Masters of Influence: Line Managers’ Fight to Uphold Psychological Contracts in Turbulent Times.

Abstract

The upheaval in today’s business environment has forced organisations to rethink their strategies. Adaptability becomes essential as market dynamics shift unpredictably with rapid technology integration and global economic fluctuations (Tan et al., 2024). The Covid-19 pandemic disrupted work practises, prompting gig economy models and hybrid structures with the rapid adoption of digital tools like videoconferencing and cloud computing, yet brought about additional challenges (Ajzen & Taskin, 2021; Aroles et al., 2021). The gig economy, which consists of platforms or smartphone apps that connect service providers to consumers for individual jobs, such as Uber linking passengers with drivers, offers opportunities to earn income when full-time, year-round employment is not feasible. However, concerns have arisen regarding the lack of labour protections for gig workers and the unstable nature of gig work.Additionally, certain benefits typically linked to traditional employment, such as paid sick leave, health insurance, and retirement benefits, may not be available in the same manner to gig economy workers (Donovan et al., 2016). Hybrid work, a combination of office and remote work (Kaiser et al., 2022), offers key benefits by integrating advantages from both environments. Remote work provides greater flexibility, higher employee satisfaction, reduced commuting, and a smaller carbon footprint (Teng-Calleja et al., 2024). In contrast, office settings enhance collaboration, coordination, and innovation while fostering a strong organisational culture (Mortensen & Haas, 2021). However, organisations face challenges in adapting their systems to support hybrid work. They must establish or revise policies to ensure legal compliance regarding compensation, working hours, and discrimination (Zapata et al., 2024). The required digitalisation necessitates leadership commitment and effective technology while considering its impact on organisational culture (Dogra & Priyashantha, 2023; Gulliksen et al., 2023).