International Journal of Education. Social Studies. And Management (IJESSM) e-ISSN : 2775-4154 Volume 5. Issue 2. June 2025 The International Journal of Education. Social Studies, and Management (IJESSM) is published 3 times a year (February. Juny. Novembe. Focus : Education. Social. Economy. Management, and Culture. LINK : http://lpipublishing. com/index. php/ijessm The Impact of Work-Life Balance and Employee Engagement on Performance Mediated by Digitalization Ani Jamiyati1. Trisno Ajisantoso Bagusromadhan2. Ryan Alvarezy3. Adibah Yahya4. Tri Ngudi Wiyatno5 1,2,3,4,5 Universitas Pelita Bangsa. Indonesia ARTICLE INFO Article history: Received 05 April 2025 Revised 26 May 2025 Accepted 17 June 2025 Keywords Corresponding Author : ABSTRACT This study aims to analyze the influence of Human Resource Management (HRM). Work-Life Balance (WLB), and employee involvement on employee performance, with digitalisation as a mediating variable. The digital era has transformed the paradigm of HR management, requiring organisations to become more adaptive to technological developments. This research was conducted at PT XYZ. Bekasi Regency, using a quantitative approach with purposive sampling involving 148 respondents. The findings show that HRM and employee involvement do not have a direct impact on employee performance, while WLB has a positive and significant effect. Moreover, digitalisation significantly mediates the relationship between the three independent variables and employee performance. These results highlight the importance for organisations to prioritise work-life balance policies and integrate digital technologies into HR practices such as performance appraisal systems, employee training programs, and digital communication platformsAito enhance employee performance. This study contributes to the theoretical development of HRM in the digital age and provides practical implications for strategic decision-making in human resource Human Resource Management. Work Life Balance. Employee Involvement. Employee Performance. Digitalisation. aniejamiati@gmail. INTRODUCTION Performance is the level of achievement shown by an organisation in carrying out its activities within a certain period, usually one year. It reflects how successful or unsuccessful the organisation is in achieving its goals. According to Silva et al. , performance includes four aspects: task counterproductive work behaviour. These aspects are based on an individualAos competence, contribution to the organisation, ability to adapt to the work environment, and actions that may harm the organisation or its members. International Journal of Education. Social Studies. And Management (IJESSM) Volume 5. Issue 2. June 2025 Page 949-959 Digitalisation plays an important role in shaping more efficient work processes, which in turn helps employees improve their performance. Rather than focusing solely on traditional methods, organisations are encouraged to adopt digital-based approaches to enhance both individual and organisational outcomes (Sulistianingtiyas & Djastuti, 2. As technology rapidly advances, it brings about significant changes in how organisations operate and how employees carry out daily tasks. Previously, investing in human resources was seen as essential, but now, increasing employee productivity through digital innovation has become a key strategy (Farrel Shidqi et al. , 2. In this case, the role of HRM. Work Life Balance and employee performance is needed in the corporate industry and if there is support for digitalisation, it will facilitate all aspects of the work process carried out. Many companies have implemented various HRM practices in the digital The most popular digital HRM practices among companies are using chatbots. QR code-based job application acceptance, mobile HRM applications, dashboard-based data analysis, and artificial intelligence in recruitment procedures (Alqudah et al. , 2. This analysis investigates important aspects of the digital revolution in HRM, which include digital workplaces, digital procedures for HRM, and digital employee services (Yang & Li, 2. Work-life balance is generally defined as the balance between an employee's work life and personal life. In todayAos digital world, keeping a healthy balance between work and personal life is becoming more challenging. The rise of technology makes it easier for employees to stay connected and work outside regular office hours. While this brings flexibility, it also blurs the line between professional responsibilities and personal timeAimaking it harder for people to truly disconnect from work (Parkes & Langford, 2. In the digital era, this concept is becoming increasingly important because the boundaries between work and personal life are increasingly blurred with the presence of technology that allows employees to work from anywhere and anytime (Dwitanti et al. , 2. Employee involvement is a participatory process that uses employee input to increase their commitment to organisational success (Agus et al. , 2. Employee involvement includes cognitive, emotional, and physical aspects directed at achieving organisational goals. Actively engaged employees tend to show higher commitment, greater job satisfaction, and better performance (Ropa et al. , 2. PT. XYZ is a manufacturing company engaged in the production of motorcycle components. PT. XYZ has experienced a decline in performance by International Journal of Education. Social Studies. And Management (IJESSM) Volume 5. Issue 2. June 2025 Page 949-959 looking at employee attendance and from outputs that are still in the manual stage so that monitoring employee performance is a reason for the company to make changes and efforts to increase digitalisation to facilitate employee monitoring at work. PT XYZ is therefore not yet accustomed to digitalisation, for employee attendance attendance attendance still uses manual attendance with paper which