This research project reports findings on the perceived psychological contract and job satisfaction of secondary school teachers in Gem district, Siaya County, Kenya. The objective of the study was to determine the relationship between psychological contract and job satisfaction of secondary school teachers in Gem district. A descriptive survey design was used to collect primary data by means of questionnaires. The responses of 180 teachers out of a sample of 200 teachers revealed that there is a relationship between perceived psychological contract and job satisfaction. Using linear regression, the study shows that an increase in the overall fulfillment of obligations and promises (psychological contract) by both the teacher and school would directly cause an increase in job satisfaction. Another key finding of the study is that, in general teachers feel they fulfill their promises and obligations to a great extent to the school, while the school fulfills their promises and obligations to teachers to a little extent, which means there is violation of psychological contract and therefore job dissatisfaction. This study then recommends the government and the school management to revise their recruitment policy and emphasize on equal employment opportunities. They should also endeavor to fulfill their promises and obligations (psychological contract). This will go a long way in creating a motivated and satisfied staff. Further studies can be done on the influence of psychological contract violation on performance. Future researchers should also replicate the same study in private institutions because the findings of this study were based on institutions in the public sector.
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