Work Engagement in the Age of AI : The Moderating Role of Digital Literacy on HR Technology Adoption in Tunisia

Purpose: As organizations in emerging economies accelerate their adoption of Artificial Intelligence (AI) in Human Resource Management (HRM), understanding the human-centric factors that influence employee work engagement becomes critical. This study investigates the relationship between AI-driven HRM adoption and work engagement among Tunisian employees, examining digital literacy as a key moderator in this relationship. Design/Methodology/Approach: Drawing on the Job Demands-Resources (JD-R) theory and Technological Acceptance Model (TAM), we collected cross-sectional data from 387 employees across five major sectors (Banking, IT/Telecom, Manufacturing, Services, and Public Sector) in Tunisia's primary economic hubs (Tunis and Sfax). Hierarchical moderated regression analysis was employed to test the hypothesized relationships. Findings: Results reveal a significant positive relationship between AI HRM adoption and work engagement (β = .416, p < .001). Crucially, digital literacy significantly moderates this relationship (β = .134, p = .006). Simple slopes analysis demonstrates that the positive effect of AI HRM adoption on engagement strengthens as digital literacy increases (Low DL : β = .316 ; High DL : β = .517). Sector analysis reveals notable variations, with IT/Telecom showing highest engagement levels despite high AI adoption, while the public sector lags in both dimensions. Research Limitations/Implications : Cross-sectional design limits causal inference. Future research should employ longitudinal designs to capture adaptation processes over time. Practical Implications : For HR practitioners in emerging markets, our findings underscore the necessity of digital literacy programs as prerequisites for AI implementation. Organizations should avoid "techno-determinism" and invest in human capital development alongside technological infrastructure. Originality/Value : This study provides the first empirical evidence on AI-HRM dynamics in the Tunisian context, extending engagement theory to the algorithmic management era while highlighting institutional voids that characterize HRM digitalization in post-revolutionary North African economies.