Unfolding deconstructive effects of negative shocks on psychological contract violation, organizational cynicism, and turnover intention

This research aims to unfold the impact of negative shocks on Chinese employees in the service sector by conducing a mixed-method study involving a scenario-based experiment and a field survey. The findings of Study 1 show that negative shocks resulted in a psychological contract violation, high organizational cynicism, and turnover intention. Study 2 further examined the moderating roles of traditionality and organizational embeddedness. Negative shocks triggered less organizational cynicism among employees with higher levels of traditionality. Organizational embeddedness, however, did not play such a moderating role in the relationship between psychological contract violation and turnover intention. Theoretical and practical implications are discussed.