S. Martono, Moh. Khoiruddin, Nury Ariani Wulansari
Reward management system has been an important point of attention in any organization as a defining factor of employee’s high welfare and performance. This research studies the influence of remuneration reward system on employee performance through motivation and job satisfaction as the mediation variable. The data in this research was taken from Universitas Negeri Semarang’s permanent employees amounting to 403 employees. SEM tests are proposed in order to examine the influence of remuneration reward system, motivation, and job satisfaction either directly or indirectly on performance. The mediating roles of motivation and job satisfaction are measured to be an indirect relation intermediary. The results show that remuneration and job satisfaction have a positive influence on performance. Furthermore, motivation and job satisfaction are found to be significantly positively influenced by remuneration. However, the direct effect of motivation on performance is not supported. Motivation can improve employee performance, by becoming the mediation variable of remuneration reward system. This study shows that motivation and satisfaction are the variables that can mediate the relationship between remuneration and employee performance. © 2018, Universiti Malaysia Sarawak. All rights reserved.
Universitas Negeri Semarang, Indonesia
