THE EFFECT OF FINANCIAL AND NON FINANCIAL COMPENSATION ON EMPLOYEE JOB SATISFACTION OF PT BANK PERKREDITAN RAKYAT (BPR) MODERN EXPRESS OF AMBON BRANCH

Abstract

The increasing development of the business world in line with the improvement in economic conditions in Indonesia requires intense competition in it. The success of a company in achieving its goals does not only depend on the existing facilities and infrastructure but also depends on the performance of its employees. This research is an explanatory research or research that explains the causal relationship among variables through hypothesis testing about the effect of compensation on job satisfaction of employees of PT. Bank Perkreditan Rakyat (BPR) Modern Express Ambon. Based on the results of the hypothesis testing shows that financial compensation and non-financial compensation tested had positive and significant effect on job satisfaction of employees of PT. BPR Modern Express Ambon. This shows that the higher attention of leaders towards financial and non-financial compensation will affect the increase in employee job satisfaction. The success of a company in achieving its goals is not only depend on the existing facilities and infrastructure, but also depends on the performance of its employees. Every company will always try to improve the performance of its employees by meeting the needs of employees, paying attention to subordinates, and placing employees as part of company assets, not merely considering employees as workers. Such conditions can be realized through the job satisfaction approach. Robbins (2001: 78) states that job satisfaction is a general attitude towards one's work that shows the difference between the number of awards received by workers and the number of jobs that workers believe they should receive. In this case what is meant by this attitude are things that related to work along with specific factors such as supervision, salary, incentives (bonuses) and benefits, opportunities to get promotions, working conditions, experience on the skills work, fair and non-detrimental work assessment, social relations in a good work environment, fast resolution of complaints, and good treatment from leaders towards employees.