ABSTRACT

The psychological contracts expatriates develop while working abroad are distinct from domestic psychological contracts, particularly when expatriates work in a risky or demanding environment. Due to the dangers that expatriates face in high-risk countries, their psychological contracts are particularly sensitive to employer actions and support. High-risk countries refer to those affected by war, terrorism, insurgency, civil unrest, or other forms of danger. Threats to the expatriate’s safety and well-being impact not only formal employment contracts, but also psychological contract obligations attributed to employers. We build on the dynamic model of psychological contracts in outlining how such country risks can create new perceived contributions and obligations across different phases of the expatriate assignment, making such assignments prone to psychological contract breach. We drill down into factors specific to assignments to high-risk countries and identify factors that can trigger changes in the psychological contract. Building on this, the chapter offers a research agenda for investigating the expatriate exchange relationship in high-risk countries and how it can inform our understanding of psychological contract dynamics during crisis situations more broadly.