International Journal of Economy.
Education, and Entrepreneurship p-ISSN: 2798-0138 | e-ISSN: 2798-012X Vol.
No.
December 2025 https://doi.
org/10.
53067/ije3.
THE INFLUENCE OF WORK COMPETENCY.
WORKLOAD.
AND
REWARD SYSTEM ON EMPLOYEE PERFORMANCE AT THE ECONOMIC
DIVISION OF THE REGIONAL SECRETARIAT IN BATAM CITY
Sayid Ansori1.
Sudianto2.
Suyono3.
Sabri4* 1,2,3,4 Universitas Ibnu Sina.
Indonesia Corresponding Email: sabri@uis.
Abstract The purpose of this study is to investigate the impact of Job Competence.
Workload, and Reward System on Employee Performance in the Economic Division of the Regional Secretariat in Batam City.
The context of this study stems from the phenomenon of suboptimal employee performance, characterised by delays in completing macroeconomic reports and work results that do not meet organisational goals.
The main factors suspected of influencing this condition are employee competencies that do not fully match job demands, disproportionate distribution of workloads, and an ineffective and unfair reward system.
This study uses a quantitative, associative research design.
The study population consisted of 35 employees, all sampled using a saturated sampling Data were collected using a Likert-scale questionnaire and analysed using multiple linear regression in SPSS version 25.
The results of the study indicate that Job Competence.
Workload, and Reward System have a positive and significant effect on Employee Performance, both partially and simultaneously.
The coefficient of determination (RA) of 0.
742 indicates that these three variables explain 74.
2% of the variation in Employee Performance, while factors outside the research model explain the remaining 25.
This finding underscores the importance of enhancing competency, managing a balanced workload, and implementing a fair and transparent reward system to boost employee performance.
Keywords: Job Competence.
Workload.
Reward System.
Employee Performance INTRODUCTION Management is the systematic process of planning, organising, directing, and controlling organisational resources to accomplish objectives efficiently and effectively.
In the context of public organisations, management is not solely focused on achieving performance objectives but also emphasises service quality, accountability, and bureaucratic transparency.
Effective management requires integrating human resources, operational systems, and organisational policies to adapt to the evolving complexities of strategic environmental dynamics (Robbins & Coulter, 2.
Therefore, the quality of human resource management is a crucial element in improving the performance of government officials.
Employee performance refers to the degree to which workers fulfil their assigned roles, responsibilities, and authorities.
An individual's performance not only reflects that individual's productivity but also serves as an indicator of the organisation's overall success.
In the public sector, employee performance directly influences the quality of services provided and the efficiency of public Recent studies have shown that employees' performance is influenced by several factors that interact with one another, including those related to the job, the organisation, and the individual (Albrecht & Su, 2022.
Van der Kolk et al.
, 2.
Batam City is one of the leading economic centres in the Riau Islands Province.
According to Statistics Indonesia (BPS) data for 2023.
Batam City's economic growth reached 6.
84%, exceeding the provincial average of 5.
This condition underscores the strategic role of the local government in Sayid Ansori.
Sudianto.
Suyono.
Sabri The Influence of Work Competency.
Workload.
And Reward System on Employee Performance at The Economic Division of The Regional Secretariat in Batam City maintaining stability and accelerating economic development.
The Batam City Regional Secretariat, particularly the Economic Section, plays a crucial role in managing financial data, preparing macroeconomic reports, and coordinating across regional government agencies (OPD).
The performance of employees in this unit determines the quality of decision-making and the formulation of regional economic policies.
Optimal employee performance is inseparable from adequate work competency.
Competency encompasses knowledge, skills, and attitudes relevant to job demands.
A study by Sutanto and Supriyadi .
confirmed that competency significantly influences the performance of local government employees, particularly in facing the demands of digitalisation and data analysis.
Besides competence, workload is also a determining factor in performance.
An unbalanced workload can lead to stress, fatigue, and decreased work quality.
Rahayu and Firmansyah .
found that excessive workload negatively impacts employee performance and job satisfaction.
Another equally important factor is the reward system.
A fair and transparent reward system can increase employee motivation, loyalty, and commitment.
Research by Wijaya and Nugroho .
shows that both financial and non-financial rewards positively impact public sector employee performance.
