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This study examines how sustainable human resource management practices support the long-term competitiveness of organizations by improving employee capability, encouraging environmentally responsible behavior, and strengthening strategic alignment. Although interest in sustainable people management has increased in recent years, existing studies often focus on isolated practices and do not fully explain how integrated sustainable systems influence competitiveness. This study addresses this gap by reviewing peer-reviewed research published between 2019 and 2025 to identify the main ways in which sustainable human resource activities enhance workforce performance and organizational outcomes. The review focuses on key practices such as green recruitment, continuous employee development, staff engagement programs, and leadership that support sustainability. The analysis draws on the Resource-Based View and the Ability Motivation Opportunity model to explain how sustainable human resource systems strengthen knowledge sharing, encourage innovation related to environmental improvement, and enhance the overall well-being of employees. These mechanisms are used to guide the central questions concerning how sustainable human resource actions contribute to productivity, innovative capacity, and organizational resilience. Findings show that organizations that adopt sustainability-based human resource practices are more productive, better equipped to innovate, and more capable of maintaining stable performance in changing environments. These outcomes position them more competitively within their sectors. The study offers practical guidance for managers who intend to incorporate sustainability principles into human resource activities and identifies directions for future research to support stronger empirical understanding of the strategic value of sustainable human resource practices.