This study explored the development of the Jordanian schools' administrations within the concept of the mutual psychological contract between school principals and teachers. The study employed the descriptive developmental approach. Two scales were developed, the scale of the school's commitment to the psychological contract with teachers, which consisted of (30) items, and the scale of teachers' commitment to the psychological contract with the school, which consisted of (22) items. The sample of the study consisted of (431) teachers and (117) principals at the end of the academic year 2020/2021. The results revealed that the degree of commitment among school principals to the psychological contract with teachers was average. The differences were statistically significant in favor of the teachers with long experience, and the differences were not significant for the rest of the variables. The results of the study also indicated that the degree of teachers' commitment to the psychological contract with school principals was average. The differences were statistically significant in favor of school principals with short experiences. Mechanisms for developing school administration in Jordan were suggested, and several recommendations were made.