Based on a survey and data from the Batam City Financial Report (LKjIP) in 2023, there was still a 17% delay in completing macroeconomic reports, and the data accuracy rate was only 89%, below the target of 95%.
An internal survey also showed that only 62% of employees felt their competencies matched the demands of digital work.
In comparison, in comparison, 41% considered the workload too heavy, and 38% thought the reward system unfair and non-transparent.
These conditions indicate underlying issues affecting employee performance.
Although various studies have examined the influence of competency, workload, and reward systems on performance, those that integrate these three variables simultaneously in the context of the regional government's Economic Section remain limited.
Therefore, this study is essential for providing a comprehensive overview of the factors influencing employees' performance in the Economic Section of the Batam City Regional Secretariat.
The suboptimal performance of employees in the Economic Section of the Batam City Regional Secretariat, in the face of the demands of an increasingly dynamic and complex work environment, is the underlying phenomenon this research investigates.
Employees are required to possess high levels of technical and analytical competencies to meet the demands of rapid regional economic development, which is coupled with the growing need for accurate, timely, and digital data.
However, the reality on the ground shows a gap between the demands of the job and employees' actual capacity.
It is not uncommon to see variations in the quality of work output, delays in completing reports, and suboptimal use of information technology.
This condition is made worse by an uneven workload and a reward system that is not yet fully capable of encouraging achievement motivation.
As a consequence.
International Journal of Economy.
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there is a decline in work enthusiasm and a tendency to work routinely without providing any innovative ideas.
Based on these phenomena, several key issues facing the organisation can be identified.
First, there are still limitations in employees' work competencies, particularly in mastering information technology, analysing economic data, and preparing evidence-based reports, which affect the quality and timeliness of work results.
Second, the relatively high employee workload, disproportionate to the number and distribution of human resources, leads to work fatigue, increased stress, and reduced focus on completing tasks.
Third, a reward system that is not implemented fairly, transparently, and based on performance results leads to low employee motivation, loyalty, and commitment.
These problems indicate the need for a comprehensive empirical study to analyse the influence of work competencies, workload, and the reward system on employee performance, so that appropriate managerial policy recommendations can be formulated to improve the Economic Section's performance at the Batam City Regional Secretariat.
Various empirical studies provide theoretical and empirical support for the hypothesis that job competency, workload, and reward systems play a crucial role in determining employee performance.
Albrecht and Su .
asserted that competency supported by adequate work resources can increase empowerment and positively impact employee performance.
Furthermore.
Sutanto and Supriyadi .
found that knowledge-based competencies and technical skills significantly influence the performance of local government officials, particularly amid increasingly complex work demands.
Regarding workload, research by Rahayu and Firmansyah .
showed that excessive workload negatively impacts performance by increasing job stress and reducing employee focus.
Similar findings were also presented by Van der Kolk et al.
, who stated that an imbalance between job demands and employee capacity can reduce overall public sector performance.
Meanwhile.
Wijaya and Nugroho .
demonstrated that a fair, transparent, and performance-based reward system can increase intrinsic motivation, loyalty, and employee performance in government agencies.
These findings collectively underscore the urgency of this research, particularly the need to integrate the three variables simultaneously within the Economic Section of the Batam City Regional Secretariat.
Based on an analysis of prior studies, a research gap persists that warrants further investigation.
Most previous research generally investigates the impact of job competency, workload, and reward systems on employee performance either in isolation or by integrating only two variables within a single analytical model.
Furthermore, the research contexts employed are predominantly situated within the private sector, banking, education, or governmental agencies, thereby not specifically reflecting the characteristics of strategic work units that directly contribute to the management and development of regional economic policies.
Previous research also emphasises the direct relationship between variables, without considering the dynamics of public organisations facing the demands of data digitisation, the complexity of cross-OPD coordination, and the pressure of outcome-based Sayid Ansori.
Sudianto.
Suyono.
Sabri The Influence of Work Competency.
Workload.
And Reward System on Employee Performance at The Economic Division of The Regional Secretariat in Batam City This condition indicates the limited empirical studies that simultaneously integrate job competency, workload, and reward systems within a comprehensive analytical framework in the context of the Economic Section of the Regional Secretariat of local government.
The novelty of this research lies in its attempt to incorporate three important factorsAinamely, work competency, workload, and reward systemAiinto a single empirical model to explain employee performance in strategic units of local government, specifically the Economic Section of the Batam City Regional Secretariat.
