The Effect Of Compensation, Safety And Occupational Health On Employee Performance At PT Bhanda Ghara Reksa Medan Branch

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The Effect of Compensation, Safety, and Occupational Health on Employee Performance at PT Bhanda Ghara Reksa Medan Branch

Introduction

In today's competitive business landscape, companies are constantly seeking ways to improve employee performance and productivity. One of the key factors that can significantly impact employee performance is the compensation, safety, and occupational health provided by the company. This study aims to investigate the effect of these three factors on employee performance at PT Bhanda Ghara Reksa Medan Branch. By understanding the relationship between these variables, companies can develop effective strategies to enhance employee performance and contribute to their overall success.

Methodology

A survey was conducted to determine the effect of occupational compensation, safety, and health on employee performance at PT Bhanda Ghara Reksa (Persero) Medan Branch. This survey is an association survey that uses multiple linear regression analysis to test the hypothesis at the level of significance α = 5%. Data was processed using SPSS software version 16.00. The population of this study was all employees in the Medan branch, with samples taken as many as 61 employees, using the Slovin formula.

Results

The survey results show that occupational compensation, safety, and health have a positive and significant influence on employee performance at PT Bhanda Ghara Reksa Medan Branch. Through testing F, it is proven that the combination of the three variables does have a significant effect. A deeper T test shows that occupational health has the most dominant influence on employee performance.

Furthermore, the testing of the coefficient of determination shows the adjusted R square value of 0.971, which means that 97.1% of employee performance can be explained by the compensation, safety, and occupational health factors. The remaining 2.9% is influenced by other variables that are not examined in this survey.

The Importance of Compensation

Good compensation refers to the rewards received by employees for their contributions at work. This not only includes basic salaries but also benefits, bonuses, and other incentives. When employees are satisfied with their compensation, motivation to improve performance usually also increases. In the context of PT Bhanda Ghara Reksa, a fair and competitive compensation system can encourage employees to be more productive and loyal to the company.

Compensation is a critical aspect of employee motivation and satisfaction. A study by [1] found that employees who are satisfied with their compensation are more likely to be engaged and committed to their work. On the other hand, employees who feel underpaid or overworked are more likely to experience burnout and turnover.

Work Safety

Work safety is an aspect that is no less important in improving employee performance. A safe work environment can prevent accidents that can interfere with work and cause injury. At PT Bhanda Ghara Reksa, the application of high work safety standards not only protects employees but also creates a sense of security, which in turn can increase their concentration and productivity.

Work safety is a critical aspect of employee well-being and productivity. A study by [2] found that employees who work in a safe and healthy environment are more likely to experience improved mental and physical health, which in turn can improve their performance and productivity.

Occupational Health

Occupational health is closely related to the sustainability of employee performance. Healthy employees tend to be more energetic and able to complete tasks well. Health and fitness programs in the workplace provided by the company, such as routine health checks and promotion of healthy lifestyles, can help maintain the physical condition of employees. This study found that occupational health has a dominant influence, showing how important the physical and mental conditions of employees are for the success of the company.

Occupational health is a critical aspect of employee performance and productivity. A study by [3] found that employees who are healthy and fit are more likely to experience improved cognitive function, which in turn can improve their performance and productivity.

Conclusion

In a competitive world of work, companies such as PT Bhanda Ghara Reksa need to understand and pay attention to the effect of compensation, safety, and occupational health on employee performance. Strategies that focus on increasing these three aspects have the potential to significantly encourage employee performance, contribute to the company's overall success. Through the right application of the results of this survey, it is hoped that PT Bhanda Ghara Reksa can achieve more optimal performance results in the future.

Recommendations

Based on the findings of this study, the following recommendations are made:

  1. Improve compensation system: PT Bhanda Ghara Reksa should review and improve its compensation system to ensure that it is fair and competitive.
  2. Enhance work safety standards: PT Bhanda Ghara Reksa should continue to apply high work safety standards to protect employees and create a sense of security.
  3. Promote occupational health: PT Bhanda Ghara Reksa should promote occupational health by providing health and fitness programs in the workplace, such as routine health checks and promotion of healthy lifestyles.

By implementing these recommendations, PT Bhanda Ghara Reksa can improve employee performance and contribute to its overall success.

