International Journal of Human Capital Management, Vol. 3 (1), June 2019 International Journal of Human Capital Management, Vol. 3 (1), June 2019 39 | P a g e International Journal of Human Capital Available online at Management http://journal.unj.ac.id/unj/index.php/ijhcm E-ISSN 2580-9164 Vol. 3, No.1, June 2019, p 39-47 The Effect of Leadership Style and Welfare on The Performance of Manado Religious and Education Training Center Rusli State University of Jakarta Email: rusli_im11s3@mahasiswa.unj.ac.id Wibowo State University of Jakarta Email: wibowo303@yahoo.co.id Burhanuddin Tola State University of Jakarta Email: burhanudiin.tola@gmail.com ABSTRACT The aim of this study is to observe and analyze the influence of Leadership Styles and Welfare on the Performance of Employees in Manado Religious Education and Training Center. This study used Partial Last Square (PLS) method. The population of this study was 60 employees (N = 60), and all of these employees were sampled (n = 60) with an error rate of 5% (0.05). Data was collected based on questionnaire with Likert scale. The results of this study showed that there are direct contributions between Leadership style and welfare variables on employee performance. Overall, Leadership style and Welfare have a positive and very strong influence on Employee Performance.These results showed the importance of improving the quality of Leadership Styles and Welfare to improve the Performance of Employees in Manado Religious Education and Training Center. Keywords: Employee Performance, Leadership Style, Welfare. INTRODUCTION Performance is the real behavior displayed by every employee, and job performance are produced according their role in the organization, which is expected to achieve its vision and its mission statement of the organization. Preliminary observations in the form of interviews about employee performance at the Manado Religious Training Center showed that there were several problems encountered, including: Figure 1.1 Indication of Employee Performance Manado Religious Training Center Source: Manado Religious Training Center,2018 0 2 4 6 8 10 Dominant work pattern for certain staff Inconsistent in carrying out tasks Job responsibilities are more dominant in certain staff [VALUE] Persons [VALUE] Persons [VALUE] Persons mailto:rusli_im11s3@mahasiswa.unj.ac.id mailto:wibowo303@yahoo.co.id mailto:burhanudiin.tola@gmail.com International Journal of Human Capital Management, Vol. 3 (1), June 2019 40 | P a g e From the description above shows that the performance of Manado Religious Training Center staff is not optimal. The indications are: First, it appears that the dominant work pattern in a person, such as an employee who have more mastery of information and technology, has more work than other employees who do not master this matter, this has an impact on the workload that is not balanced (proportional). Second, inconsistent in carrying out tasks. Often the employees work not according to their job description, because they always carry out instructions from their superiors. The implication is that there are many employees who are unable to complete the work according to the job description, for completing the work is not their responsibility. Third, job responsibilities are more dominant in staff, the indications are that these employees always get a disproportionate workload, for example in the implementation of Diklat (education and training program) those who are active in the task are only the staff in the academic field, while the others are often absent, when there are changes in class hours or the facilitator, usually there are difficulty because of the staff working on tasks that are not their responsibility. From the description above, the performance of employees at Manado Religious Training Center, in general,have three main problem. First, work pattern is focused only on a certain person, second, inconsistency in carrying out tasks, and thirdly, job responsibilities are more dominant for certain staff. This shows that the mapping and performance process of the Manado Religious Training Center staff still needs to be improved, especially in the area of regular training activities, training in the work area and completion of reports on each activity. Based on the data, the completion of the report on the implementation of training in 2018 has been delayed: Figure 1.2 Completion of the Education and Training Report Source: Manado Religious Education Center, 2018 From the picture above, it can be seen that the completion of the report on the results of the data at the Manado Religious Training Center Office varies: a. the report is completed on time 20%; b. incomplete administration report 60%; c. file lost 15%; d. not making a report of 5%. This shows that the report on the implementation of education and training is estimated to be 80% not yet completed at the specified time. This is an implication of the performance of employees who have not been optimal. Initial assumption, caused by several factors: First, the internal factors staff, for example knowledge, skills, and work behavior.Second, the external factors of employees are first, the leadership style that lacks control or supervision related to the implementation of employee duties. This has implications for the completion of office tasks. Second, the work climate is not optimal, there is a lack of coordination and communication between employees in completing work. Third, the placement of employees who are not in accordance with the educational background with work, so that there are mutual differences of opinion between employees and other employees in the execution of tasks. Fourth, the