like food and drinks sales, marketing, education, and advocacy. If we come from the on premise, our work-life likely existed with poor boundaries, had elements of abuse riddled throughout our experience, and our expectations of safety, care, and advancement were very low. Since it’s so heavily practiced to the point that it’s embedded into or identities, it doesn’t just go away when we start new jobs. This can result in one of two outcomes: 1) the transition into a safer working environment might be shocking, and even painful at times, or 2) we continue to expect and tolerate unsafe workspaces even after leaving bars and restaurants.
Since the Pandemic
In the last 2 years, however, much of the workforce has had a shift in their expectations of their workplace and employer obligation, but the businesses aren’t keeping up. This misalignment is a problem because the workforce, frankly, won’t tolerate the normalized but very real and gross mistreatment anymore. People are over it. And what happens when a psychological contract can’t be met? Well, it’s burnout central, then people quit. And if it’s breached? People definitely quit…and then they take to the internet.
But hospitality isn’t the only sector that is experiencing this: the great resignation is very real and happening before our eyes. People’s expectations of work are changing and they’re demanding more—but the hospitality industry is different in the sense that our expectations of safety have historically been so low that our basic needs aren’t being met, whereas office-type workers have that basic safety and security, but are looking for more opportunities for growth, autonomy, and feelings of worth & value.
Establishing a Psychological Contract
What can we do about it? To start, it’s important to know that the psychological contract is formed during the hiring process—which means the interview is the ideal time for intervention. If you are the one being hired, asking a version of these questions might help you to know if you’re in alignment:
What policies and procedures do you have in place to keep me safe?
What steps do you take when there is an unruly guest?
Do you have a system in place if a colleague is abusive (racist/sexist/a bully/etc.)?
I would like employment that helps me to build my skillset in (blank). Is it reasonable for me to expect that here? What will that look like?
I’ve worked in abusive environments in the past and would not like to replicate those experiences. What are you doing to make sure there isn’t a culture of abuse here?
I do best in a social environment that is supportive and inclusive. What can I expect here?
What are you doing to make this (bar/restaurant/hotel/distillery/distributor/sales team/etc.) one that fosters belonging?
Is there any career development that I can access while working here?
Are there clear pathways toward advancement in this organization?
How does the management team handle giving and providing feedback?
How do you communicate in a crisis?
If you’re a hiring manager, my recommendation is to read those questions and take some time to answer them honestly. If you aren’t satisfied with your answers, use them as a roadmap to start making changes in your organization.
And if you’re the one being hired and you don’t like the answers you hear, that’s an indication that the job probably isn’t for you. If you decide to take the job anyway (no judgement--times are hard!), just remember: boundaries, boundaries, boundaries.
Putting it in Writing
Finally, the cool thing about psychological contracts is that if they’re strong enough, they can evolve into proper employment packages and written expectations. We need to talk about them and use them to advocate for each other. Even asking the questions in an interview sets off a ripple effect. Hiring managers: be honest in these conversations, and I encourage you to prompt conversations around safety.
What’s certain is that we cannot go on operating on the assumption that we’re going to be emotionally beat up at work. We can’t. So, start talking about psychological contracts at work. Start probing what your expectations are and practice voicing them. Work towards getting comfortable with communicating your needs. Share this piece with someone who should read it. LFG.
References
If you would like to read the work of Dr. Rousseau, these are her most influential articles:
Rousseau, D. M. (1989). Psychological and implied contracts in organizations. Employee Responsibilities and Rights Journal, 2: 121-139.
Rousseau, D. M. (2001). Schema, promise and mutuality: The building blocks of the psychological contract. Journal of Occupational and Organizational Psychology, 74, 4, 511–541.
Rousseau, D. M. (1998). The Problem of the Psychological Contract Considered. Journal of Organizational Behavior, 19, 665-71.
