Do you agree or disagree with the statement? Why or why not? It is never ethical for a manager or subordinate to violate a psychological contract because even though it is an informal contract between the manager and the employees it should be respected. Ethics are based on morals and honesty. When managers respect the psychological contract, they are supposed to treat Jemployees with respect, provide sound working conditions, and clearly communicate expectations and feedback. It may not be written on paper but these rules should be respected or else it is unethical. Violating a psychological contract may have negative consequences for some employees. For example, employees through a psychological contract should work hard and be loyal to their organization. Therefore, by respecting the psychological contract they may be promoted to a better position or even gain more experiences. However, those who violate a psychological contract can lose their jobs because they are not productive to their organization. An employee may think that an employee has violated a psychological contract while the employee does not think the same way or vice versa. When an employee violates a psychological contract, it means that he or she did not work hard or has been unfaithful to the organization. Since the psychological contract is based on each person, and it is not a written statement, the employee and the employer may think that the other person did not do a good job on respecting the contract