The Importance of Psychological Contracts in Human Resource Management within the New Global Economy

Human resources are considered the company’s most valuable resource. For that reason, organizations require a Human Resource Management (HRM) that provides the adequate work force within the new global economy. The psychological contract includes solid agreements between company and its employees, beyond the written contract, specifying their contributions, expectations, beliefs, promises, and obligations between both parties. Their management requires the definition of the concept of psychological contract, the analysis of its main characteristics and contents; and the identification of its stages of development. Electronic Human Resource Management (e-HRM) introduces a way of implementing HRM strategies through Web-based tools, improving the psychological contract management. Information phase, Intranet, and internal electronic mail have an important role in socialization stage. The consolidation of psychological contract (maintenance phase) is favoured by Intranet, business-to-employees, internal electronic mail, database, videoconference, and groupware. Finally, in breach phase, intranet, electronic mail, database, videoconference, and groupware are important E-HRM.