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This study examines the relationship between HR practices and millennial employee retention in the tourism industry in Bangladesh. It investigates the moderating role of the work environment in the relationship between HR practices and employee retention in the industry.

The researchers used non-probability judgemental sampling to collect 384 questionnaires through a survey of millennial employees. Partial least square-based structural equation model (PLS-SEM) was used to analyse the data.

The results reveal that HR practices included in this paper have significant relationships with millennial employee retention in the tourism industry in Bangladesh, except employee participation in decision-making. In addition, the results show that the work environment only moderates the relationship between two HR practices (compensation, training and development) and millennial employee retention.

The results suggest that managers in tourism organisations must develop HR practices and foster a positive work environment to retain millennials.

This is the only study that examines the moderating role of the work environment on the relationship between five selected HR practices (training and development, job security, performance appraisal, employee participation, compensation) and millennial employee retention. Previous studies used fewer HR variables.