The hotel industry utilises the concept of human resource practices system differentiation (HRPSD) by focusing resources on managerial level jobs as a technique of strategic human resource management (SHRM). Despite its use in both practice and the academic literature, research focusing on HRPSD is scarce and detailed analyses of the effects of this practice on employees cannot be found in the academic literature. The objective of this article is to develop a conceptual framework facilitating the examination of how human resource practices systems are differentiated within 5-star hotels, and to identify some direct effects of such systems on employees. The article provides a conceptual framework of SHRM with HRPSD, including the link to human resource intermediate outcomes that have not previously been included in previous research in a hotel industry context.