In the competitive retail landscape of Tier-2 cities like Hubli, employee stability has emerged as a key concern. Despite the Indian retail sector’s projected 9% growth and its significant contribution to GDP and employment, organized supermarkets face challenges such as high attrition and inconsistent engagement. This study explores how employee engagement and retention strategies impact workforce stability in Hubli's supermarkets. A mixed-method approach—comprising exploratory interviews and a descriptive survey of 111 employees—was used. Statistical tools like regression, MANOVA, ANOVA, and Chi-square tests revealed that while supervisor feedback and salary alone didn’t significantly influence retention, factors like job role and work-life balance strongly affected satisfaction and engagement. The findings highlight the need for a holistic, employee-centric HR approach emphasizing psychological safety, recognition, and career development. These insights are valuable for HR professionals and retail managers aiming to build a stable and motivated workforce in India’s semi-urban markets