Abstract
Integrating job demands-resources (JD-R) theory with institutional theory, this study investigates how labor market regulations affect the relationship between high-performance work systems (HPWS) and organizational performance (OP). It posits that labor market regulations influence job demands and resources, and thereby the HPWS-OP relationship. Using hierarchical linear modeling in a meta-analysis of 59,265 business entities across 25 countries from 246 sample studies available as of April 2024, it finds that stringent hiring and firing regulations limit HPWS effectiveness, while strict work hour regulations enhance it. Centralized collective bargaining provisions do not significantly moderate this relationship. This study enriches strategic human resource management theory with a contextualized framework and offers meaningful insights for managers and policymakers on HPWS deployment and legislative development.