Title:
THE ROLE OF ORGANIZATIONAL COMMITMENT MEDIATION IN RELLATIONSHIP OF REWARD SYSTEM ON TURNOVER INTENSION

Authors:
I Wayan Edi Jana Saputra and I Wayan Gede Supartha ,Indonesia

Abstract:
This study aims to analyze the effect of reward systems and organizational commitment on employee turnover intention, and analyze the mediating role of organizational commitment variables. Testing the research hypothesis using Structural Equation Modeling (SEM) analysis techniques using SMARTPLS, using IBM SPSS Statistics 22 for validity and reliability testing, and the sample in this study was 130 respondents, taken using the Purposive Sampling sampling technique, with employee respondent criteria PT. Bali Dana Sejahtera. The results showed that (1) reward system had a negative and significant effect on employee turnover intention, (2) reward system had a positive and significant effect on employee organizational commitment, (3) organizational commitment had a negative and significant effect on employee turnover intention, (4) commitment the organization mediates the effect of the reward system on employee turnover intention. Managerial implications and suggestions in this study are to reduce the level of turnover intention of employees, companies or institutions to improve the reward system that is applied and increase organizational commitment of employees. By implementing a better reward system, it will increase organizational commitment, and reduce employee intention to resign