Article Classification: Research ArticlePurpose -This research aims to find out the impact of workplace ostracism on stress and employee engagement; this study is beneficial for organizations specific to Banking Sectors so that they can manage their employees correctly.Design/methodology/approach -Quantitative research method was used in this research followed with non-probability convenient sampling with the sample size of 330 of employees working in the banking sectors located in Karachi both Public & Private, the instruments for measuring continuous variable are adopted from previous research.Findings -We have found by testing our hypotheses that there is a significant positive impact of Ostracism on Stress, on the other hand, it has been found that there is a negative impact of Ostracism on Employee Engagement.Discussion -The theoretical implication of the research is that our results reinforced the past theories and the practical implication that ostracism decreases the productivity of employees, for increasing the productivity of employees, the organization should decrease the level of ostracism at the workplace, and it will be beneficial for the banking sector.