["Applied Psychology, Volume 75, Issue 3, June 2026. ", "\nAbstract\nDrawing on social information processing theory and the sociofunctional view, this paper proposes that non‐stars' psychological and behavioral responses to the perception of the existence of star employees (PESE) depend on their long‐term orientation. Specifically, when non‐star employees' long‐term orientation is low, PESE is negatively associated with felt obligation, which in turn decreases their work engagement. In contrast, when non‐star employees' long‐term orientation is high, PESE is positively related to resource threat perception, which in turn increases their work engagement. Data from one scenario experiment and one multi‐wave field study have supported these hypotheses. The results highlight the paradoxical phenomenon that stars affect the work engagement of non‐star employees and provide a new breakthrough to understand the star peer effect. Findings also offer practical insights into the talent management of teams that include star employees.\n"]