This paper investigates the complex association between innovation-based human resource management (IBHRM) and innovative work behavior (IWB) among hotel employees. Data were obtained from 338 hotel employees in Greater Cairo and analyzed using AMOS v. 23. Findings emphasized the significant impact of IBHRM on IWB through employee engagement (EE), highlighting the importance of training, recognition programs, and fair rewards. This paper provides valuable insights for HR managers, emphasizing effective selection procedures, skill development initiatives, and training programs in fostering innovation within the hotel industry. By contributing to existing knowledge, this research provides valuable insights to promote an innovation culture in the hotel industry.