JOSR: Journal of Social Research
Desember 2022, 2 (1), 65-78
p-ISSN: 2827-9832 e-ISSN: 2828-335x
Available online at http:// https://ijsr.internationaljournallabs.com/index.php/ijsr
http://ijsr.internationaljournallabs.com/index.php/ijsr
THE EFFECT OF COMPENSATION AND WORKLOAD ON
EMPLOYEE PERFORMANCE AT PT. X PADANG CITY WITH JOB
SATISFACTION AS A MEDIATING VARIABLE
Nabila Hendrasti, Laura Syahrul, Rahmi Fahmy
Faculty of Economics and Business, Andalas University, Padang, Indonesia
nabilahendrasti2007@gmail.com, laurasyahrul@gmail.com, rahmifahmy@eb.unand.ac.id
Abstrak (Indonesia)
Received:
Revised :
Accepted:
November 27,
2022
November 29,
2022
Desember 02,
2022
Latar Belakang: Berdasarkan data produksi PT. X Kota
Padang diketahui bahwa mulai pada tahin 2020 terjadi
penurunan rata-rata jumlah produksi hingga tahun 2021 dan
diketahui juga dari tahun 2019 hingga tahun 2021 tidak ada
produksi yang mencapai target sehingga diketahui bahwa
karyawan mengalami penurunan kinerja.
Tujuan: Penelitian ini brtujuan untuk melihat pengaruh
kompensasi dan beban kerja terhadap kinerja karyawan di
PT.X Kota Padang dengan kepuasan kerja sebagai variabel
mediasi.
Metode: Penentuan sampel dalam penelitian ini dilakukan
dengan jenis Probability Sampling. Sampel dalam penelitian
ini adalah karyawan pabrik yang bekerja di PT.X Kota
Padang dengan jumlah karyawan sebanyak 100 karyawan.
Teknik analisis data yang digunakan adalah path analysis
dengan menggunakan software Smart PLS. Pengujian
hipotesis penelitian menggunakan uji T-statistik yang
didapatkan melalui proses bootstrapping. Hipotesis akan
diterima jika nilai T-statistik > 1,96 dan nilai signifikansi <
0,05.
Hasil: Hasil menunjukan bahwa kinerja karyawan
dipengaruhi oleh kompensasi, beban kerja, dan kepuasan
kerja. Kepuasan kerja memediasi pengaruh antara
kompensasi terhadap kinerja karyawan namun kepuasan
kerja tidak memediasi pengaruh antara beban kerja terhadap
kinerja karyawan.
Kesimpulan: PT. X belum memberikan kompensasi yang
sesuai dengan standar kinerja karyawan dan beban kerja
yang diberikan kepada karyawan dapat dikatakan berlebih
atau overload dengan target yang harus dicapai. Hal tersebut
membuat rasa tidak puas pada karyawan sehingga karyawan
menjadi lelah fisik, lelah psikis dan tidak bersemangat dalam
Nabila Hendrasti, Laura Syahrul, Rahmi Fahmy / JOSR: Journal of Social Research, 2 (1), 65-78
The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 66
bekerja yang berakibat terjadinya penurunan kinerja
produksi di PT X tersebut.
Kata kunci: kompensasi; beban kerja; kepuasan kerja;
kinerja karyawan
Abstract (English)
Background: Based on the production data of PT. X
Padang City is known that starting in 2020 there was a
decrease in the average number of Production until 2021
and it is also known that from 2019 to 2021 there was no
production that reached the target so it was known that
employees experienced a decrease in performance.
Objective: This study aims to see the effect of compensation
and workload on employee performance at PT. X Padang
City with job satisfaction as a mediating variable.
Method: The determination of samples in this study was
carried out by the type of Probability Sampling. The sample
in this study was factory employees who worked at PT. X
Padang City with 100 employees. The data analysis
technique used is path analysis using Smart PLS software.
Research hypothesis testing uses T-statistical tests obtained
through the bootstrapping process. The hypothesis will be
accepted if the T-statistical value > 1.96 and the
significance value < 0.05.
Results: Results show that employee performance is
affected by compensation, workload, and job satisfaction.
