Research on Relationship Between Employees´ Psychological Contract Breach and its Organizational Effectiveness in SMEs

Based on the through review of the past research, this paper firstly explored the construct dimension of organization´s obligation in employees´ psychological contract with investigation of total 415 employees of SMEs at two samples. The results show four-dimension model: development, transaction, relation and working conditions factors. The correlation analysis identify that psychological contract breach of SMEs´ employees will influence organizational effectiveness negatively. And hierarchical regression analysis showed that the transactional factor is most important to the employees in SMEs. Finally the application to human resources management is also discussed.