The Influence of Compensation and Work Motivation on Employee Performance at PT. Kembar Cipta Raya, East Luwu

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Aditya Harlan
Ahmad
Muchriadi Muchran

Abstract

This study aims to determine the effect of compensation and work motivation on employee performance at PT. Kembar Cipta Raya, East Luwu. Data collection techniques were conducted through observation, documentation, and the distribution of questionnaires to employees using a Likert scale. The data were analyzed using descriptive statistical analysis and inferential statistical analysis through multiple linear regression with the assistance of SPSS version 25. This research employed a quantitative approach. The population consisted of all employees of PT. Kembar Cipta Raya, with a total of 78 respondents. Data analysis was conducted to examine the influence of compensation and work motivation on employee performance. The results indicate that compensation and work motivation have a positive and significant effect on employee performance. The compensation variable shows a calculated t-value of 3.274, which is greater than the t-table value of 1.665, with a significance value of 0.002 (< 0.05). Meanwhile, the work motivation variable shows a calculated t-value of 5.271, which is greater than the t-table value of 1.665, with a significance value of 0.000 (< 0.05). The Adjusted R Square value of 0.884 indicates that compensation and work motivation explain 88% of the variance in employee performance. This finding suggests that better compensation and higher work motivation lead to improved employee performance at PT. Kembar Cipta Raya.

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