The Effect of Motivation, Remuneration, and Leadership Style on Hospital Employee Performance

Purpose: This study aimed to analyze and determine the Effect of Motivation and Remuneration on Employee Performance with Leadership Style as a Moderating Variable at Dr. Wahidin Sudiro Husodo Hospital, Mojokerto City. Using the census sampling technique, the number of respondents was 176. The results of the study showed that motivation affects employee performance at Dr. Wahidin Sudiro Husodo Hospital, Mojokerto City.

Research Methodology: A quantitative research design using a cross-sectional survey was employed. The population consisted of 176 hospital employees, with census sampling applied. Data were analyzed using path analysis and Sobel test to examine moderation effects.

Results: Motivation positively affects employee performance (CR = 3.407, p = 0.019 < 0.05), as does remuneration (CR = 4.522, p = 0.012 < 0.05). Furthermore, leadership style significantly moderates the relationship between motivation and employee performance (Sobel = 1.809, p ≤ 0.05) and between remuneration and employee performance (Sobel = 2.691, p ≤ 0.05).

Conclusions: Both motivation and remuneration are key determinants of employee performance. Effective leadership amplifies these effects, highlighting the importance of supervisory styles that are inspiring and attentive to employee needs.

Limitations: The study is limited to a single hospital in Mojokerto City, and the cross-sectional design prevents causal inference over time.

Contributions: This research provides empirical evidence on the interaction between HR incentives and leadership in enhancing employee performance in public healthcare institutions, offering guidance for management strategies in similar contexts.