The Influence of Compensation Fairness and Employee Recognition Programs on Employee Work Motivation at PT Kawai Kasei Indonesia in Karawang
DOI:
https://doi.org/10.61166/managing.v3i2.102Keywords:
Compensation Fairness, Employee Recognition Program, Work Motivation, Human Resource ManagementAbstract
Work motivation is a crucial factor that determines the productivity and success of the company. However, companies often face challenges in identifying the extent to which compensation fairness factors and employee recognition programs can effectively foster employee morale and contribution, particularly in the manufacturing industry environment. This study aims to find out and analyze the influence of compensation fairness and employee recognition programs on employee work motivation at PT Kawai Kasei Indonesia in Karawang, both partially and simultaneously. This study uses a quantitative approach. The analysis method used is multiple linear regression analysis to test the relationship between independent and dependent variables. The test was carried out through the t-test (partial) and the F-test (simultaneous) as well as the analysis of the determination coefficient. The results of this study show that compensation fairness has a positive but not partially significant influence on employee work motivation, employee recognition programs have a positive and significant effect on work motivation and simultaneously, these two variables have a significant effect on work motivation with a contribution of 37.1%, while the rest are influenced by other factors outside the study. The employee recognition program was found to be the most dominant variable influencing employee work motivation at PT Kawai Kasei Indonesia. To increase work motivation, PT Kawai Kasei Indonesia needs to maintain fairness in providing compensation and further strengthen the employee recognition program in a structured manner. Giving appreciation for employee achievements has proven to be the main driving factor in increasing work morale in the company
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