Psychological contract breach and organizational cynicism and commitment among self-initiated expatriates vs. host country nationals in the Chinese and Malaysian transnational education sector

Abstract

In today’s global economy, self-initiated expatriates (SIEs) and host country nationals (HCNs) both represent critical human resources for organizations operating globally. Yet, because these two groups of employees have been studied separately, little is known about how SIEs’ and HCNs’ perceptions of, and attitudes towards the organization compare and diverge (vs. converge) in terms of implications for human resource management. This study aims to contribute to fill this gap by examining psychological contract breach, organizational cynicism, and organizational commitment components (i.e., affective, normative, and continuance) among a sample of 156 SIEs and HCNs working in the Chinese and Malaysian transnational education sector. Using a one-year time-lagged study, we found that compared to HCNs, SIEs experienced more organizational cynicism and less affective, normative, and continuance commitment. Moreover, the breach-organizational cynicism relationship was stronger (i.e., more positive) among SIEs than HCNs. The indirect relationships between breach and affective and continuance commitment, as mediated by organizational cynicism, were also stronger (i.e., more negative) among SIEs than HCNs. Implications for human resource management are discussed under the lens of Conservation of Resources theory.