Artificial Intelligence Integration in HRM as a Mediating Mechanism: A Study of the HRM–AI–Attrition Nexus in IT Industry

This paper examines the relationship between Human Resource Management (HRM) practices, Artificial Intelligence (AI) integration, and employee attrition in the Indian IT industry. The study introduces AI Integration in HRM Practice (AIIHRMP) as a mediating construct and empirically validates the proposed structural model using primary data collected from HR professionals in IT organizations in Chennai through Confirmatory Factor Analysis (CFA) and Structural Equation Modelling (SEM). The findings indicate that effective HRM practices significantly enhance AI integration within HR functions, while AI integration significantly reduces employee attrition. The mediation analysis confirms that AI integration serves as a meaningful mediator in the HRM–attrition relationship, amplifying the retention effect of HRM practices by approximately 29.7%. The study provides the first empirical validation of AI as a mediating mechanism in the HRM–attrition nexus within the Indian IT context and offers a practical framework for developing AI-augmented HRM strategies to proactively reduce talent attrition and improve workforce stability in the IT sector.