The Influence of the Remuneration System on Employee Performance Through Employee Commitment and Work Motivation at Pertamina Hospital Balikpapan
Abstract
The focus of this examination is directed toward labor force dynamics within health service environments demanding high professionalism. Within the context of Pertamina Balikpapan Hospital, primary attention is directed toward the interconnection between compensation system and work drive, institutional attachment, plus individual performance. Number-based approach is utilized by relying on surveys toward employees who have resided within said compensation system during certain periods. Instruments were arranged utilizing Likert scale 1– 5 to capture respondent perceptions related to various aspects investigated. Data processing was conducted with Structural Equation Modeling approach through SmartPLS assistance, which enables simultaneous inter-construct relationship mapping. Within this design, compensation is placed as the starting point triggering transformation on psychological and performative aspects, with two intermediate variables explaining its interconnection pathways. Data processing acquisition reveals consistent interconnection patterns between variables examined. Compensation system possesses unidirectional relation with work drive plus organizational attachment. Both aspects likewise demonstrate interconnection with individual performance. Beyond indirect pathways, direct relation between compensation and performance is likewise visible. Intermediate variable role appears to strengthen said relation, such that it reveals layered mechanism existence in explaining work performance transformation.
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DOI: http://dx.doi.org/10.30659/jrbi.v23i2.52883
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