The primary focus of this paper was to analyze the impact of performance evaluation, compensation and promotion on perceived employee performance. Primary data collection was collected from 214 employees serving in various universities of AJK. Data were analyzed through correlation and regression by running SPSS software. Results revealed that all selected HR practices were positively related to employee perceived performance and employee commitment. Employee commitment has also been tested as the mediator between HR practices and employee perceived performance. As per reference (Barren and Kenney, 1986), partial mediation of employee commitment was found between the HR practices and employee perceived performance. The study indicates that if an organization wishes its workforce to be committed to it and wants to enhance its performance, it needs to address its HR practices. Investment in HR practices is undoubtedly the right investment to enhance the commitment and to boost the performance of the employees.