As competition intensifies, organizations must adapt to workforce shifts, notably the growing presence of Generation Z—individuals born during rapid technological advancement. This study concerns the influence of work-life balance and compensation on employee engagement among Generation Z in Jakarta. Despite being technologically adept, professionally driven, and career-oriented, Gen Z employees often display lower engagement levels compared to previous generations, raising concerns about organizational commitment. This study employed a quantitative approach, data were collected from 170 Gen Z employees in Jakarta using purposive sampling and analyzed with Structural Equation Modeling via SmartPLS 4.0. Results indicate that both work-life balance and compensation significantly and positively affect employee engagement. These findings underscore the importance of supportive work-life policies and equitable compensation to foster engagement among Gen Z employees.