The success of hospitality organizations is not centred on wealth or technology, but mostimportantly, on its human capital. The skills, knowledge, and capabilities of employees in anorganization determine its success. Motivated employees lead to enhanced productivity,efficiency, and competitiveness. Employees are regularly required to work long hours in thehospitality industry. Therefore, making sure employees are motivated is critical. However,retaining experienced employees is a significant challenge confronted by hospitalityorganizations. So, to retain these skilled employees, they must be motivated, meaning it isessential for hospitality organizations to identify factors that keep employees motivated. Thisstudy examined the perception of non-managerial employees on the influence of motivationalfactors related to employee retention in lunch restaurants in Stockholm. After academicliterature on motivation, retention, and the importance of researching non-managerialemployees was studied, a quantitative survey questionnaire was adopted for data collection.The questionnaire was tested on Cronbach's alpha to ascertain the reliability and validity ofthe items in the survey. Findings of this research showed a positive correlation betweenmotivational factors and employee retention in lunch restaurants in Stockholm which werestatistically tested at p< 0.05. Also, findings showed that the most important motivationalfactors for employee's retention were 'job security, 'training & development, 'equity &fairness at work', and 'attractive salary'.Overall, the results demonstrated that employees are satisfied with the motivational factorsidentified in the survey, indicating that these factors can influence their decision to continueworking in an organization. This thesis recommends that hospitality organizations ensureappropriate motivation regarding financial and non-financial incentives to employees becausefindings indicated that lunch restaurant employees should be continually motivated to reducethe high rate of turnover. Contributions of this thesis will help hospitality managersunderstand how to keep employees motivated in the industry and the factors employeesidentified as crucial that can influence their retention as work.