While it is common knowledge that nature of employment is rapidly changing, the contemporary employment relationship has received little serious investigation. This paper, by Republic Directors Rohit Lekhi and Ricardo Blaug, explores the inherent tensions in this relationship and how apparently dramatic changes in the workplace have
affected it. These changes, it suggests, are less to do with material changes in work and employment than in the social and psychological contexts that affect them. It therefore argues that high-trust relationships serve best to reduce workplace tensions and reinforce the legitimacy of employees and management. The 'psychological contract' these generate takes into account the socio-cognitive aspects of the employment relationship, and is therefore better equipped to address wider organisational and social pressures on work.