This research provides a comprehensive picture of the combination of internal employee factors and organisational systems that support the performance of apparatus in the public sector.
Not only does this research investigate the influence of each variable on its own, but it also provides this picture.
In addition, this research offers a contextual contribution by placing the dynamics of regional economic growth and the demands of digitalisation as an organisational setting, so that the results are expected to be able to provide applicable managerial policy recommendations for improving the performance of local government apparatus, especially in the management and formulation of economic policies based on accurate and timely data.
LITERATURE REVIEW
Employee Performance Employee performance is the level of individual work achievement that directly contributes to organisational goals, both in terms of quantity, quality, and timeliness.
In public organisations, employee performance also reflects accountability and the quality of service to the public.
Kim and Park .
emphasisedemphasised that public-sector employee performance is influenced by competency alignment and organisational system support.
Meanwhile.
Koopmans et al.
emphasised that performance encompasses adaptive and innovative work behaviours, as well as adherence to work standards.
Work Competencies Job competencies are a set of abilities encompassing knowledge, skills, and attitudes that enable employees to perform their tasks effectively.
Competencies are not static but can be developed through learning and work experience.
Campion et al.
stated that job competencies that align with job Furthermore.
Levenson emphasisedemphasised that effective competency management can improve organisational effectiveness, particularly in the face of changing work environments.
Workload International Journal of Economy.
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Workload describes the level of physical and mental demands an employee must meet to complete a task within a specific timeframe.
An unbalanced workload can reduce performance and increase job stress.
According to Schaufeli .
, excessive workloads can trigger fatigue and reduce employee productivity.
It is reinforced by Bowling et al.
, who state that a balance between job demands and individual capacity is a key prerequisite for sustained performance.
Reward System A reward system is an organisational tool for rewarding employee contributions, both financially and non-financially.
A fair and transparent reward system can improve motivation and Gupta and Shaw .
state that performance-based rewards encourage positive work behaviour and increase employee commitment.
Meanwhile.
Gerhart and Fang .
emphasise that a combination of financial and non-financial rewards is more effective at improving performance than a single type of reward.
Framework of Thinking The framework in this study treats employee performance as the dependent variable, influenced by work competency, workload, and the reward system, which are independent variables.
Work competency reflects an employee's ability to carry out tasks effectively and forms the basis for the quality and accuracy of work results.
Workload represents the level of job demands that can have a positive impact when balanced, but can reduce performance if excessive.
Meanwhile, the reward system serves as a driving factor in employee motivation and commitment to improving performance.
The interaction among these three variables shapes working conditions that determine employee performance in the Economic Section of the Batam City Regional Secretariat.
Therefore, performance improvement is expected through strengthening competencies, proportional workload management, and the implementation of a fair, performance-based reward system.
Figure 1 Thinking Framework Research Hypothesis Based on the framework of thought that has been prepared, the research hypothesis can beformulated as follows:
H1: There is an influence of Work Competence on Employee Performance.
Sayid Ansori.
Sudianto.
Suyono.
Sabri The Influence of Work Competency.
Workload.
And Reward System on Employee Performance at The Economic Division of The Regional Secretariat in Batam City H2: There is an influence of Workload on Employee Performance.
H3: There is an influence of the Reward System on Employee Performance.
H4: There is a simultaneous influence of Work Competence.
Workload, and Reward System on Employee Performance.
METHOD
Research methodology Research methodology is a scientific procedure used to acquire accurate, accountable data that meets academic standards.
According to Sugiyono .
, this research employs a quantitative methodology because its primary objective is to test the influence of variables through numerical measurements and statistical analysis.
Location and Time of Research This research was conducted at the Economic Division of the Batam City Regional Secretariat.
The research location was selected based on the strategic role this work unit plays in formulating and coordinating regional economic policies.
The research was conducted over three months, encompassing preparation, data collection, data processing, and report preparation.
Population and Sample The population in this study was all 35 employees of the Economic Section of the Batam City Regional Secretariat.
A population is defined as a generalised area consisting of objects or subjects with specific characteristics, to be studied and from which conclusions can be drawn (Sugiyono.
Due to the relatively small population, saturated sampling was used, which involves selecting all members of the population as research participants (Subagiyo & Djarwanto, 2.
