Introduction: Employee retention is a critical factor in maintaining human resource stability within organizations. Leadership style and work stress are two major factors that influence employees’ decisions to remain in a company. Effective leadership enhances employee motivation and commitment, whereas excessive work stress tends to reduce employee retention levels. Method: This study employed a quantitative approach using a survey method. Data were collected through questionnaires distributed to employees of Serba Ada Mulia Godean Store. Multiple linear regression analysis was conducted, supported by validity, reliability, and classical assumption tests (normality, linearity, multicollinearity, and heteroscedasticity) to ensure model accuracy and consistency. Results: The results of the validity and reliability tests confirmed that all questionnaire items were valid and reliable. The multiple regression analysis showed an Adjusted R-Square value of 0.908, indicating that 90.8% of employee retention variation is explained by leadership style and work stress. The t-test revealed that leadership style has a significant positive effect on employee retention (p < 0.05), while work stress has a significant negative effect (p < 0.05). Discussion: The findings demonstrate that supportive and effective leadership increases employee retention through enhanced job satisfaction and engagement, while high work stress levels negatively affect employee loyalty and organizational commitment. Therefore, companies should promote supportive leadership practices and implement effective stress management strategies to maintain a stable and productive workforce.