Work satisfaction mediates the effect of compensation on
employee performance job satisfaction does not mediate the
effect of of workload on employee performance.
Conclusion: PT. X has not provided compensation by
employee performance standards and the workload given to
employees can be said to be excessive or overloaded with
targets to be achieved. This makes employees dissatisfied
so that employees become physically tired, psychologically
tired, and not excited at work which results in a decrease in
performance production at PT X.
Keywords: compensation; workload; job satisfaction;
employee performance
*Correspondent Author: Nabila Hendrasti
Email: nabilahendrasti2007@gmail.com
Nabila Hendrasti, Laura Syahrul, Rahmi Fahmy / JOSR: Journal of Social Research, 2 (1), 65-78
The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 67
INTRODUCTION
In the increasing era of globalization today, business competition has become very
fast and strong, so companies are required to be able to build and prepare various
appropriate strategies to be able to compete with other companies (Ramenusa & Kedale,
2021). Dynamic resources can develop indefinitely, and without the support of well-trained
professional staff and companies with sophisticated equipment, it is difficult to achieve the
goal (Harahap, 2017). In terms of personnel, the quality of labor is also an important factor
in determining the success of an enterprise (Wenno, 2018).
Human beings as the main factor or source in each activity of the company is a
unique and different activity because in managing it there are so many factors that affect it
and are difficult to predict, the success of the company or organization in achieving
predetermined goals depends very much on the ability or expertise of HR in carrying out
their duties, human resources or employees are required to be able to complete tasks or
work by the targets and objectives of the company, the results or efforts made by employees
on the work performed are called employee performance (Anjani, et al 2021).
Performance is a result of the work that a person achieves in carrying out the tasks
charged to him that are based on proficiency, experience, and earnestness (Nurhasanah et
al., 2022). According to (Rosmaini & Cape, 2019) performance is the degree to which a
person has played for him in playing an organizational strategy, either in achieving specific
goals related to individual roles or by demonstrating competencies that are declared
relevant to the organization. Kinerja is a multi-dimensional concept that includes 3 aspects,
namely attitude, ability, and achievement. Employee performance is influenced by several
factors including job satisfaction (Aprinawati et al., 2021).
According to (Azhar et al., 2020) job satisfaction is a set of employees' feelings
about pleasing or unpleasant their jobs. According to (Hasibuan & Hasibuan, 2016) job
satisfaction is closely related to the compensation given to employees. Based on the
information of (Cahya et al., 2021) Mangkunegara, the compensation given to employees
greatly affects the level of satisfaction and work motivation, as well as the results of
employee work.
According to (Andora et al., 2021) compensation, it is a program of rewards to
employees as part of the company's profits. According to Husein (Anjani et al., 2021),
compensation is something that is received by employees in such forms as salaries or
wages, bonuses, premiums, treatment, insurance, and other a kind paid by the organization.
Compensation is a program of rewards to employees as part of the company's profits
(Kurniawan & Nawawi, 2020).
In addition to compensation, according to (Hidayati & Mulyana, n.d.) an important
factor in influencing job satisfaction is workload. A workload is a set or number of activities
that must be completed by an organizational unit or office holder within a certain period
(Neksen et al., 2021). (Sugiarti et al., 2021) Explaining workload is several responsibilities
both excessively and within normal limits that must be able to be completed personally or
in groups within a certain time limit. Precisely the provision of compensation and workload
to employees produces a positive impact on employees such as more job satisfaction which
will directly increase the level of employee performance (Kang & Kim, 2022).
Based on production data owned by PT. X in Padang City obtained information in
the form of overall organizational performance results from 2019 to 2021 which is
contained in the following table:
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The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 68
Table 1
Summary of Production Report of PT. X Padang City
The year 2019-2021
Year
Target
Achievements
2019
7.0
6.6
2020
7.0
5.5
2021
7.0
4.3
Source: PT. X Padang City
From the table above, it is known that starting in 2020 there was a decrease in the
average number of Production until 2021 and it is also known that from 2019 to 2021 no
production reached the target. In 2019, it is known that the company implemented a work
rotation program that aims to explore the ability and suitability of employees in every part
of work in PT. X Padang City so that it is known that employees have decreased
performance. However, based on the information of the employees from the interviews
conducted, this happened because they were not satisfied with the set rotation system, the
rotation system only explained how to work in different positions but not how the
achievements must be found, the rotation system provides a new workload that must be
faced by employees while working so that the time given is not enough to achieve the
targets given by the company. Besides, they don't understand how the compensation system
is set up in that position.
