The Influence of Compensation on Employee Performance at PT. Mitra Ekasari Jaya Putri Sumedang

Abstract

Abstract. This research was conducted at PT. Mitra Ekasari Jaya Putri Sumedang to evaluate
employee performance which was thought to be influenced by compensation. The purpose of this
research is to understand compensation conditions, employee performance, and the influence of
compensation on employee performance in the company. The method applied was a survey with
quantitative analysis using a Likert scale and involving 35 respondents as a sample. The results of
the analysis using SPSS 26 show a coefficient of determination (R-squared) of 0.435, which means
that compensation influences employee performance by 43.5%, while 56.5% is influenced by other
factors not studied. Simple linear regression analysis produces a model: employee performance =
34,096 + compensation 0.477. The t test shows the calculated t value of 5.038, which is greater than
the t table of 2.030, with a significance value (Sig) of 0.000 which is smaller than 0.05. Apart from
that, the correlation coefficient shows a calculated r value of 0.659, exceeding the table r value of 0.334,
with a significance (2-tailed) of 0.000 which is also smaller than 0.050. Based on these results, it can be
concluded that compensation has a positive influence on employee performance at PT Mitra Ekasari Jaya Putri
Sumedang