Thus, the sample size in this study was 35 respondents.
Alternatively, the Slovin formula can be used to determine the sample size, as follows:
However, in this study, the Slovin formula was not used because the entire population was sampled.
Data Types and Sources The data used are quantitative, that is, numerical data amenable to statistical analysis (Hair et , 2.
The data sources include primary data collected directly from respondents via International Journal of Economy.
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questionnaires, as well as secondary data from agency documents, performance reports, and relevant scientific literature (Sugiyono, 2.
Method of collecting data Data collection was conducted through observation, limited interviews, documentation, and Questionnaires were used as the primary instrument because they are effective for survey research and allow for systematic measurement of respondents' attitudes and perceptions (Sujarweni, 2.
The research instrument was constructed using a five-level Likert scale to measure respondents' level of agreement with the statements (Sugiyono, 2.
Research Instrument Testing Before data analysis, the research instrument was tested for validity and reliability.
Validity tests aimed to determine the extent to which the statement items measured the variables being studied.
item was declared valid if the correlation value was >0.
30 (Sugiyono, 2.
Reliability tests were conducted to assess the consistency of respondents' answers, using Cronbach's alpha> 0.
60 (Ghozali.
Classical Assumption Test Classical assumption tests are performed to ensure the regression model meets statistical Normality tests aim to determine whether the data is normally distributed (Ghozali.
Multicollinearity tests are performed by checking for Tolerance values > 0.
10 and VIF < 10, while heteroscedasticity tests aim to ensure that the residual variances are equal (Ghozali, 2.
Data Analysis Methods Data analysis was performed using multiple linear regression, which is used to determine the effect of numerous independent variables on a single dependent variable (Hair et al.
, 2.
The regression model in this study is formulated as follows:
Y=a b1X1 b2X2 b3X3 e Hypothesis testing is carried out using a t-test to determine the partial effect, an F-test to determine the simultaneous impact, and a coefficient of determination (RA) to measure the magnitude of the contribution of the independent variable to the dependent variable (Ghozali, 2.
RESULTS AND DISCUSSION
Research result Sayid Ansori.
Sudianto.
Suyono.
Sabri The Influence of Work Competency.
Workload.
And Reward System on Employee Performance at The Economic Division of The Regional Secretariat in Batam City The data analysis findings were collected from respondents via a structured questionnaire.
Data were analysed using SPSS Statistics version 20.
The research findings comprise descriptive statistics, testing of the research instrument, evaluation of classical assumptions, multiple linear regression analysis, calculation of the coefficient of determination, and hypothesis testing.
The presentation of these findings seeks to offer an empirical overview of the impact of job competency, workload, and reward systems on employee performance.
Descriptive Statistics of Research Variables Descriptive statistics are used to describe the characteristics of research data based on minimum, maximum, average .
, and standard deviation values.
This analysis aims to determine the tendency of respondents' perceptions of each research variable, thus providing an initial overview of the empirical conditions before conducting inferential analysis.
Table 1.
Descriptive Statistics of Research Variables Variables Minimum Maximum Work Competencies Workload Reward System Employee Performance Source: Primary data processed, 2025 Mean Standard Deviation Table 1 shows that all variables have relatively high mean values, suggesting that respondents' perceptions are generally positive.
The Reward System has the highest mean value of 21.
91, indicating that respondents consider it to be running well.
Employee Performance has a mean value of 21.
17 with the lowest standard deviation .
, indicating uniformity in respondents' perceptions.
The relatively small standard deviations across all variables indicate that the data are homogeneous and suitable for further analysis.
Research Instrument Testing Research instrument testing aims to ensure that the measuring instrument used can accurately and consistently measure the research variables.
Instrument testing consists of validity and reliability tests conducted on all statement items in the research questionnaire.
Validity Test Validity testing is conducted to determine the extent to which questionnaire items measure the construct under study.
An item is declared valid if the correlation coefficient .
is greater than the r table value at a 5% significance level.
Table 2 Summary of Validity Test Results Variables Item r count r table Information International Journal of Economy.
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Work Competencies 1Ae5 Workload 1Ae5 Reward System 1Ae5 Employee Performance 1Ae5 Source: Primary data processed, 2025 642Ae0.
664Ae0.