Therefore, compensation and workload affect employee job satisfaction which has
a direct impact on employee performance, this statement is supported by research that has
been done before by Kuswandi (NIDYAWATI, 2022)with the results of job satisfaction as
effectiveness or emotional response to various aspects of work meaning that job satisfaction
is not a single concept, on the contrary, a person can be relatively satisfied with an aspect
of his work and dissatisfied with one of the or some other aspect. In the study (Tampubolon,
2021), it is also known that problems from the work aspect result in a decrease in employee
job satisfaction which will have an impact on reducing employee performance in the
current research these aspects are compensation and workload and in the study
(Syardiansah, 2022) it was found that compensation and workload have a significant effect
on employee performance. Based on such findings, peleneliti further wants to clarify the
truth regarding compensation and workload that can affect employee performance through
job satisfaction.
RESEARCH METHOD
This research uses quantitative methods with a survey research design approach.
A survey research design is a quantitative research procedure carried out to obtain an
explanation of the attitudes, behaviors, and traits of the population obtained through the
sample population (Creswell, 2012).
This research focuses on one of the universities located in the city of Padang.
Sampling in this study was carried out using the Probability Sampling type. According to
(Sugiyono, 2017), Probability Sampling is a sampling technique that provides an equal
opportunity for each member of the population to be selected as a member of the sample.
The probability sampling method chosen is simple random sampling, because the retrieval
of sample members from the population is carried out randomly without regard to the strata
present in that population. The sampling technique was carried out by taking a 5% error
rate using Issac and Michael's table from a total population of 136 subjects. So the total
sample used as respondents for this study was 100 respondents from PT. The X.
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The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 69
The data analysis technique uses the Partial Least Square (PLS) approach, which
is a component-based Structural Equation Modeling (SEM) equation, model. The use of
PLS has several evaluations of structural models (inner models) and measurement models
(outer models). Evaluation of the measurement model, testing convergent validity,
discriminant validity, composite reliability, and Average Variance Extracted (AVE) is
carried out. In the evaluation of structural models, the R-squared test (R
2
) and the path
coefficient estimation test are carried out. The bootstrapping procedure generates a t-
statistical value for each relationship path used to test the hypothesis. Those t-statistical
values will be compared with the t-table values. Research using a 95% confidence level so
that the level of precision or inaccuracy limit (α) = 5% = 0.05, the value of the t-table value
is 1.96. If the t-statistical value is found to be smaller than the table t value (statistical t <
1.960), then H
o
is accepted and H
a
is rejected. If the value of statistical t is greater than or
equal to t of the table (of
statistics
> 1,960), then H
o
is rejected and H
a
is accepted (Ghozali &
Latan, 2015). The research hypothesis can be stated to be accepted if the value of P
Values
<
0.05. The hypothesis of this study is as follows:
H
1
: Compensation has a positive and significant effect on Employee Performance
H
2
: Workload negatively and significantly affects Employee Performance
H
3
: Compensation has a positive and significant effect on job satisfaction.
H
4
: Workload negatively and significantly affects the job satisfaction
H
5
: Job satisfaction has a positive and significant effect on employee performance
H
6
: Job satisfaction mediates the relationship between Compensation and Employee
Performance.
H
7
: Job satisfaction mediates the relationship between Workload and Employee
Performance
RESULT AND DISSCUSION
A. Research Results
Characteristics of Respondents
In this study, the authors distributed the questionnaire to 100 employees of PT X.
The questionnaire that was distributed could return 100% which all respondents filled out
completely and returned the questionnaire. So that the questionnaire can be processed 100
questionnaires.
