PERSEPSI IMPLEMENTASI DAN EFEKTIVITAS PAY FOR PERFORMANCE (Studi Kasus pada Karyawan di Bank BUMN dan Bank BUMD)

Abstract

Pay for performance is one of financial compensation programs that aims to improve employee performance by offering more income based on result of employee performance appraisal. Researches on the application of pay for performance systems overseas have been found mainly in private sector companies, but similar research conducted in Indonesia is still minimal. In general, the application of pay for performance has been applied in several companies in Indonesia particularly in the banking industry. This research will discuss the perception of the implementation of pay for performance and the level of effectiveness of pay for performance in Bank of BUMN (National Bank) and BUMD (Regional Bank). The purpose of this study is to discover the basic consideration of the implementation of pay for performance and the level of effectiveness of pay for performance in one of the Bank of BUMN and Bank of BUMD. The method used is qualitative using case study approach. The reason for choosing the method is that this research can be done in depth and can focus to discover the implementation and the level of effectiveness of pay for performance in one of Bank of BUMN and Bank of BUMD. The results of this study indicate that the implementation of pay for performance system and the level of effectiveness in Bank of BUMN and Bank of BUMD is good enough but the incentive to employees in Bank of BUMN is better and varied than giving incentive to employees in Bank of BUMD