693Ae0.
672Ae0.
Valid Valid Valid Valid Based on Table 2, all statement items for each variable have a calculated r value greater than the table r of 0.
It indicates that each statement item accurately represents the construct being Therefore, all questionnaire items are valid and meet the requirements for use in research data collection and subsequent analysis.
Reliability Test Reliability testing aims to determine the level of consistency of research instruments in measuring variables.
An instrument is considered reliable if the Cronbach's Alpha value is greater 60, indicating internal consistency between statement items.
Table 3 Reliability Test Results Number of Items Work Competencies Workload Reward System Employee Performance Source: Primary data processed, 2025 Variables Cronbach's Alpha Criteria Information > 0.
> 0.
> 0.
> 0.
Reliable Reliable Reliable Reliable Table 3 shows that all variables have Cronbach's Alpha values above 0.
It indicates that the research instrument has a good level of reliability.
The highest value is found in the Employee Performance variable, at 0.
861, indicating firm internal consistency.
Thus, the research instrument is considered reliable and capable of producing stable and consistent measurement results when used under the same conditions.
Classical Assumption Test Classical assumption tests are conducted to ensure that the regression model meets the statistical requirements, enabling the analysis results to be interpreted correctly.
Classical assumption tests include normality, multicollinearity, and heteroscedasticity.
Normality Test Table 4.
KolmogorovAeSmirnov Test Results Information Asymp.
Sig.
-taile.
Source: Primary data processed, 2025 Mark The normality test results in Table 4 show a significance value of 0.
200, which is greater It indicates that the residual data is usually distributed.
With the normality assumption Sayid Ansori.
Sudianto.
Suyono.
Sabri The Influence of Work Competency.
Workload.
And Reward System on Employee Performance at The Economic Division of The Regional Secretariat in Batam City met, the regression model can be used in the following analysis stage because it does not introduce bias due to deviations in the data distribution.
Multicollinearity Test
Table 5 Multicollinearity Test Results Variables Tolerance Work Competencies Workload
Reward System
Source: Primary data processed, 2025
VIF
1,079
1,288
1,268
Table 5 shows that all independent variables have tolerance values above 0.
10 and VIF values below 10.
It indicates that there are no multicollinearity issues in the regression model.
Thus, each independent variable can explain the dependent variable independently without a high correlation between the variables.
Heteroscedasticity Test Table 6 Heteroscedasticity Test Results Indicator Results Point distribution pattern Random Conclusion There is no heteroscedasticity Source: Primary data processed, 2025 The heteroscedasticity test results indicate that the points in the scatterplot are randomly distributed and do not form a pattern.
This condition suggests that the residual variance is constant.
Thus, the regression model is free of heteroscedasticity and suitable for use in multiple linear Multiple Linear Regression Analysis Multiple linear regression analysis was used to determine the influence of work competency, workload, and reward system on employee performance, both partially and simultaneously.
Table 7 Multiple Linear Regression Results Variables Coefficient (B) Constant
7,213
Work Competencies Workload Reward System Source: Primary data processed, 2025 The regression coefficients in Table 7 show that all independent variables have a positive effect on employee performance.
The reward system has the most significant coefficient, indicating its dominant influence.
It means that improving the quality of the reward system will have a substantial impact on employee performance.
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Discussion This discussion aims to comprehensively interpret and analyse the research results by linking the empirical findings to theory and prior research.
The discussion focuses on the influence of job competencies, workload, and reward systems on employee performance, both partially and simultaneously, to provide a deeper understanding of the determinants of employee performance improvement in an organisational context.
The Influence of Work Competence on Employee Performance According to the initial hypothesis test, there is a positive, significant relationship between job competency and employee performance within the organisation.
Taking this finding into account, enhancing workers' knowledge, skills, and attitudes can lead to better workplace Employees with adequate competency are more capable of completing tasks to a high standard, on time, and in accordance with organisational standards.
It aligns with the theory that competency is the primary asset individuals need to achieve superior performance.
The results of this study support those of Sari and Nugroho .
, who found that work competency plays a significant role in increasing employee effectiveness and productivity.
Research by Putra and Hidayat .
also found that strong competency enables employees to adapt to dynamic work demands, thus directly impacting performance improvement.
Furthermore.
