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Candidates should answer FOUR of the following EIGHT questions. All questions carry
equal marks.
2. (a) Define ‘reneging’ and ‘incongruence’ in the context of psychological contract violation
and discuss what factors explain their occurrence. (10 marks)
(b) What advice would you give organisations wishing to avoid or minimise perceptions of
psychological contract breach amongst their employees? (15 marks)
3. (a) What managerial objectives can be pursued using a reward system? Give examples to
support your answer. (10 marks)
(b) Using the process theories of motivation, critically evaluate the circumstances under
which performance related pay is likely to fail in motivating employees. (15 marks)
7. (a) Human resource strategy can be understood as a combination of ‘analysis’ and ‘action’.
What elements do these two components address? (10 marks)
(b) Is HR strategy of any significance to organisations? Justify your answer. (15 marks)
8. (a) The employment relationship is an unusually complex social relationship. Why is this
the case? (10 marks)
(b) How does social exchange theory differ from agency theory in its approach to
understanding the employment relationship? (15 marks)
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