Descriptive analysis shows that the majority of respondents are male, namely 97
respondents or 97% and the rest are female. So it can be concluded that the majority of
respondents are male. For age, the majority of respondents were aged 31 – 40 years which
amounted to 35 respondents or 35% of the total respondents. The majority of respondents
are married, namely 55 respondents or 55%. Judging from the level of education, the
majority of respondents with high school / equivalent education amounted to 68
respondents or 68% of the total respondents. Judging from the length of service, the
majority of respondents have a service period of 5-10 years, namely 57 respondents or 57%
of the total respondents. Judging from the division, the respondents were in the dryer
division as many as 44 respondents, or 44% of the total respondents. Judging from the
amount of monthly income, all respondents who have an income of Rp. 2,000,000 - Rp.
3,000,000 per month.
Convergent Validity and Discriminant Validity
Based on the validity of convergence, it can be seen from the correlation between
each indicator score and its construct score. The individual reflective measure is said to be
high if it correlates more than 0.70 with the construct to be measured (Ghozali, 2014).
Nabila Hendrasti, Laura Syahrul, Rahmi Fahmy / JOSR: Journal of Social Research, 2 (1), 65-78
The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 70
Table 2. Calculation Results of Outer Loading Indicators for Variable Compensation,
Workload, Job Satisfaction and Performance
BK
KK
KMP
KPK
BK-1
0,719
BK-2
0,869
BK-3
0,797
BK-4
0,817
BK-5
0,725
BK-6
0,764
BK-7
0,803
BK-8
0,738
BK-9
0,682
KK-1
0,872
KK-10
0,864
KK-2
0,820
KK-3
0,825
KK-4
0,817
KK-5
0,783
KK-6
0,792
KK-7
0,883
KK-8
0,781
KK-9
0,823
KMP-1
0,864
KMP-10
0,658
KMP-11
0,818
KMP-12
0,820
KMP-13
0,744
KMP-14
0,657
KMP-2
0,846
KMP-3
0,842
KMP-4
0,766
KMP-5
0,709
KMP-6
0,775
KMP-7
0,726
KMP-8
0,802
KPK-10
0,849
KPK-11
0,897
KPK-12
0,832
KPK-13
0,913
KPK-14
0,682
KPK-2
0,652
KPK-3
0,650
KPK-4
0,651
KPK-5
0,852
KPK-6
0,792
KPK-7
0,856
KPK-8
0,887
KPK-9
0,844
Source: SmartPLS 3.1 data processing results (2022)
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The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 71
Table 2 shows that the outer loadings value of each item of each variable is more
than 0.70 which means the instrument is valid. However, there are some invalid statements,
namely on the workload variables of invalid items, namely BK-10, BK-11 and BK-12. The
invalid item compensation variable is KMP-9. And on the variable job satisfaction, an
invalid item is KPK-1. This is because of the Convergent Validivalue ty < 0.70. So invalid
queries will be removed from the model. Based on the processed outer loading above, it
can be concluded that the construct from the study has a good convergent validity because
most of the outer loading values are more than 0.70.
Each variable will be declared reliable if the AVE value is greater than 0.50. An AVE
score of 0.5 or higher means that the construct can describe more than 50% of the variance
of the item (Sarstedt et al., 2017).
Table 3. Average Variance Extracted (AVE)
Average Variance Extracted (AVE)
BK
0,593
KK
0,683
KMP
0,599
KPK
0,644
Source: SmartPLS 3.1 data processing results (2022)
Based on the results from Table 3, the Average Variance Extracted (AVE) value
obtained from all variables, namely compensation, workload, job satisfaction, and
performance has an AVE value of > 0.5 which means that the latent construct or variable
can explain the average of more than half the variance of the indicators, so it can be said
that the model has been valid.
In addition to convergent validity, this study also used discriminant validity in
testing the validity of instruments. In this study, the results of the discriminant validity test
were good because the cross-loading value of all indicators in the research variable was
greater than the indicator loading value on other variables. These results show that all latent
variables have good discriminant validity. In addition to the AVE score, discriminant
validity is also supported by the AVE root value (fornel-Larcker criterion) as shown in
Table 4.
