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This is a Quantitative Study study.

September 27, 2025

The Influence of Compensation and Work Environment on Employee Performance

IIIbnu Syawqy Ihsan BWBambang WidagdoAirlangga University KNKhusnul Rofida NoviantiThe University of Queensland

Key Points

High compensation and positive work environments both enhance employee performance significantly, indicating effective organizational strategies.
The analysis reveals that both compensation and work environment independently and positively influence employee performance metrics.
Using multiple linear regression analysis, this study quantitatively assessed performance among employees in a focused environment.
These findings suggest that businesses should prioritize enhancing compensation and work conditions to boost overall employee performance.

Abstract

This research aims to determine the effect of compensation and work environment on employee performance at PT. Gracia Optima Masterpro. This research uses quantitative methods with a descriptive approach. The analytical method used is multiple linear regression analysis using SPSS 25. The population in this research is employees of PT. Gracia Optima Masterpro with a sample of 97 respondents using a total sampling approach. The results of this research are that if compensation has a high value, the work environment is in good condition and employee performance has a high value, then compensation has a significant positive effect on employee performance, the work environment has a significant positive effect on employee performance and compensation and the work environment have a significant positive effect on employee performance.

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