Influence of Psychological Ownership on Psychological Contract Breach

The present research aimed at understanding influence of psychological ownership on employee’s perception of psychological contract breach. Using random sampling procedure data were collected from 250 employees working at different levels from two banks in Bhutan. Correlation and regression analysis were carried out to analyze the obtained data. Results revealed that employee’s sense of ownership is significantly and inversely related to psychological contract breach. It is found that the explanatory variable significantly explain variance of outcome variable of the study. Research implied that management through their policies and practices should try to develop sense of ownership among their employees if organization expects to reduce the possibility of feeling of contract breach because the perception of breach can have negative implications on employees as well as on organization.