International Journal of Research and Innovation in Social Science (IJRISS) | Volume V, Issue VI, June 2021 | ISSN 2454–6186

The Effect of Reward System on Employee Job Satisfaction with Work Motivation as Intervening Variables

Rapat Piter Sony Hutahuruk , Haya Haratika
Bina Karya College of Economics, Indonesia

Abstract: The effect Of Reward System on Employee Job Satisfaction With Work Motivation as Intervening Variable. The objectives of this study are: 1). This is to find out how the reward system affects the employee performance of the Procurement of Goods / Services at the Serdang Bedagai Regency Government. 2). To find out how the influence of work motivation on employee performance in the procurement of goods / services at the government of Serdang Bedagai district. 3). This is to find out how the reward system affects the performance of employees in the procurement of goods / services at the Serdang Bedagai Regency Government with work motivation as an intervening variable. This research was conducted in January 2020 at the Office of the Procurement of Goods / Services of the Government of Serdang Bedagai Regency. The results of this study indicate. (1) It can be seen that the magnitude of the adjusted R square value is 0.146 or 14.6%. This shows that if the reward system (X) can explain work motivation (Z) by 14.6%, the remaining 85.4% (100% – 14.6%) is explained by other variables outside of this research model. (2) The results of the t test (partial) show that tcount (1.628) <ttable (2.034) is obtained, as well as the significance value of 0.113> 0.05, It can be concluded that the first hypothesis is rejected, meaning that the reward system variable (X) has no significant on work motivation (Z). (3) The results of the t test (partial) show that the value of t (5.737)> t table (2.034), and the significance value of 0.00 <0.05, it can be concluded that the second hypothesis is accepted, meaning that the reward system (X) has a significant effect on job satisfaction (Y). (4) The results of the path analysis test show that the direct effect of variable X on variable Y is 0.722. Meanwhile, the indirect effect through variable Z is 0.273 x 0.023 = 0.0627. From the calculation results obtained, it shows that the indirect effect through variable Z is smaller than the direct effect on variable Y.

Keywords: Reward System, Work Motivation And Employee Job Satisfication

I. INTRODUCTION

Human resources are an important part in achieving organizational goals, whether large or small companies, a company has modern equipment with high technology. Human resources are one of the main driving forces for every company operation, so that efforts in developing human resources are the main strategy for upholding global competition.