Universitas Indonesia Conferences, International Conference on Intervention and Applied Psychology (ICIAP) 2018

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RELATIONSHIP BETWEEN PERCEIVED ORGANIZATIONAL SUPPORT AND ORGANIZATIONAL AFFECTIVE COMMITMENT AND PSYCHOLOGICAL CONTRACT BREACH ROLE AS MODERATION
Widya Andini, Endang Parahyanti

Last modified: 2018-08-10

Abstract


Background: As one of the important factors for a company, employees are dominated by two generations, X and Y. Generation Y, also called Millennials, is the youngest generation and will dominate the workforce in the couple years. Different life situation between these two generations can influence their shared values, such as values about work and organization, work goals, etc. This situation leads the managers to understand the difference between these two-generations since mistakes in understanding these generational differences can affect employee performance and satisfaction in the workplace. Some literature mention some characteristics of millennials. Millennials are socially active, comfortable with change and technology, and willing to develop their abilities and take on new challenges in the workplace. This generation is also known for their difficulty to stay longer in a company. A survey in Indonesia has shown that 60% of young workers already move from a company to others in one until three years. The decision to stay in a company is one of the implications of organizational commitment and millennials have a lower level of organizational commitment than the previous generation. One factor that can affect someone's organizational commitment is perceived organizational support. Perceived organizational support (POS) explain employees’ perception about the extent to which the organization values their contributions and cares about their well-being. Relationships between POS and affective commitment are widely discussed in social exchange and social enhancement theory. When the employee perceived support from the organization, they tend to reciprocate the organization and expect their effort will give them a greater reward. Based on that explanation, this research would like to find out does millennials' perception about their organizational support effect their affective commitment. Support from the organization also depends on employees' fulfilled expectation that already promised by the organization. So this research also intends to find out the moderation effect of psychological contract breach on the relationship between POS and Affective commitment.

Methods. Questionnaires were spread online and offline to 94 millennials employees with age between 22 and 35. Sampling was collected with a convenience sampling method. There are three questionnaires that used in this study. POS was measured by Rhoades' & Eisenberger's questionnaire that has been adapted by Widiya. Psychological Contract Breach was measured by questionnaire from Robinson and Marison which has adapted by Fiftina. The last questionnaire is Affective Commitment Scale by Meyer and Allen, adapted by Ersya.

Result: Statistical analysis showed that POS significantly related with affective commitment (R2=0,415, p < 0,001). It showed that 41,5% of affective commitment variance can be explained by POS. Second analysis result showed that PCB doesn’t moderate the relation between  POS and Affective commitment (R= 0,0043, t(90)=0,655, p=0,5141). In other words, the POS effect on affective commitment is not influenced by PCB.

Conclusions. From this study, we can conclude that perceived organizational support affects millennials employees' affective commitment. It showed that millennials employees consider how the organization values their contributions and cares about their well-being. This study also shows that this relation does not depend on employees’ reciprocal expectations about their obligations and their entitlements.

Added-values. The result from this study can give additional insight about millennials in the workplace. The organization can make their millennials employees' level of affective commitment higher by make their perception of organizational support higher as well. Besides that, the organization also need to understand how to strengthen this relationship by considering the different needs of millennials employee.

 

Keyword: Millennials, Millennials employee, Affective Commitment, Psychological Contract Breach, Perceived Organizational Support

Word count: 567


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