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Abstract:
The study aimed to reveal the effect of both direct compensation and promotion on the employees' performance at the Garment Department, PT Seikou Seat Cover. The data were obtained through questionnaires and then subsequently processed using IBM SPSS Statistics 23.
The results of this study showed that there were good responses from the respondents to the direct compensation provided by the Company; as well as to the promotions and the employees' performance. Meanwhile, the results of partial test (t test) showed that when the direct compensation was higher, there was also more improved employee's performance. Yet, the promotion did not directly affect employee performance.
Furthermore, the results of hypothesis test simultaneously showed that the value of F count was greater than that of F table so that it indicated a significant effect; thus, it can be concluded that direct compensation and promotion significantly influenced the employees' performance. Therefore, both direct compensation and promotion affected the performance of the employees at the Garment Department, PT Seikou Seat Cover.
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