The impact of terrorism on the workplace

The threat of terrorism is an increasing challenge for businesses all around the world. Not only do terrorist groups target an increasing number of Western nations and their companies, Western companies increasingly expand into endangered areas. Terrorist attacks may also have an impact on the relationship between employee and employer and lead to a number of negative effects for the organization, for instance, the breach of the psychological contract if the employee holds the employer responsible for the attack. The chapter theoretically examines the aspects that may impact the change of this relationship by taking an interactionist perspective and applying conservation of resources theory, utility of work theory, and psychological contract theory. Based on this reasoning, we develop a framework for the definition of the workplace, in order to add more explanatory value to the negative reaction tendencies of employees in the aftermath of a terrorist attack.