is easy to manipulate and takes one day because it has to reenter all data, so that with the new system by implementing digitalisation as a communication that must be used by making a breakthrough in reporting via Whatsapp grub in each section, thereby minimising direct contact with superiors, with digitalisation making it easier to do work and improve employee performance. Based on the results of a survey conducted by PT XYZ, there are differences before and after digitalisation, including the work process becoming faster and easier, the range of communication is easier to help get the job done, it is interesting to study to find out the extent to which the influence of HRM. Work Life Balance, and Employee Involvement on employee performance is mediated by. Figure 1. Draft Framework RESEARCH METHOD Study Design This research adopts a quantitative method using Structural Equation Modeling (SEM) with the Partial Least Squares (PLS) technique, processed through SmartPLS 3. 0 software. The use of PLS-SEM is considered suitable because it works well for complex models, even when the sample size is relatively small, and does not require the data to follow a normal distribution (Hair & Ringle, 2. The analysis was carried out in three main steps: International Journal of Education. Social Studies. And Management (IJESSM) Volume 5. Issue 2. June 2025 Page 949-959 Testing the measurement model . uter mode. Assessing the structural model . nner mode. , and Analyzing the mediating effect (Sarstedt et al. , 2. Population and Sampling The study focused on all employees of PT XYZ in Bekasi Regency, with a total of 148 respondents. The sampling approach used was purposive sampling, where participants were selected based on specific conditions to fit the research The criteria were: The employee holds a permanent position. Has worked for at least one year, and Actively uses digital technology in their daily tasks. Data Collection The primary data was collected through an online questionnaire distributed via Google Forms. The questionnaire was structured into five sections, each measuring one of the following variables: Human Resource Management (HRM). Work-Life Balance (WLB). Employee Engagement. Digitalisation, and Employee Performance. Each item was rated using a five-point Likert scale, from 1 . trongly disagre. to 5 . trongly agre. In addition to that, secondary data such as internal company documents and supporting literature were used to enrich the Data Analysis Technique Measurement Model Evaluation (Outer Mode. In the first stage, the reliability and validity of the questionnaire items were tested. This includes: Ensuring indicator reliability with factor loadings above 0. Measuring internal consistency using CronbachAos Alpha and Composite Reliability, both expected to be over 0. Confirming convergent validity via Average Variance Extracted (AVE), which should be above 0. Checking discriminant validity using the Fornell-Larcker criterion and the HTMT ratio, with a threshold below 0. Structural Model Evaluation (Inner Mode. Once the measurement model was confirmed to be reliable, the next step involved testing the relationships between variables. The main indicators in this phase included: International Journal of Education. Social Studies. And Management (IJESSM) Volume 5. Issue 2. June 2025 Page 949-959 Path coefficients to show the strength and direction of influence. T-statistics and p-values to confirm the significance of each relationship. R-squared (RA) to see how well the independent variables explain the dependent variable. Effect size . A) to measure the impact of each predictor. RESULTS AND DISCUSSION The following is the model tested in this study and the calculation results of the entire model using SmartPLS 3. 0 are as follows: Figure 2. Path diagram of indicator loading factor value Source: Smartpls output, 2025 Based on the picture above, the results of the SEM results testing indicators with PLS are carried out by looking at the results of the measurement model (Outer mode. and the results of the structural model . nner mode. of the model under study. Table 1. Outer Loading Table X1. 1 0,896 X1. 2 0,944 X1. 3 0,928 X1. 4 0,931 X1. 5 0,964 X1. 6 0,749 X2. 0,737 International Journal of Education. Social Studies. And Management (IJESSM) Volume 5. Issue 2. June 2025 Page 949-959 X2. X2. X2. X2. X2. X3. X3. X3. X3. X3. X3. 0,980 0,987 0,986 0,962 0,762 0,821 0,858 0,773 0,776 0,831 0,706 0,799 0,807 0,819 0,879 0,893 0,901 0,711 0,855 0,910 0,804 0,910 0,896 0,903 0,871 Based on Table 1, the outer loading values for all indicators under the variables X1. X2. X3. Z, and Y are above 0. This means each indicator has a strong correlation with its respective latent variable and can effectively reflect the concept it is intended to measure. In simple terms, these results confirm that all indicators used in this study are valid and reliable. The fact that all loading values exceed the recommended threshold supports the quality of the measurement model. This gives confidence that the data collected is appropriate and accurate, allowing the analysis to proceed to the structural model stage with a solid foundation. Table 2. AVE Value Cronbach's rho_ Composite Average Variance Extracted Alpha Reliability (AVE) 0,954 0,971 0,964 0,818 0,960 1,009 0,966 0,826 0,889 0,906 0,912 0,633 International Journal of Education. Social Studies. And Management (IJESSM) Volume 5. Issue 2. June 2025 Page 949-959 0,953 0,917 0,959 0,923 0,960 0,942 0,705 0,801 Based on the results, it can be concluded that all the variables in this study meet the criteria for convergent validity. The AVE (Average Variance Extracte. values are as follows: HRM = 0. Work-Life Balance = 0. Employee Engagement = 0. Employee Performance = 0. 