PSYCHOLOGICAL CONTRACT AND ORGANIZATIONAL HEALTH OF OIL AND GAS MULTINATIONAL COMPANIES IN RIVERS STATE

Abstract

The study examined transactional contract and organizational health of Oil and Gas Multinational Companies in Rivers State. The study was anchored on Expectancy Theory as its theoretical foundation. The study adopted explanatory cross-sectional survey research design. The accessible population of the study consisted of Twenty (20) registered and licensed Oil and Gas Companies presently operating in Rivers State. The above information was obtained from the Rivers State Yellow Page. The entire population was used without sampling. Thus, the study was a census research. In terms of respondents, five (5) knowledgeable managers were purposively selected to respond to the questionnaire on behalf of their company. Their selection was predicated on the assumption that these managers have indepth knowledge about how functional their companies are and variables under investigation. The managers selected for each of the Oil and Gas Companies includes Human Resource Managers (HRM), Public Relation Managers (PRM), Procurement/Contract Managers (PCM), Accounts Managers (AC), and Filed Operations Managers (FOM). Structured questionnaire was used as the main instrument for the collection of primary data. To establish the validity of the instrument, copies of the questionnaire was submitted to the supervisor and two other experts in Management. Their comments were used to validate the final copy of the instrument that was administered. Thus, Cronbach alpha via SPSS (Statistical Package for Social Sciences, Version 24.0) was used to ascertain the reliability of the instrument. A total of One Hundred (100) copies of the questionnaire were administered to respondents with the help of two research assistants. The researchers were able to retrieve ninety (90) copies of the questionnaire distributed representing 90% and were used for analysis. It was found that there is a significant positive relationship between transactional contract and organizational health of Oil and Gas Multinational Companies in Rivers State. It was concluded that well-structured transactional contracts can serve as a strategic lever for enhancing employee satisfaction, commitment, and engagement in oil and gas firms. Consequently, the study recommends that management of Oil and Gas Multinational Companies should prioritize the development of transparent, equitable, and well-communicated employment contracts.