The Role of Job Satisfaction in Mediating the Effect of Work Environment on Employee Performance at the Tax Service Office Pratama Medan Belawan

Abstract

Employee performance is an important factor in determining the success of public organizations, especially in tax service agencies such as the Medan Belawan Tax Office (KPP). A conducive work environment is believed to improve employee performance, but this influence is not always direct and can be affected by psychological factors such as job satisfaction. This study aims to analyze the influence of the work environment on employee performance with job satisfaction as a mediating variable at the Medan Belawan Primary Tax Office. This study uses a quantitative approach with a survey method. The research population consists of all 100 permanent employees of the Medan Belawan Tax Office, and the entire population was used as the research sample. The data were analyzed using the Partial Least Square (PLS) method through the SmartPLS application. The results show that the work environment has a positive and significant effect on employee performance, the work environment has a positive and significant effect on job satisfaction, and job satisfaction has a positive and significant effect on employee performance. In addition, the results of the indirect effect test prove that job satisfaction acts as a mediating variable in the relationship between the work environment and employee performance. These findings indicate that improving employee performance depends not only on creating a good work environment but also on the level of job satisfaction felt by employees. This study is expected to contribute theoretically to the development of human resource management in the public sector and serve as practical consideration for leaders in formulating policies to improve the work environment and job satisfaction in order to promote sustainable employee performance.