705, and Digitalisation as a moderating variable = 0. Since all AVE values are above the threshold of 5, this indicates that each construct is able to explain a sufficient portion of the variance in its indicators. In simple terms, each variable is considered valid and strong enough to represent the concept being measured, making them suitable for further analysis in the structural model. Structural Model Test Results (Inner Mode. The structural model test results show that the RA value for the employee performance variable is 0. 333, which means that 33. 3% of the variation in employee performance can be explained by the role of HRM, work life balance, employee engagement, and digitalisation as a moderating variable. The results of hypothesis testing using the bootstrapping method with 5000 samples can be seen in the following table: Table 3. R Square Test Results R Square Adjusted R Square 0,351 0,333 0,096 0,777 Based on the figure above, it can be seen that the adjusted R square model in the study has a value of 0. 333, meaning that the ability of exogenous variables to explain Y is 33. 3% . so that it is said that the ability of the employee performance variable has less influence on HRM. WLB, and Employee envolvment, as for digitalisation as a moderating variable, it explains that it has a strong influence related to digitalisation, namely 77. 7%, while the remaining 3% is the influence of other independent variables not measured in this Table 4. Hypothesis Testing Results Path THypothesis Relationship P-Value Decision Coefficient Statistic X1 -> Y 0,231 1,133 0,258 Rejected X2 -> Y 0,244 2,110 0,035 Accepted X3 -> Y 0,090 0,025 0,980 Rejected International Journal of Education. Social Studies. And Management (IJESSM) Volume 5. Issue 2. June 2025 Page 949-959 X1->Z->Y X2->Z->Y X3->Z->Y 0,114 0,116 0,050 2,468 2,489 2,501 0,014 0,013 0,013 Accepted Accepted Accepted Based on the analysis, the study found that Human Resource Management (HRM) does not directly impact employee performance. This result, reflected in Hypothesis 1 (H. , suggests that simply applying HR practices alone may not immediately improve how employees perform. Likewise. Employee Involvement (H. also showed no significant direct relationship with performance, indicating that engagement efforts might need other supporting factors to be effective. On the other hand. Work-Life Balance (WLB) (H. proved to have a meaningful and positive influence on employee performance. Employees who can manage their personal and professional lives more effectively are more likely to stay motivated, focused, and productive at work. Interestingly, although HRM and employee involvement did not have strong direct effects, the study found that all three variablesAiHRM. WLB, and employee involvementAican still contribute to better performance when digitalisation is present. The mediating role of digital tools and systems was shown to be statistically significant across all three relationships (H4. H5, and H. This means that digitalisation acts as a kind of AubridgeAy that helps turn good HR practices, work-life initiatives, and employee engagement into real performance gains. In todayAos work environment, where technology plays a central role, the integration of digital solutions in HR appears to be a key factor in supporting employee productivity and organisational effectiveness. CONCLUSION The results show that digitalisation mediates the relationship between HRM. WLB, and Employee Involvement on employee performance. This finding is consistent with the Technology-Organisation-Environment (TOE) Framework theory which states that technology adoption can strengthen the relationship between organisational practices and performance (Naser et al. 2022 in Tornatzky & Fleischer, . 0 ) . The partial mediating effect of digitalisation on the HRM-performance relationship (VAF = 54. 5%) suggests that digital technology is an important pathway in optimising HRM practices. This is in line with research (Bondarouk & Brewster, 2 )023 which found that digital HRM can improve the effectiveness of human resource management practices through process automation and International Journal of Education. Social Studies. And Management (IJESSM) Volume 5. Issue 2. June 2025 Page 949-959 more sophisticated analytics. The mediation of digitalisation on the WLBperformance relationship (VAF = 32. 7%) indicates that digital technologies facilitate work-life balance through flexibility of work time and place. The mediating effect on the Employee Involvement-performance relationship (VAF = 58. 2%) suggests that digitalisation strengthens employee engagement through digital collaboration platforms and more effective communication systems. This is consistent with research (Saks, 2. which found that digital technology can increase engagement through social recognition platforms and collaborative tools. Based on the results of the research and discussion, it can be concluded as follows: Based on the results of the study, it can be concluded that: Work Life Balance has a direct and significant effect on employee performance, while HRM and Employee Involvement do not show a significant direct effect. Digitalisation proved to partially mediate the relationship between all independent variables (HRM. WLB. Employee Involvemen. with employee performance, indicating the important role of digital technology as organisational performance. The research model showed moderate predictive ability (RA = 0. indicating that the variables studied can explain almost half of the variation in employee performance. ACKNOWLEDGEMENT The author extends sincere gratitude to all respondents who generously dedicated their time and effort to complete the research questionnaire. Appreciation is also given to the academic institution for its continuous support and the facilities provided throughout the research process. Special thanks are extended to the lecturers and colleagues for their valuable insights, suggestions, and encouragement during the preparation of this journal. REFERENCES