CIPD Podcast 221: Employee engagement and the evolving psychological contract
Aug 5, 2025
Trish Hewitt, Founder and Managing Director at Haylo HR, and Nelli Rowsell, People Manager at Advantage Smollan, dive into the shifting landscape of employee expectations in the workplace. They discuss the evolving psychological contract post-COVID, emphasizing the growing demand for flexibility and alignment with personal values. The conversation uncovers warning signs of trust issues, the importance of open communication, and the need for clear career development pathways. They also address how organizations can better support employees balancing work and family responsibilities.
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Understanding Psychological Contract
- The psychological contract is the unwritten agreement shaping loyalty and engagement at work.
- It adjusts over time according to shifting employee values and expectations beyond formal contracts.
Rebuild Trust Transparently
- Start rebuilding lost trust with clear, honest communication and small reliable promises.
- Acknowledge breaches openly and work transparently to restore trust step by step.
Set Expectations Early
- Manage expectations clearly before hiring through honest employer branding and onboarding.
- Prevent disengagement by setting achievable, realistic promises upfront.