The Effect of Compensation and Emotional Intelligence on Employee Performance with Job Satisfaction as an Intervening Variable
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Published:
Feb 28, 2023
Keywords:
Compensation, Emotional intelligence, Job Satisfaction, Employee Performance
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Articles
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Abstract
This study aims to analyze the effect of Compensation and Emotional Intelligence on Employee Performance with Job Satisfaction as an intervening varible for employees of the Tangerang Manufacturing Industry.The Research methodology is through a questionnaire survey to collect data to test the research hypothesis. The type of research used is quantitative with Structural Equation Modeling (SEM) approach using Analysis of Structural Moments (AMOS). The sample used in this study was 150 employees of a Manufacturing Industry Company in Tangerang. The results of the study have five hypotheses and all of them are supported, which states that there is an effect of Job Satisfaction as an intervening variable between Compensation and Emotional Intelligence on Employee Performance. Managerial implications in this study, it is hoped that related companies can pay more attention to the long term impact regarding emotional intelligence this is done so that there is no miss communication between employees so that employees can provide good employee performance. manufacturing industry companies need to reevaluate the suitability between compensation and the workload given, especially on overtime wages in order to have a positive impact in increasing employee performance. manufacturing industry companies need to pay more attention to employee job satisfaction that increase worker productivity, can be done by providing work motivation to employees for example providing rewards so that employees feel appreciated, this can affect employee performance.
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How to Cite
Rizqiyyah, & Andreas Wahyu Gunawan P. (2023). The Effect of Compensation and Emotional Intelligence on Employee Performance with Job Satisfaction as an Intervening Variable. ProBisnis : Jurnal Manajemen, 14(1), 53–62. https://doi.org/10.62398/probis.v14i1.54
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Rai, A & Maheswari, S. (2021), Exploring the mediating role of work engagement between the linkages of job characteristics with organizational engagement and job satisfaction, management research review, Vol. 44 No. 1, pp. 133- 157
Rojikinnor, Gani, A. J. A., Saleh, C., & Amin, F. (2022). The Role of Compensation As a Determinant of Performance and Employee Work Satisfaction: A Study at The PT Bank Rakyat Indonesia (Persero) Tbk. Journal of Economic and Administrative Sciences. https://doi.org/10.1108/jeas-06-2020-0103
Sekaran, U., & Bougie, R. (2016). Research methods for business: A skill building approach. john wiley & sons.
Silva, P., Mota, J., & Moreira, A.C. 2022. Budget Participation And Employee Performance In Real Estate Companies: The Mediating Role Of Budget Goal Commitment, Trust And Job Satisfaction. Baltic Journal Of Management. https://www.emerald.com/insight/1746-5265.htm
Tung Thanh, D. (2018). How spirituality, climate, and compensation affect job performance. Social Responsibility Journal.
Werther, William B, dan Keith Davis. (2017). Human Resources and Personnel Management. Sixth, Mc. Graw-Hill, Inc, New York.
Winton, B. G. (2022). Emotional intelligence congruence: the influence of leader and follower emotional abilities on job satisfaction. Leadership and Organization Development Journal, 43(5),788–801. https://doi.org/10.1108/LODJ-04-2021-0163
Alotaibi, S.M., Amin, M. & Winterton, J. (2020), Does emotional ntelligence and empowering leadershipa affect psychological empowerment and work angegemnet?. leadership & organization development journal, Vol. 41 No. 8, pp. 971-991
Alown, B. E., Mohamad, M.,& Karim, F. (2020). Effect of Job Satisfaction on Job Performance, With Quality of Work Life As Moderating Among Jordanian Hotels: a Pilot Study. Journal of Tourism, Hospitality and Environment Management, 5(18), 52–66. https://doi.org/10.35631/jthem.518005
Alwali, J., & Alwali, W. (2022). The relationship between emotional intelligence, transformational leadership, and performance: a test of the mediating role of job satisfaction. Leadership and Organization Development Journal, 43(6), 928–952. https://doi.org/10.1108/LODJ-10-2021-0486
Azhar, M. E., Nurdin, D. U., Siswadi, Y. (2020). Pengaruh Disiplin Kerja dan Compensation Terhadap Job satisfaction Karyawan Pengaruh Disiplin Kerja dan Compensation Terhadap Job satisfaction Karyawan PT Mitra Abadi Setiacargo - Medan. Jurnal Humaniora, 4(1), 46–60.
Catherine, A. V., & Fonceca, C. M. (2022). Employees’ stress and its impact on their performance. ACADEMICIA: An International Multidisciplinary Research Journal, 12(5), 1259–1264. https://doi.org/10.5958/2249-
7137.2022.00604.8
Darmadi, H. (2017). Pengembangan Model dan Metode Pembelajaran dalam Dinamika Belajar Siswa. Yogyakarta: Deepublish.
Dhoopar, A., Sihag, P., Kumar, A., & Suhag, A. K. 2021. International Journal Of Organization Analysis. Vol. 30 No. 1, pp. 130-155.
