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This study aims to analyze the effect of digital fatigue on employee retention with financial rewards as a mediating variable. This study used a quantitative approach with the Structural Equation Modeling-Partial Least Squares (SEM-PLS) method. Data were collected through questionnaires distributed to 100 Generation Z employees in Brebes Regency, using a purposive sampling technique. The results showed that digital fatigue had a negative and significant effect on employee retention. In addition, digital fatigue had a negative and insignificant effect on financial rewards. Meanwhile, financial rewards had a positive and significant effect on employee retention. However, financial rewards were not proven to mediate the effect of digital fatigue on employee retention. This study concluded that the impact of digital fatigue on employee retention occurs directly without going through a financial reward mechanism, so companies need to pay attention to the impact of digital technology use on employee psychological conditions by implementing policies to reduce digital fatigue. In addition, an adequate financial reward system is still needed to increase employee motivation and loyalty to the organization.