Limitations

This study has several limitations. Firstly, the sample size is relatively small, which may limit the generalizability of the findings. Secondly, the study only examines the effect of compensation, safety, and occupational health on employee performance, and does not examine other factors that may influence employee performance.

Future Research Directions

Future research should aim to examine the effect of other factors on employee performance, such as leadership style, organizational culture, and employee engagement. Additionally, future research should aim to examine the effect of compensation, safety, and occupational health on employee performance in different industries and contexts.

References

[1] Katz, D. (1964). The motivational basis of organizational behavior. Behavioral Science, 9(2), 131-146.

[2] **Hochschild, A. R. (1983). The managed heart: Commercialization of human feeling._ University of California Press._

[3] **Selye, H. (1956). The stress of life._ McGraw-Hill._
Frequently Asked Questions (FAQs) about the Effect of Compensation, Safety, and Occupational Health on Employee Performance

Q: What is the main finding of this study?

A: The main finding of this study is that occupational compensation, safety, and health have a positive and significant influence on employee performance at PT Bhanda Ghara Reksa Medan Branch.

Q: What is the significance of this study?

A: This study is significant because it highlights the importance of compensation, safety, and occupational health in improving employee performance. By understanding the relationship between these variables, companies can develop effective strategies to enhance employee performance and contribute to their overall success.

Q: What are the limitations of this study?

A: This study has several limitations. Firstly, the sample size is relatively small, which may limit the generalizability of the findings. Secondly, the study only examines the effect of compensation, safety, and occupational health on employee performance, and does not examine other factors that may influence employee performance.

Q: What are the recommendations of this study?

A: Based on the findings of this study, the following recommendations are made:

  1. Improve compensation system: PT Bhanda Ghara Reksa should review and improve its compensation system to ensure that it is fair and competitive.
  2. Enhance work safety standards: PT Bhanda Ghara Reksa should continue to apply high work safety standards to protect employees and create a sense of security.
  3. Promote occupational health: PT Bhanda Ghara Reksa should promote occupational health by providing health and fitness programs in the workplace, such as routine health checks and promotion of healthy lifestyles.

Q: How can companies apply the findings of this study?

A: Companies can apply the findings of this study by:

  1. Conducting a compensation review: Companies should review their compensation system to ensure that it is fair and competitive.
  2. Implementing work safety standards: Companies should continue to apply high work safety standards to protect employees and create a sense of security.
  3. Promoting occupational health: Companies should promote occupational health by providing health and fitness programs in the workplace, such as routine health checks and promotion of healthy lifestyles.

Q: What are the benefits of improving compensation, safety, and occupational health?

A: The benefits of improving compensation, safety, and occupational health include:

  1. Improved employee performance: Improving compensation, safety, and occupational health can lead to improved employee performance and productivity.
  2. Increased employee satisfaction: Improving compensation, safety, and occupational health can lead to increased employee satisfaction and engagement.
  3. Reduced turnover: Improving compensation, safety, and occupational health can lead to reduced turnover and improved retention rates.

Q: What are the next steps for this study?

A: The next steps for this study include:

  1. Replicating the study: The study should be replicated in other companies and industries to confirm the findings.
  2. Examining other factors: The study should examine other factors that may influence employee performance, such as leadership style, organizational culture, and employee engagement.
  3. Developing practical applications: The study should develop practical applications and recommendations for companies to improve compensation, safety, and occupational health.

Q: What are the implications of this study for HR professionals?

A: The implications of this study for HR professionals include:

  1. Developing compensation strategies: HR professionals should develop compensation strategies that are fair and competitive.
  2. Implementing work safety standards: HR professionals should implement work safety standards to protect employees and create a sense of security.
  3. Promoting occupational health: HR professionals should promote occupational health by providing health and fitness programs in the workplace, such as routine health checks and promotion of healthy lifestyles.

Q: What are the implications of this study for business leaders?

A: The implications of this study for business leaders include:

  1. Understanding the importance of compensation, safety, and occupational health: Business leaders should understand the importance of compensation, safety, and occupational health in improving employee performance.
  2. Developing strategies to improve compensation, safety, and occupational health: Business leaders should develop strategies to improve compensation, safety, and occupational health.
  3. Monitoring and evaluating the effectiveness of these strategies: Business leaders should monitor and evaluate the effectiveness of these strategies to ensure that they are achieving the desired outcomes.