Duality of the transactional psychological contract over motivation: A mixed-methods approach

How do unwritten expectations between employees and organizations influence motivation at work?

Our study explores this question by focusing on the transactional psychological contract, a form of employee–employer relationship grounded in short-term, economic exchanges. Using a mixed-methods design, we surveyed 104 employees of a multinational consultancy operating in Portugal and combined quantitative modeling with qualitative comparative analysis.

Key findings include:

• Employees who perceive their relationship with the organization as primarily transactional tend to show higher levels of controlled motivation (driven by external rewards or approval).
• The same perception is associated with lower levels of autonomous motivation (driven by personal interest, enjoyment, or alignment with values).
• Demographic factors such as age, gender, tenure, and education interact with these dynamics, highlighting that the effects of transactional contracts are not uniform across the workforce.

These results suggest that transactional contracts can shape motivation in complex and sometimes unexpected ways. While they may encourage performance through external incentives, they can also hinder deeper, more self-driven forms of engagement. Recognizing this duality is important for organizations aiming to design balanced strategies that respond to diverse employee needs.

The full article is available here: https://doi.org/10.1007/s11135-023-01741-5

Recommended citation:
Gonçalves, T., Curado, C., Balle, A. & Mosa, J. (2023). Duality of the transactional psychological contract over motivation: A mixed-methods approach. Quality & Quantity. https://doi.org/10.1007/s11135-023-01741-5