welfare of employees is not sufficient. This is indicated by the presence of employees seeking additional income on the sidelines of carrying out tasks. They are looking for additional income for self-competence development and spirituality development, while the workload intensity is very high. 0 20 40 60 Report completed Incomplete administration report File lost Not making a report 20% 60% [VALUE] % [VALUE] % International Journal of Human Capital Management, Vol. 3 (1), June 2019 41 | P a g e In an effort to optimize or improve employee performance, leaders who have managerial skills are needed, as according to RokhmadBudiyono (2016) who suggests that there is an influence between the type of leadership and employee performance. Basically if the leader has good managerial skills, then it has a positive effect on employee performance. Good performance is always prioritized by all organizations, both by profit oriented organizations and non-profit oriented organizations. With the existence of good employee performance, an organization will more easily achieve its goals. For this reason, many organizations make every effort to improve the performance of their employees. One of the actions that can be taken by organizations in improving employee performance is by managing work pressure within the organization. According to Zetriuslita and Reni Wahyuni (2013) Paying attention to employee welfare is one indicator that can trigger and improve performance, and this is in accordance with the essence of this research, namely that there is an influence between welfare and employee performance. From the results of the study concluded that the teacher's work motivation, welfare, and teacher performance respectively in the high category with presentation averaged 81.13%. In addition, there is a relationship between welfare and teacher performance by 66%. This shows the importance of welfare to improve employee performance. The welfare includes salaries and benefits, as well as other income provided by the organization. In line with the views of Zetriuslita and Reni Wahyuni above, in this study a leadership style variable was developed not only in the form of giving direction and supervision but also in active participatory leadership in organizational activities. The welfare variable is developed not only in the form of compensation in the form of salaries and wages, but also includes spirituality and social activities (family day, social contributions, learning assistance). This research is one of the first studies that examines the performance of Manado Religious Training Center staff in relation to leadership and welfare factors. First, the Leadership Style variable on the Active Participation indicator has a high contribution to employee performance, meaning that the leadership style is the most important part in processing the ability to empower employees according to their competencies, so that the work instructions given by the leadership can be carried out properly by subordinates or staff. Second, Welfare, on the indicator of Spiritual Needs, has a high contribution to employee performance. This means that spiritual needs are an inseparable part of the life of employees, and spiritual values need to be manifested in the workplace, because every employee has an inner life. With the provision of adequate spiritual values, the peace and desire of employees to focus on work will be better. Of the two indicators mentioned above, Active Participation and Spiritual Needs, both require the involvement of the leader physically, mentally, and emotionally to provide a response to the activities carried out and support the achievement of goals and be responsible for their involvement. LITERATURE REVIEW Employee Performance There are people who interpret performance as a result of work or work performance. But actually performance has a broader meaning, not only the results of work, but includes how the work process takes place. Performance is the result of work that has a strong relationship with the organization's strategic goals, customer satisfaction, and contributes to the economy.a result of work or work performance. But actually performance has a broader meaning, not only the results of work, but includes how the work process takes place. Performance is the result of work that has a strong relationship with the organization's strategic goals, customer satisfaction, and contributes to the economy.(Wibowo, 2012) Job performance is the result of a person according to the size that applies, within a certain period of time, regarding the work and behavior and actions. (Suwatno, 2016) According to Waldma (in Koesmono, 1995) that "The concept of performance is a combination of behavior with achievement of what is expected and chosen or part of the terms of the assignments that exist in each individual in the organization".Then according to https://translate.googleusercontent.com/translate_f#_ftn3 International Journal of Human Capital Management, Vol. 3 (1), June 2019 42 | P a g e VeithzalRivai and M. Basri, "Performance is the willingness of a person or group of people to do something and improve it according to their responsibilities with results as expected." (Rivai, 2005) Employee performance is a work achievement or work result that has been achieved in quality and quantity period to period. This is the duty of responsibility given by the leadership. Performance is about achieving difficult goals, as well as how to deliver measurable performance. Then came the framework of two categories which contained "what" and "how" the performance. The first usually includes difficult goals which will be the basis