Fikri, K., Apriansyah, R., & Putra, M. A. 2018. Pengaruh Kompensasi Terhadap Kinerja Karyawan Yang Dimediasi Oleh Kepuasan Kerja. Jurnal Manajemen Dan Bisnis. Vol. 7, No. 01.
Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European business review, 31(1), 2- 24.
Hair, J. F., Black, W. C., BABIN, B. J., & Andersen, R E. (2010). Multivariate data analysis: A Global Perspective (7th Edition). New Jersey: Pearson Education, Inc.
Hendri, M. I. (2019). The mediation effect of job satisfaction and organizational commitment on the organizational learning effect of the employee performance. International Journal of Productivity and Performance Management Vol. 68 No. 7, pp. 1208-1234.
Hinaya dan Suryati. (2019). Pengaruh Kompensasi Finansial dan Nonfinansial Terhadap Kinerja Karyawan Pada Kantor Badan Penanggulangan Bencana Daerah (BPBD) Kota Palopo. Jurnal Mirai Management 4. no. 1.
Indarti, S., Solimun, Fernandes, A. A. R., & Hakim, W. (2017). The effect of OCB in relationship between personality, organizational commitment and job satisfaction on performance. Journal of Management Development, 36(10), 1283–1293. https://doi.org/10.1108/JMD-11-2016-0250
Iskandar A. (2017). Teknik Analisis Validitas Konstruk dan Reliabilitas Instrument Test dan Non Test Dengan Software LISREL. https://doi.org/10.31227/osf.io/nbhxq
Islam, Md. Mobarak Karim, Serajul Islam, Md. Shariful Haque and Tania Sultana (2022). Exploring the effect of job satisfaction, employee empowerment, and emotional intelligence on bank employee performance: A study on commercial banks in Bangladesh. Banks and Bank Systems, 17(3), 158-166. doi:10.21511/bbs.17(3).2022.13
Liao, S., Hu, D.,& Huang, Y. (2022). Employee emotional intelligence, organizational citizen behavior and job performance: a moderated mediation model investigation. Employee Relations, 44(5), 1109–1126. https://doi.org/10.1108/ER-11-2020-0506
Mandala, E. A., & Dihan, F. N. (2018). Spiritual pada Kepuasan Kerja yang Berdampak terhadap Kinerja Karyawan PT. Madu Baru Bantul Yogyakarta. JURNAL Kajian Bisn 26(1), 13–28. http://openjournal.unpam.ac.id/index.php/smk/article/view/2260.
Mondy R W, Martocchio J J. 2016. Human Resource Management. Fourteenth Edition. United states of America: Pearson.
Nitisemito. (2019). Manajemen Personalia Manajemen Sumber. Daya Manusia, Edisi Kelima, Cetakan Keempat Belas, Ghalia.
Nurjaya, N. (2021). Pengaruh Disiplin Kerja, Lingkungan Kerja dan Motivasi Kerja Terhadap Kinerja Karyawan Pada PT. Hazara Cipta Pesona. Jurnal Ilmiah Nasional, III(1), 60-74.
Pandey, J. (2019). Factors affecting job performance: an integrative review of literature. Management Research Review, 42(2), 263–289. https://doi.org/10.1108/MRR-02-2018-0051
Putri, Nur Wahdania. (2018). Pengaruh Kepuasan Kerja Dan Loyalitas Kerja Terhadap Kinerja Karyawan Di Pt. Malindo Intitama Raya. Ejournal.itn. Vol. 1 No. 1 : 219-223.
Rai, A & Maheswari, S. (2021), Exploring the mediating role of work engagement between the linkages of job characteristics with organizational engagement and job satisfaction, management research review, Vol. 44 No. 1, pp. 133- 157
Rojikinnor, Gani, A. J. A., Saleh, C., & Amin, F. (2022). The Role of Compensation As a Determinant of Performance and Employee Work Satisfaction: A Study at The PT Bank Rakyat Indonesia (Persero) Tbk. Journal of Economic and Administrative Sciences. https://doi.org/10.1108/jeas-06-2020-0103
Sekaran, U., & Bougie, R. (2016). Research methods for business: A skill building approach. john wiley & sons.
Silva, P., Mota, J., & Moreira, A.C. 2022. Budget Participation And Employee Performance In Real Estate Companies: The Mediating Role Of Budget Goal Commitment, Trust And Job Satisfaction. Baltic Journal Of Management. https://www.emerald.com/insight/1746-5265.htm
Tung Thanh, D. (2018). How spirituality, climate, and compensation affect job performance. Social Responsibility Journal.
Werther, William B, dan Keith Davis. (2017). Human Resources and Personnel Management. Sixth, Mc. Graw-Hill, Inc, New York.
Winton, B. G. (2022). Emotional intelligence congruence: the influence of leader and follower emotional abilities on job satisfaction. Leadership and Organization Development Journal, 43(5),788–801. https://doi.org/10.1108/LODJ-04-2021-0163