ABSTRACT
Anita Maharani, 215,021,005. Effect of Compensation on Employee Performance (Case Study at PT. Indomas Trading). Management Department (supervised by Mr. Darmin Dafid and Mrs. Dani Ratna Damayanti).
The problem in this research is how the effect of compensation on employee performance at PT. Indomas Trading The purpose of this research is to find out how much influence the compensation that occurs at PT. Indomas Trading. The population of this study were employees of PT. Indomas Trading, amounting to 45 people. Then the sample to be studied uses a non-probability sample technique, namely using a saturated sample, meaning that the number of population samples is used as a sample. The data in this study were conducted using a quantitative research
instrument in the form of Expost Facto, which is a study that looks for causality between variables, meaning that this study determines the cause and effect between the compensation variables on employee performance.
The results obtained are the regression analysis output in the coefficient table above, the value of Contstant / intercept (a) is obtained 96.190, the value of the slope /regression coefficient (b) is 0.409 with a value of Sig. 0.05, thus the regression equation can be written Y = a + bX = 96.190 – 0.409 X, it can be interpreted that if the score for the compensation variable is considered 0 or not there, then the productivity variable value is
only equal to the value of 96.190, then if the score of the compensation variable increases by one point, the value of the performance variable will decrease by – 0.409 (decreasing 0.409 or 40.9%). Then he hipothesis is obtained = 0.05, which means that the compensation variable has an effect on employee performance with the amount of influence determined using path analysis (Path Analysis) of -0.294, because the magnitude of the influence is smaller than the standard error of 0.203, so the effect is negative. Then the ability of the compensation variable in explaining the
variance of the compensation variable is 8.6%, while the remaining 91.4% is caused by other factors.
Keywords: Compensation, Employee Performance, Job Evaluation
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