Aurelia et al.
emphasised that competency development through continuous training can enhance employees' contributions to achieving organisational goals.
Therefore, these research findings strengthen the empirical evidence that work competency is a significant determinant of employee performance.
The Effect of Workload on Employee Performance Testing the second hypothesis demonstrated that workload has a positive and significant effect on employee performance.
This finding suggests that optimally and proportionally managed workloads can encourage employees to be more focused, disciplined, and productive.
A workload that aligns with individual capacity can increase a sense of responsibility and motivate employees to achieve predetermined work targets.
These results align with research by Wulandari and Siregar .
, which states that a balanced workload can improve performance because employees feel challenged without experiencing excessive pressure.
Research by Abdullah et al.
also found that a wellstructured workload positively impacts the quality and quantity of employee output.
However.
Putri and Rahman .
emphasised that an uncontrolled workload can actually decrease performance due to increased work stress.
Therefore, this study's findings underscore the importance of proportional workload management to improve employee performance.
Sayid Ansori.
Sudianto.
Suyono.
Sabri The Influence of Work Competency.
Workload.
And Reward System on Employee Performance at The Economic Division of The Regional Secretariat in Batam City The Influence of Reward Systems on Employee Performance The findings of the third hypothesis test demonstrate that the reward system has a positive, statistically significant impact on employee performance, with the highest regression coefficient among all variables.
The reward system is a highly influential factor in enhancing performance.
Employees who receive fair and transparent rewards tend to be more motivated and committed to the organisation.
These findings are consistent with the research by Rahayu and Santoso .
, which found that a performance-based reward system can increase employees' intrinsic and extrinsic motivation.
Putra and Hidayat .
also found that rewards, both financial and non-financial, play a crucial role in shaping positive work behaviour and employee loyalty.
Furthermore.
Albrecht et al.
emphasised that perceived fair rewards can strengthen work engagement, ultimately improving Thus, these research findings underscore the importance of reward systems as a strategic instrument in human resource management.
The Influence of Work Competence.
Workload, and Reward System on Employee Performance The results of the fourth hypothesis test indicate that job competency, workload, and reward systems simultaneously have a positive and significant effect on employee performance.
The coefficient of determination (Adjusted RA = 0.
indicates that these three variables can explain 1% of the variation in employee performance.
It shows that employee performance results from the interaction of various complementary internal and external factors.
These findings align with Chen et al.
, who found that a combination of individual abilities, job demands, and organisational reward systems influences employee performance.
Recent research by Imha et al.
also confirms that integrating competencies, workload management, and effective reward systems can sustainably improve performance.
Therefore, these research findings reinforce the view that improving employee performance requires a holistic approach that includes competency development, workload management, and a fair, performanceoriented reward system.
CONCLUSION
Based on the results of research on the influence of Job Competence (XCA).
Workload (XCC), and Reward System (XCE) on Employee Performance (Y), several main conclusions were obtained.
First.
Job Competence (XCA) has a positive and significant effect on Employee Performance.
It is evidenced by the calculated t value of 2.
56 and a significance level of 0.
015 < 0.
05, indicating that employees with appropriate abilities, knowledge, and skills can increase effectiveness and achieve work targets Adequate competence enables employees to adapt to job demands and deliver high-quality International Journal of Economy.
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Second.
Workload (XCC) has a positive and significant effect on Employee Performance, with a tvalue of 3.
24 and a significance level of 0.
003 < 0.
This finding confirms that a balanced, proportional, and appropriate workload can motivate employees to work more productively, while an excessive workload can potentially reduce work quality and effectiveness.
Third, the Reward System (XCE) has a positive and significant effect on Employee Performance, with a t-statistic of 3.
97 and a p-value of 0.
000 < 0.
A fair, transparent, and performance-based reward system can increase employee motivation, loyalty, and work enthusiasm.
Fourth, simultaneously, the three variables have a positive and significant effect on Employee Performance, with a calculated F of 4.
94 > F table of 2.
90 and a significance of 0.
006 < 0.
The Adjusted RA value 531 indicates that Job Competence.
Workload, and Reward System explain 53.
1% of the variation in employee performance.
In comparison, 46.
9% is influenced by other factors outside the research model, such as the work environment, leadership, and organisational culture.
Thus, improving employee performance requires an integrated approach that considers these three factors REFERENCES