Table 4. Fornel-Larcker Criterion Results
BK
KK
KMP
KPK
BK
0,770
-
-
-
KK
0,669
0,826
-
-
KMP
0,620
0,701
0,774
-
KPK
0,720
0,707
0,790
0,803
Source: SmartPLS 3.1 data processing results (2022)
The reliability of the instruments in this study was determined from the reliability
of the composite. The rule of thumb of composite reliability values must be greater than
0.7 even though a value of 0.6 is acceptable (Hair et al., 2010). Based on the results of
testing the reliability of each variable in the study, shows that the reliability of the
composite value is greater than 0.70 so the indicators used in the research variables are said
to be reliable.
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The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 72
Results of Structural Model Analysis
In this study, structural models were used to estimate path coefficients that identified the
strength of the relationship between bound variables (employee performance) and free
variables (components and workloads) by using the bootstrapping function. Test the
significance between constructs in structural models using the value of the path coefficient
or the value of t for each path. The score of the inner path coefficient or model is indicated
by a statistical T- value that must be above 1.96. Testing of the structural model of this
study can be seen in Table 5 below.
Table 5. Path Coefficients (Mean, STDEV, T-Values)
Original
Sample
(O)
Sample
Mean (M)
Standard
Deviation
(STDEV)
T Statistics
(|O/STDEV|)
P
Values
KMP -
KK
0,318
0,310
0,125
2,555
0,011
BK - KK
-0,296
-0,283
0,111
2,669
0,008
KMP -
KPK
0,529
0,527
0,087
6,055
0,000
BK -
KPK
-0,399
-0,400
0,086
4,653
0,000
KPK -
KK
0,248
0,267
0,153
1,625
0,105
Source: SmartPLS 3.1 data processing results (2022)
Table 5 shows that the effect of each compensation variable on performance is
positive and significant. Workload variables on performance have a negative and
significant effect. The compensation variable has a positive and significant effect on job
satisfaction. Workload variables have a negative and significant effect on job satisfaction.
These variables are influential and significant because the T-statistical value of the variable
is greater than 1.96 and the P-Value is less than 0.05. The job satisfaction variable has no
significant effect on employee performance variables because the T-Statistics variable is
smaller than 1.96 and P Values are greater than 0.05. The results of structural model testing
that shows the overall statistical value of the hypothesis tested through the basic bootstrap
process can be seen in Figure 1 below.
Nabila Hendrasti, Laura Syahrul, Rahmi Fahmy / JOSR: Journal of Social Research, 2 (1), 65-78
The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 73
Figure 1. Structural Research Model
Test the Effects of Mediation
If the VAF value obtained is above 80%, then this indicates the role of the mediation
variable as full mediation. If the value obtained is 20% to 80% then it is said to be partial
mediation, but if the VAF value is less than 20% it can be concluded that there is almost
no mediation effect.
The VAF calculation formula is:
VAF =
Indirect Influence
Direct Influence + Indirect Influence
Because there are two free variables and two hypotheses that state the results of mediation,
the calculation of the VAF value will be carried out twice to determine the value of each
variable (compensation and workload variables).
1. The calculation of the VAF value of compensation (X
1
) can be described as follows:
VAF (X1) =
Indirect Influence
Direct Influence + Indirect Influence
VA (X1) =
0,131
0,451 + 0,131
VAF
(
X1
)
= 0,225%
VAF
(
X1
)
= 22,5%
2. The calculation of the VAF value of the workload (X
2
) can be described as follows:
VAF (X1) =
Indirect Influence
Direct Influence + Indirect Influence
VAF (X1) =
0,098
0,395 + 0,098
VAF
(
X1
)
= 0,198
VAF
(
X1
)
= 19,8%
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The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 74
Based on the calculation of the VAF value above, it can be concluded that job satisfaction
has a partial mediating effect between compensation on employee performance and a
mediation value of 22.5% > 20%. Furthermore, no effect of mediation for workload was
found on employee performance with a mediation value of 19.8% < 20%.
