[TYPE THE COMPANY NAME]
IOP3706
May/June
Exam Memo |
Due 19 May
2025
NO PLAGIARISM
, [Pick the date]
[Type the abstract of the document here. The abstract is typically a short summary of the contents of
the document. Type the abstract of the document here. The abstract is typically a short summary of
the contents of the document.]
Exam (elaborations)
IOP3706 May/June Exam Memo | Due 19 May
2025 Save 4 minutes reading time
Course
Personnel Psychology: Employee Retention (IOP3706)
Institution
University Of South Africa (Unisa)
Book
Personnel Psychology
IOP3706 May/June Exam Memo | Due 19 May 2025. All questions fully
answered.
SCENARIO/CASE STUDY “Repositioning Talent in a Changing World” Nkomo
Holdings is a large South African organisation in the logistics and freight
industry. Over the past three years, they’ve faced severe skills shortages in
critical positions such as supply chain analytics, fleet management, and HR
data science. Despite efforts to attract talent, high turnover has remained a
problem, particularly among young professionals and mid-level managers. A
recent internal climate survey revealed dissatisfaction with career
development, unfair pay practices, unclear performance expectations, and a
weak employee voice in decision-making. Trade unions have called for
improved collective bargaining structures and more inclusive labour relations
practices. In response, the company has established a task team, including
HR, union representatives, and line managers, to review their training,
compensation, performance management, and career systems in line with
transformation goals. The task team is expected to align their strategy with
the emerging nature of hybrid work and digital transformation. QUESTION 1
(15 Marks) a) Briefly explain psychological contract and critically discuss the
forms of turnover as well as the various factors that influence job, and
occupational embeddedness. (15)
, a) Psychological Contract and Turnover; Job and Occupational Embeddedness
(15 marks)
1. Psychological Contract (3 marks)
The psychological contract refers to the unwritten, implicit expectations between employees
and employers regarding mutual obligations. It includes beliefs about what employees owe their
organization (e.g., loyalty, performance) and what they expect in return (e.g., fair pay, job
security, career development). Unlike a formal employment contract, the psychological contract
is subjective and emotional in nature.
In Nkomo Holdings, this contract appears to be violated or breached—especially in areas such
as career development, pay equity, performance expectations, and employee voice. Breaches of
the psychological contract often lead to lower morale, decreased engagement, and increased
turnover.
2. Forms of Turnover (4 marks)
Turnover refers to the rate at which employees leave an organization. The main forms include:
Voluntary Turnover: When employees choose to leave the organization, often due to
dissatisfaction, better opportunities, or personal reasons. At Nkomo Holdings, high
turnover among young professionals and mid-level managers suggests voluntary exits
due to unmet expectations.
Involuntary Turnover: When the employer initiates the termination due to poor
performance, restructuring, or misconduct.
Functional Turnover: When poor performers leave the organization, which can be
beneficial.
Dysfunctional Turnover: When high performers or those in critical roles resign,
harming the organization. Nkomo's loss of talent in key areas like HR data science and
fleet management represents dysfunctional turnover.
3. Factors Influencing Job and Occupational Embeddedness (8 marks)
Job Embeddedness explains why people stay in a job and includes the following components:
Links (Social Connections): Relationships with coworkers, teams, or community. Weak
employee voice and poor labour relations at Nkomo reduce social bonds, undermining
embeddedness.
Fit (Compatibility): Alignment between personal values/career goals and organizational
culture. Dissatisfaction with career development and unclear performance expectations
signal poor fit.
IOP3706
May/June
Exam Memo |
Due 19 May
2025
NO PLAGIARISM
, [Pick the date]
[Type the abstract of the document here. The abstract is typically a short summary of the contents of
the document. Type the abstract of the document here. The abstract is typically a short summary of
the contents of the document.]
Exam (elaborations)
IOP3706 May/June Exam Memo | Due 19 May
2025 Save 4 minutes reading time
Course
Personnel Psychology: Employee Retention (IOP3706)
Institution
University Of South Africa (Unisa)
Book
Personnel Psychology
IOP3706 May/June Exam Memo | Due 19 May 2025. All questions fully
answered.
SCENARIO/CASE STUDY “Repositioning Talent in a Changing World” Nkomo
Holdings is a large South African organisation in the logistics and freight
industry. Over the past three years, they’ve faced severe skills shortages in
critical positions such as supply chain analytics, fleet management, and HR
data science. Despite efforts to attract talent, high turnover has remained a
problem, particularly among young professionals and mid-level managers. A
recent internal climate survey revealed dissatisfaction with career
development, unfair pay practices, unclear performance expectations, and a
weak employee voice in decision-making. Trade unions have called for
improved collective bargaining structures and more inclusive labour relations
practices. In response, the company has established a task team, including
HR, union representatives, and line managers, to review their training,
compensation, performance management, and career systems in line with
transformation goals. The task team is expected to align their strategy with
the emerging nature of hybrid work and digital transformation. QUESTION 1
(15 Marks) a) Briefly explain psychological contract and critically discuss the
forms of turnover as well as the various factors that influence job, and
occupational embeddedness. (15)
, a) Psychological Contract and Turnover; Job and Occupational Embeddedness
(15 marks)
1. Psychological Contract (3 marks)
The psychological contract refers to the unwritten, implicit expectations between employees
and employers regarding mutual obligations. It includes beliefs about what employees owe their
organization (e.g., loyalty, performance) and what they expect in return (e.g., fair pay, job
security, career development). Unlike a formal employment contract, the psychological contract
is subjective and emotional in nature.
In Nkomo Holdings, this contract appears to be violated or breached—especially in areas such
as career development, pay equity, performance expectations, and employee voice. Breaches of
the psychological contract often lead to lower morale, decreased engagement, and increased
turnover.
2. Forms of Turnover (4 marks)
Turnover refers to the rate at which employees leave an organization. The main forms include:
Voluntary Turnover: When employees choose to leave the organization, often due to
dissatisfaction, better opportunities, or personal reasons. At Nkomo Holdings, high
turnover among young professionals and mid-level managers suggests voluntary exits
due to unmet expectations.
Involuntary Turnover: When the employer initiates the termination due to poor
performance, restructuring, or misconduct.
Functional Turnover: When poor performers leave the organization, which can be
beneficial.
Dysfunctional Turnover: When high performers or those in critical roles resign,
harming the organization. Nkomo's loss of talent in key areas like HR data science and
fleet management represents dysfunctional turnover.
3. Factors Influencing Job and Occupational Embeddedness (8 marks)
Job Embeddedness explains why people stay in a job and includes the following components:
Links (Social Connections): Relationships with coworkers, teams, or community. Weak
employee voice and poor labour relations at Nkomo reduce social bonds, undermining
embeddedness.
Fit (Compatibility): Alignment between personal values/career goals and organizational
culture. Dissatisfaction with career development and unclear performance expectations
signal poor fit.
