The Effect of Transactional Leadership, Compensation, Motivation and Work Experience Through Job in Security on The Performance of Employees

This study tries to explain the effect of transactional leadership, compensation, motivation, and work experience on performance, both directly and indirectly through job insecurity. The object under study was a production department employee who worked in the fish canning industry in Muncar District. The analytical model used is the structural equation model (SEM). The sample used was 150 employees of the production department, selected purposively each of 10 people from 15 fish canning companies. The transactional leadership style which is still of doubtful quality by most employees, based on the statements in the questionnaire, this indicates that the leadership style that exists in the fish canning industry in Muncar, is a transactional leadership style; proven to have the lowest effect on performance. The transactional leadership style, although suitable for the manufacturing industry (according to the characteristics of the production department employees who are mostly male employees), apparently has the weakest influence on performance. The effect of compensation on performance is positive, meaning that the more satisfied the employee is with compensation, the better the performance will be. The effect of compensation on job insecurity is significantly negative, but the contribution of the effect of job insecurity in total can still improve performance, although a little. Work motivation has an effect on performance on the ranking above the influence of leadership style, but it is still lower than the influence of work experience on performance. Job insecurity has a significant negative effect on performance. Suggestions put forward are: (a) for companies in the fish canning industry in Muncar District, Banyuwangi Regency: should improve the compensation system; (b) for the Regional Government of Banyuwangi Regency. The government can cant' out a tax amnesty for companies in the fish canning industry in Muncar Subdistrict, Banyuwangi Regency, and this is a subsidy provided in the form of increased compensation for employees, so that it is not just in the lower limit of the UMK; and (c) Other researchers should consider structural models in which the relationship between job insecurity and performance is reciprocal. Thus, the measurement of parameters will be more perfect.