B. Discussion
The Effect of Compensation on Employee Performance
Based on the results of testing the first hypothesis, it is known that compensation
has a positive and significant effect on employee performance. Then H1 Supported. These
results indicate that increased compensation in the company will improve the performance
of employees in the company. This is in line with findings in the field that employees
assume that the salary and compensation they receive at the PT are not proportional to what
they provide to the company. Therefore, compensation must be an important daily for
companies to improve the performance of their employees, because one of the motivations
for employees to work for the company is the provision of compensation that is what the
company expects.
This result is in line with the results of research obtained by Syardiansah & Rahman
(2022) which found that compensation has a positive and significant effect on employee
performance. In addition, research conducted by Arman et al. (2022) also shows that
compensation has a positive and significant effect on employee performance, which means
that the better the compensation, the better the employee's performance will also be.
The Effect of Workload on Employee Performance
Based on the results of testing the second hypothesis, it is known that workload
negatively affects and significantly affects employee performance. Then H
2
Supported.
These results indicate that the higher the workload, the lower the employee's performance
will be. Based on interviews, employees feel that the intensity of the workload given to
employees is very heavy, especially in work conditions that require high attention. This is
solely to meet the targets set by the company. In addition, employees are required to make
the most of their time, and even employees use their time off to work. High work balance
will reduce the performance of employees because an excessive workload will result in an
unfavorable impact, which will cause fatigue both physical and mental, and emotional
reactions from employees to reduce employee work productivity.
This result is in line with the results found by Syardiansah & Rahman, (2022)
which shows that workload has a negative and significant effect on employee performance.
In addition, research was also conducted by (Nurhasanah et al., 2022) and (Rolos et al.,
2018) which also found that workload had a negative and significant effect on employee
performance.
Effect of Compensation on Job Satisfaction
Based on the results of the third hypothesis testing, it is known that compensation
has a positive and significant effect on job satisfaction. Then H
3
Supported. These results
indicate that compensation is one of the factors that cause employees to increase employee
job satisfaction at PT. X. The higher the compensation, the more job satisfaction will
increase. The provision of compensation will motivate employees to work harder because
they are satisfied with the dozens of services received in the form of compensation from
the company. The support provided by the company is in the form of compensation by
employee expectations that will increase employee morale.
This result is in line with the results of research by Rahmawati & Kurnia (2017)
which found that compensation has a positive and significant effect on job satisfaction.
Similar results were also found by Rasyid & Tanjung (2020) in their research which found
that there was a positive and significant influence between compensation on job
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The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 75
satisfaction. If compensation is given to the expectations of employees, it will create job
satisfaction for employees.
The Effect of Workload on Job Satisfaction
Based on the results of the fourth hypothesis testing, it is known that workload has
a negative and significant effect on job satisfaction. Then H
4
Supported. These results
indicate that workload is a factor that affects the low job satisfaction of PT. X. A heavy
workload will take up a lot of time because employees have to do many tasks that must be
done at the same time, which makes employees feel uncomfortable, in the implementation
of each task, which can reduce morale and directly impact performance.
This result is in line with the results of Hidayati & Mulyana (2021) research which shows
the results that workloads with job satisfaction have a significant relationship and the
direction of negative (opposite) relationships, which means that the lower the perception
score of Workload, the higher job satisfaction in employees.
The Effect of Job Satisfaction on Employee Performance
Based on the results of the fifth hypothesis testing, it is known that job satisfaction
does not have a significant effect on employee performance. Then H
5
Not Supported. These
results indicate that job satisfaction is not a factor that determines the high and low
performance of employees. This is not in line with the results of research obtained by
Berlina et al., (2019) which states that job satisfaction has a significant effect on employee
performance.
Job satisfaction with employee performance is not significant because employee
performance at PT X is solely to comply with regulations. Employees provide maximum
results so that their work records are not bad grades by the company. Violations regarding
poor work results can be subject to warning letters to dismissal, and violations committed
by employees are targets set by the company that is not conveyed properly. This is what
makes employees triggered to do their duties on time and meet targets in terms of quantity
and quality regardless of whether they are satisfied or not with their work.
