Abstract
Psychological contracts are individual beliefs in reciprocal obligations between employees and employers. In a sample of 1377 South African white collar-employees, this study examined the effects of Affirmative Action on psychological contract attributes and how these changes influence employees' attitude towards Affirmative Action according to their psychological contract form (Relational, Balanced and Transactional). Using empirical research, the effects of Affirmative Action were found to be seen differently for employees with different psychological contracts. Relational employees from both designated and non-designated group were found to have a positive attitude towards Affirmative Action. Balanced designated and non-designated employees were found to have a negative attitude towards Affirmative Action.
Furthermore mentorship was seen as having an interaction effect in such a way that the relationship between relational psychological contract and positivity towards Affirmative Action is stronger when mentoring is high. Organisational Level was also found to have an interaction effect between non-manager and balanced psychological contract were non-manager have a stronger positive attitude than middle managers. Finally interaction effects of age were found in such a way that negativity towards Affirmative Action is lower when employees are older for transactional and balanced employees. The implications of these results and their possible reasons are investigated as well as recommendation for manager on how to improve employees' attitude towards Affirmative Action. Affirmative Action is one of the major issues facing companies in South Africa. Its implementation aims at changing the workforce distribution in companies and increasing diversity. By implementing Affirmative Action companies have to make changes in the manner they interact with their employees: the way they are hiring, promoting and even dealing with their staff will be transformed. In so doing, current and future employees see their psychological contracts: "the employee's subjective belief as to their reciprocal obligations with their company" (Rousseau, 1990) with their organisation changed and influenced by Affirmative Action.
