Title: Psychological Contract and Employee Engagement Of Banking Firms In Rivers State.Nigeria.
Authors: IDOKO, OMADA MARYQUEEN, PROF. EDWINAH AMAH
Volume: 9
Issue: 10
Pages: 190-199
Publication Date: 2025/10/28
Abstract:
This study looks at the relationship between the psychological contract and employee engagement in selected banking businesses in Rivers State, Nigeria, with an emphasis on job security and career advancement as crucial elements of the psychological contract. Cognitive engagement is used to measure employee engagement. The psychological contract, an unwritten set of expectations between employers and employees, is crucial for achieving organizational goals, especially in dynamic and highly competitive sectors like banking. This study employs a survey research approach, with primary data collected through structured questionnaires distributed to staff at 15 operating banks in Rivers State. SPSS version 23.0 was used to examine a total of 232 valid responses using the Spearman Rank Order Correlation. The research indicated a slight, statistically significant positive association between work stability and cognitive engagement (? = 0.545, p < 0.001), and a strong positive correlation between career growth and cognitive engagement (r = 0.685, p < 0.001). These results provide validity to the idea that meeting psychological contract qualities, particularly perceived job security and opportunities for advancement, boosts employees' cognitive participation in their jobs. According to the report, companies that wish to enhance employee engagement should encourage open communication, promote job security, and implement planned career development efforts. These strategies not only strengthen the psychological contract, but also improve performance, creativity, and organizational loyalty. Recommendations are offered for bank management to embrace policies and procedures that reinforce the psychological contract, fostering a cognitively engaged workforce.