The Effect of Compensation on Employee Performance Through Job Satisfaction
Based on the results of testing the sixth hypothesis, it is known that job satisfaction
mediates compensation for employee performance. So H
6
Supported These results indicate
that the job satisfaction of employees that they expect from the compensation provided by
the company, can improve their performance. Increased compensation will increase
employee job satisfaction, and with increased job satisfaction, employee performance will
also increase. This means that the fairer, more decent, and reasonable compensation was
given, the better the employee's performance because employees can produce good work
quality, can do tasks according to the specified time, and can carry out tasks carefully and
responsibly mediated by employee job satisfaction consisting of employees who have the
spirit of developing abilities, the spirit of working independently.
These results are in line with the results of Cahyani's research, (2017), which found
that the variable job satisfaction was able to mediate the effect of compensation on
employee performance. In line with that, the results of the study are also supported by
research conducted by Novel & Marchyta, (2021), where it was found that the variable job
satisfaction was able to mediate compensation for employee performance.
The Effect of Workload on Employee Performance Through Job Satisfaction
Based on the results of testing the seventh hypothesis, it is known that job
satisfaction does not mediate workload against employee performance. Then H
7
Not
Supported. These results indicate that employees do not feel job satisfaction due to the high
workload, thereby reducing employee performance. High workload derived from the
number of tasks that must be completed immediately and long working hours will have a
Nabila Hendrasti, Laura Syahrul, Rahmi Fahmy / JOSR: Journal of Social Research, 2 (1), 65-78
The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 76
direct effect on making employees tired, resulting in employee discomfort which makes
employees stressed and has an impact on reducing employee job satisfaction. These results
are not in line with the results of the research found by Nurhasanah et al., (2022), finding
that job satisfaction can mediate the relationship between workload and employee
performance.
CONCLUSION
The results of this study are expected to be useful for PT X in providing
compensation by the workload given to employees to support employee satisfaction and
performance improvement at PT. Based on the study, the researchers concluded that:
1. There is a positive and significant effect between compensation on employee
performance in PT employees. X. The higher the compensation was given to
employees, the more it will improve the performance of employees in the PT, and vice
versa.
2. There is a negative and significant influence between workload on employee
performance in PT. X. The higher the workload given to employees, the more it will
reduce the performance of employees in the PT, and vice versa.
3. There is a positive and significant effect between compensation on job satisfaction in
PT. X. The higher the compensation given to employees, the higher the job satisfaction
felt by employees, and vice versa.
4. There is a negative and significant influence between workload on job satisfaction in
PT. X. The lower the workload is given to employees, the more employee satisfaction
at the PT, and vice versa.
5. There is no significant effect between job satisfaction on employee performance in PT.
X. Job satisfaction is not one of the factors that directly affect the poor or good
performance of employees at PT X.
6. Job satisfaction mediates the effect of compensation on employee performance on PT.
X. The higher the compensation received by employees, the more it will increase the
sense of employee satisfaction to work at the PT which will increase employee
enthusiasm and performance.
7. Job satisfaction does not mediate the effect of workload on employee performance on
PT. X. High workload can reduce employee performance so it will also reduce the
level of employee satisfaction at work. The low job satisfaction experienced by
employees does not affect employee performance so job satisfaction is not able to
mediate the relationship between workload and employee performance at PT X.
Based on the above, this study can put forward some suggestions that companies
hope can pay more attention to compensation by the workload given to employees based
on time pressure and targets that must be achieved by employees in work. This will have
an impact on improving employee performance because their satisfaction level will also
increase. Companies also need to pay attention not to provide excessive or high-intensity
workloads to employees to maintain the physical and mental health of employees at work
which can reduce employee satisfaction and performance. Controlling employee workload
will make employees feel more comfortable and less stressed at work and provide targets
with time and procedures that are by job standards.
Thus, this study suggests future research in order to add other variables in the
development of the research. It is hoped that the results of this study can be used to provide
optimal benefits for the next research object, this research can also be used as a comparison
material in the next study and should take research data on a wider research object.
Nabila Hendrasti, Laura Syahrul, Rahmi Fahmy / JOSR: Journal of Social Research, 2 (1), 65-78
The Effect of Compensation and Workload on Employee Performance at PT. X
Padang City with Job Satisfaction as a Mediating Variable 77
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