Digital HR Transformation and Its Impact on Employee Engagement and Job Satisfaction: A Study of IT Sector Employees in Bengaluru's Remote and Hybrid Work Environments

Abstract

The rapid shift toward remote and hybrid work arrangements in India's Information Technology (IT) sector has compelled Human Resource (HR) functions to accelerate their digital transformation. This study examines the relationship between Digital HR Adoption (DHA) and two key organizational outcomes — Employee Engagement (EE) and Job Satisfaction (JS) — among IT professionals working in remote and hybrid modes in Bengaluru. Primary data were collected through a structured questionnaire administered to 210 IT sector employees across startups, mid-sized firms, and large multinational corporations operating in Bengaluru. Reliability of the constructs was established using Cronbach's alpha (all values exceeding 0.85), and hypotheses were tested using Pearson correlation and multiple regression analysis. Results indicate that Digital HR Adoption exerts a statistically significant positive influence on both Employee Engagement (β = 0.490, p < 0.001) and Job Satisfaction (β = 0.315, p < 0.001), with Employee Engagement further mediating the relationship with Job Satisfaction. The findings offer practical implications for HR managers seeking to optimize digital HR platforms to sustain engagement and satisfaction in distributed work settings.