Satisfaction with HR practices and employee performance: A moderated mediation model of engagement and health

Abstract

This study examines employee evaluations of HR practices (HRPs), which are a critical and yet underexplored antecedent of their effectiveness. Drawing on the Job Demands–Resources model, it proposes a moderated mediation model that studies the relationship between employee satisfaction with HRPs and in-role and extra-role performance as mediated by engagement. The results suggest satisfaction with HRPs influences both the performance dimensions considered, although its effects are greater for extra-role performance. Engagement intervenes significantly only in the relationship between this satisfaction and extra-role performance. Furthermore, the study acknowledges the burdens HRP-related resources may place on the workforce and examines the moderating effects of a personal resource such as health on the satisfaction with HRPs-engagement link, finding that it significantly strengthens it. It also finds that the indirect effect of satisfaction with HRPs on extra-role performance is stronger for healthier employees. These findings provide novel insights into the HR causal chain and help practitioners to better manage HRP design, communication, and audits.