Abstract
Purpose. The purpose of this study was to systematically study and evaluate downsizing effects on the senior USAF Captains' psychological contract (PC) as follows: (1) to determine health of the PC collectively and for each year class as well as detect if their PC has been breached; (2) to determine downsizing (e.g., Reduction-In-Force [RIF]) effects, its consequences between upper management and captains, and to determine their current position in the transition model. Theoretical framework. Theories and research that underlie concepts of the downsizing, perceived job insecurity, its byproducts and the associated elements to blend/link these relevant key concepts form a conceptual framework of an integrated model of human motivation to assist in determining threatening impacts to the PC. Methodology. The subject group for this study consisted of senior Captains in the USAF on active duty with either a regular or reserve commission. The original sample size consisted of 108 subjects that represented a total of 151 Captains identified for termination by a Selective Early Retirement Board. An attitudinal survey was distributed to the target group via "grass roots" or convenient sampling to elicit feedback on tenets of the PC (i.e., expectation, influence and control, and job satisfaction, trust, etc.). Surveys were distributed to USAF Captains at specified locations accompanied by several interviews. These surveys were collected by points of contact, and the data analysis was conducted by the researcher. Findings. Unfortunately, management does not recognize the psychological contract as a managerial problem nor even address the issue, rather its attention focuses on meeting downsizing goals, contemplating who could be the next RIF eligible(s), and meeting end-strength numbers. A significant number of senior Captains felt that their trust, expectations, needs, and obligations—job satisfaction, job stability, and job security of a military career—were being neglected, unmet, and unfulfilled. In short, these individuals believed their PC had been breached. Conclusions and recommendations. A significant number of Captains believed that their PC had been breached. Therefore, it is clear that this organization as well as organizations in the private and public sector, profit and nonprofit institutions, need to change; what is less clear are the stages that individuals go through in the process of change and the powerful impact of change on people. In summary, the recognition of the PC has drawn little attention, therefore, further investigation of applied research is warranted which may hold the key to success for a sound and healthy work force required in the new age of global competition.