The increasingly competitive banking industry requires organizations to optimize human resource management to enhance employee performance. However, high job demands, excessive workloads, and operational risks may adversely affect work engagement, job burnout, and work–life balance, which ultimately influence employee performance. This study aims to examine the effects of work engagement and job burnout on employee performance, both directly and indirectly through the mediating role of work–life balance at Bank Sultra Kolaka Branch. This study employed a quantitative approach with an explanatory research design. The sample consisted of 44 employees selected using purposive sampling. Data were collected through a five-point Likert scale questionnaire and analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS 4.0. The findings indicate that work engagement has a positive and significant effect on both work–life balance and employee performance. In contrast, job burnout has a negative and significant effect on work–life balance but does not significantly affect employee performance. Furthermore, work–life balance positively and significantly influences employee performance. Mediation analysis reveals that work–life balance partially mediates the relationship between work engagement and employee performance, while fully mediating the relationship between job burnout and employee performance. These findings suggest that improving employee performance requires not only strengthening work engagement but also implementing organizational policies that promote work–life balance through effective workload management and a supportive work environment.
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