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https://doi.org/10.46609/ijsser.2023.v08i01.006
Copy DOIPublication Date: Jan 1, 2023 |
The aim of the study was to analyze the effect of incentives and compensation on employee performance of the education agency of Nagan Raya District. Work motivation is used as a mediating variable in the functional relationship between these variables. The research was conducted on all employees of the agency of 50 persons. Data collection used a questionnaire and then the data was analyzed using statistical tools for structural equation modeling (SEM) which was then operationalized through the Smart-PLS software. The research study pointed out that incentives and compensation have a positive and significant effect on employee performance. Likewise, work motivation also significantly improves employee performance. The existence of work motivation as an intermediary variable mediates the effect of incentives and compensation on employee performance. The mediation effect is full mediation.
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