I assume that Lambda expression you mean the Linq operator (for example, EF or Linq2Sql).
The FOR XML PATH and STUFF example shown is a hack to fix the lack of GROUP_CONCAT or LISTAGG on the Sql server .
You do not need to play the hack in LINQ at all - just load all the lines for the set of employees of interest into memory, GroupBy desired key, and then use String.Join in the selected projection
var result = db.EmployeeItems
Where employeeItems is the projection of the connection between Employee and Items :
var employeeItems = new [] { new EmployeeItem{EmployeeId = 1, EmployeeName = "Ganesh", ItemName = "Keyboard"}, new EmployeeItem{EmployeeId = 1, EmployeeName = "Ganesh", ItemName = "Mouse"}, new EmployeeItem{EmployeeId = 2, EmployeeName = "John", ItemName = "Keyboard"} };
Result:
1 Ganesh Keyboard,Mouse 2 John Keyboard
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