The Effect of Compensation and the Physical Work Environment on Employee Work Motivation at PT. Exzer Amsal Mandiri
DOI:
https://doi.org/10.54065/jss.6.4.2026.1813Keywords:
Compensation, Physical Work Environment, Employee Work Motivation, Human Resource ManagementAbstract
The urgency of this study is to determine how compensation and the physical work environment influence employee work motivation at PT Exzer Amsal Mandiri. Preliminary observations at PT Exzer Amsal Mandiri indicated concerns regarding the adequacy of compensation and unfavorable physical workplace conditions that could be associated with employee motivation. This study aims to examine the partial and simultaneous effects of compensation and the physical work environment on employee work motivation. A quantitative survey design was employed. The study population comprised all 41 employees of PT Exzer Amsal Mandiri. Using a census approach, questionnaires were distributed to all employees; however, four employees did not return their questionnaires within the data-collection period. Consequently, 37 complete and usable responses were analyzed, representing a response rate of 90.24%. The data were analyzed using multiple linear regression with SPSS version 25. The results show that compensation has a positive and significant effect on employee work motivation, with a regression coefficient of 0.137, a t-value of 2.075, and a p-value of 0.046. The physical work environment also has a positive and significant effect, with a regression coefficient of 0.254, a t-value of 3.087, and a p-value of 0.004. Simultaneously, compensation and the physical work environment significantly affect employee work motivation, as indicated by an F-value of 15.750 and a p-value below 0.001. The model explains 48.1% of the variation in employee work motivation. It can be concluded that compensation and the physical work environment, both partially and simultaneously, are important determinants of employee work motivation at PT Exzer Amsal Mandiri. Therefore, the company should improve the adequacy of employee compensation and provide more supportive physical workplace conditions to strengthen employee motivation.
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