Abstract: This study aims to determine the role of job satisfaction in mediating the effect of compensation on the employee loyalty of LPD employees in Pakraman Kesiman Village. This research was conducted at LPD Pakraman Kesiman Village using 38 respondents. Data collection through interviews and questionnaires using 14 indicators as measured by the Likert Scale. Data analysis techniques used path analysis (path analysis) and sobel test. The results of this study indicate that compensation has a positive and significant effect on job satisfaction, compensation has a positive and significant effect on employee loyalty, job satisfaction has a positive and significant effect on employee loyalty, and job satisfaction mediates the effect of compensation on employee loyalty. The practical implication in this study is that the management of LPD Pakraman Kesiman Village needs to pay attention to the indicators of compensation and job satisfaction so that employee loyalty can increase. The theoretical implication in this study is that the existence of good compensation will increase job satisfaction so as to increase the employee loyalty of LPD Pakraman Kesiman Village employees.
Keywords: Compensation, Job Satisfaction, Employee Loyalty.
Title: The Role of Job Satisfaction Mediates the Effect of Compensation on Employee Loyalty
Author: Ida Ayu Meila Karwista, Ida Bagus Ketut Surya
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
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