Employee retention has become one of the primary challenges for manufacturing companies in maintaining organizational stability and productivity. This study aims to examine the influence of compensation systems, employee welfare, and work-life balance on employee retention at PT AAE Outdoor Indonesia. A quantitative approach was employed using a survey method. Primary data were collected through questionnaires distributed to employees selected using a purposive sampling technique. Data analysis was conducted using multiple linear regression with the assistance of SPSS software. The findings indicate that the compensation system has a positive and significant effect on employee retention. Employee welfare also demonstrates a significant positive influence on employee retention. Furthermore, work-life balance significantly contributes to improving employees' intention to remain within the organization. Simultaneously, the three independent variables significantly explain variations in employee retention. These findings suggest that organizations should establish competitive compensation policies, improve employee welfare programs, and create a balanced work environment to enhance employee retention. This research contributes to the human resource management literature by providing empirical evidence regarding factors influencing employee retention in Indonesia's manufacturing sector.
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