PENGARUH KOMPENSASI TERHADAP RETENSI KARYAWAN DENGAN EMPLOYEE ENGAGEMENT SEBAGAI VARIABEL MEDIASI (Studi pada Karyawan KSU Perdula MPS Ngoro Jombang)

This study was conducted to determine and analyze the effect of compensation on employee retention with employee engagement as a mediating variable. This type of research uses quantitative research with a descriptive approach. The population in this study focused on the general worker section totaling 61 people. The sampling technique used in this study was saturated sampling, where the entire population was sampled. The sample used in this study was all general worker employees at KSU Perdula MPS Ngoro Jombang totaling 61 people. The data collection technique in this study used a questionnaire. The data analysis method used a scale range and SEM-Partial Least Square model assisted by SmartPLS 4.0 software. The results of this scale range calculation indicate that compensation is included in the good category, employee retention is included in the good category, and employee engagement is included in the high category. The results of this SEM-Partial Least Square model study indicate that compensation has a positive and significant effect on employee retention. Compensation has a positive and significant effect on employee engagement. Employee engagement has a positive but insignificant effect on employee retention variables. And employee engagement mediates insignificantly the effect of compensation on employee retention.