Why does the psychological contract matter? Implications for leadership practice, workplace stress and anxiety

Since the l 990's the workplace has sought to deal with globalisation, the ever increasing pace of technology, and recently the emerging impact of age upon the workforce. Within the workplace change is now the new norn1. Consequently increases in workplace stress, anxiety and even burnout among employees is an emerging challenge of the contemporary workplace (Cartwright & Holmes, 2006). Workplace anxiety and stress can result from the fundamentals of change and a lack of control over these things by employees. In the workplace, there may be a misfit between the needs and capabilities of employees and what the organisation or workplace demands or offers of them (Cartwright & Cooper 1997). Change and innovation may exact a high toll on worker's physical and mental health. The negative effects on employee's fitness, financial earnings and emotions will be borne, at least in part, by the organisation. It is imperative therefore that organisational leaders support and mentor employees generally and more so through the change processes.