Human Resource Management (HRM) strategically improves organizational performance by creating a healthy and productive work environment. In the modern workplace, Generation Z is the dominant group with unique characteristics that demand a dynamic and innovative work environment. However, the high turnover intention among Generation Z, as occurred at PT XYZ, reflects dissatisfaction with the leadership style and compensation received, so a more adaptive HRM strategy is needed to increase employee retention. This study aims to analyze the effect of transformational leadership style and financial compensation on turnover intention among Generation Z at PT XYZ, both partially and simultaneously. This study uses a quantitative approach. Through the census method, 147 Generation Z employees with permanent employee status and a minimum work period of one year became respondents in this study. Data processing was carried out using Structural Equation Modeling Partial Least Squares (SEM PLS) analysis using SmartPLS version 4. The results showed that the transformational leadership style at PT XYZ had a significant effect on turnover intention, while financial compensation did not have a significant effect. However, simultaneously, both variables had a significant effect on turnover intention. The implications of the results of this study are expected to improve transformational leadership through regular training and evaluation, as well as designing a holistic compensation system, including financial and non-financial incentives, to increase the retention of Generation Z employees in the organization.