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Quid Pro Quo? Examining Talent Management Through The Lens Of Psychological Contracts

Mathias Höglund
Published 2012 · Economics

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Purpose – The present paper aims to explore the direct and indirect linkages between HRM practices and human capital within a talent management framework. The study extends previous research on the direct effects of HRM to examine how employee responses to HRM practices mediate the linkage between HRM and human capital.Design/methodology/approach – The paper applies psychological contract theory as a lens to assess employee perceptions of the extent to which talent qualities are rewarded and the effect of such perceptions on employee‐felt obligations to develop skills.Findings – The results indicate that HRM practices are positively related to employee‐perceived talent inducements and that talent inducements fully mediate the direct relationship between skill‐enhancing HRM and human capital. What is more, psychological contract obligations to develop skills partially mediated the relationship between talent inducements and human capital. These results imply that the differential treatment of employees bas...
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