The purpose of this study is to examine the cause and effect relationship between the attributes of the Learning Management system in the organization on employees’ retention in BPO companies in Chennai city. The questionnaire was used to collect the primary data from the samples 450 employees working in BPO companies from Chennai city using convenience sampling method. The data collected through the questionnaire was analyzed through structural equation modeling approach. The results of the study proved that the attributes of LMS is having significant effect on retention of employees in BPO companies in Chennai city.