This study aimed to investigate the role of work engagement in the relationship between ability-enhancing Human Resource Management (HRM) practices and employee performance. Questionnaires were distributed in 52 organisations where 665 employees and 52 organisational representatives participated. Employees were asked about their level of work engagement and performance. Organisational representatives gave information about the use of HRM practices in their organisation, including the ability-enhancing practices of training and selection. Multilevel analysis did not find a direct relationship between ability-enhancing HRM practices and employee performance. Support was, however, found for work engagement as a mediator in the relationship between HRM practices and employee performance. This suggests that selection and training procedures impact performance indirectly through work engagement. The implications for practice are discussed, and it is argued that organisations could benefit from evaluating the content and procedures of selection and training practices.