Pakistan is a nation that holds significant value compared to other South Asian countries, owing to its advantageous human capital and geographical location. This study has investigated the impact of human resource (HR) practices, specifically financial compensation, career adaptability on the financial performance of banks. These variables were analyzed as independent factors. The study delves into the latent mediating employee work engagement. The study's participants consisted of individuals employed in the banking industry. The survey questionnaire was used to gather data from a sample of 300 banks in Pakistan's Punjab, and Sindh, regions. The statistical software employed for data analysis was SPSS Smart PLS 3.0, and the study revealed that all associations were statistically significant. The findings of a study conducted on banks in Pakistan indicate that the provision of financial compensation, career adaptability is positively associated with financial performance and work engagement also strengthen the relationship between them. The study's recommendations aim to assist investors in making informed decisions by selecting banks that prioritize conscientious practices and foster internal motivation among their employees to enhance performance. Finally, the forthcoming suggestions and constraints of the investigation are thoroughly.