Human Resource is one of the most valuable assets for any organization and it is the source of achieving competitive advantage. Managing human resources is very challenging as compared to managing technology or capital and for its effective management, organization requires effective HRM system. The retention of human resources has been shown to be momentous to the development and the accomplishment of the organization’s goals and objectives. The main determinants for employee retention such as Job security, Incentives and compensation, Health, safety and welfare, Selection and Recruitment, Communication and information sharing, Training and Development have a great paradigm to retain the employees for longer period of time. In this paper, an attempt has been made to study the effect of Human resource management practices on Employee Retention of IT sector employees in Coimbatore district. Multiple Correlation and Multiple Regression are the tools used, for the purpose of analysis of collected data.