of the assessment of the organization by outsiders, while the second is related to the achievement of values and behaviors that are declared important by the organization. (Rees, 2007) Leadership Style A leader is needed by every organization, be it a government institution, business institution, or community organization, at any time. But in times of crisis a leader is more necessary than during normal conditions. (Djohan, 2006) In general, leadership style contains an understanding of what describes the behavior of a leader, concerning its ability to carry out leadership tasks. Usually the appearance of the leadership style can form a certain pattern, for example: a. Democracy, b. Authoritarian (autocratic), c. Participatory, d. Laisser-faire. So that a person's leadership style in leading or influencing people or subordinates may be like the concept above, of course there is a good and bad value. Whereas according to Robbert D Stuart, leaders are individuals who are expected to have the competence or ability to influence, provide guidance, and be able to determine individuals who can support the achievement of organizational goals. James P. Spillane stated that leaders were agents of change with activities affecting people, far exceeding the influence of these people to him. The ability to influence must be directed at increasing the motivation and quality of the work of subordinates, so that it is in accordance with the vision and mission of the organization. (Kahar,2008) Welfare In Indonesian labor law Act 13 of 2003 it can be interpreted that welfare is the fulfillment of various physical and spiritual needs, both internal and external or direct and indirect, so as to increase employee productivity accompanied by a sense of security and peace. For that the provision of welfare to employees is a factor that can trigger the success of the organization. Organizations and employees essentially need each other. Employees are assets because without human resources, the organization will not be able to exist. Likewise, employees cannot support life welfare without an organization which is a place to earn a living and implement the discipline they have. The well-being of employee employees must be considered, it must not only be required to work. Likewise with employees, not only demanding rights, but also must pay attention to the responsibility for the results of their work. In addition, there are still things that are not addressed which cause employees to lose motivation, not be diligent, and the resulting work is not optimal. They perceive that no matter how hard the employee works, the organization will not pay attention, especially with regard to welfare and decent rewards for employees. To avoid the occurrence of actions by employees that harm the organization, the task of organizational management must fulfill the demands of employees, one of which is to provide fair and wise welfare to employees, all of which is done by management to create employee welfare and organizational success. The importance of well-being, among them is to keep employees working in the organization, increase motivation and morale, improve employee loyalty to the organization, maintain employee performance and loyalty. According to Manullang, the objectives of work welfare benefits are: a. Increasing and maintaining the maximum level of welfare of the workforce, both physical and mental aspects. b. Protect and prevent employees or labor from obstacles caused by working conditions. c. Adjustment of workforce with job descriptions. d. Increase work productivity of every employee in the organization. (Manullang, 2005) International Journal of Human Capital Management, Vol. 3 (1), June 2019 43 | P a g e METHODOLOGY This study consists of several variables, namely independent variables and dependent variables. The independent variables include Leadership Style (X1) and Welfare (X2), and the dependent variable is Employee Performance (Y). The Employee Performance variable consists of 6 indicators, which are synthesized from various sources: Indicators of work quality and timeliness consist of 4 question items, giving initiative 8 questionitems,ability 3 question items, communication 10 questionitems, and staffing regulations 6 question items. The Leadership Style variable consists of 7 indicators, which are synthesized from various sources, with a description; the rules of compliance indicators consisting of 6 question items, attention 5 question items, motivation 7 question items, work orientation 6 question items, explain the work6 question items, support 6 question items, and active participation 5 question items. The Welfare variable consists of 10 indicators synthesized from various sources, with descriptions of indicators of material needs consisting of 8 question items, spiritual needs5 question items, health insurance 3 question items, leave 4 question items, promotion 3 question items, sports facilities 8 question items, commemorating the anniversary 4 question items, family day 5 question items, social assistance 5 question items, and scholarship 5 question items. Question items are made in the form of questionnaires that have been distributed to respondents in this study. Operational Variables No. Variable Indicator Reference 1 1 Employee Performance Work quality Timeliness Initiative Ability Communication Manpower Regulation Priyatno, 2010: 185; Suwatno and DonniJuniPriansa, 2016: 196; Faustino Cardoso Gomes, 2003: 142; Dadang Dally, 2010: 35; Robert L. Mathis & John H. Jackson, 2002: 78; Friend of Koesmono, 2005 2 2 2 Leadership Style Obey the rules Attention Motivation Job Orientation Explain Job Support Active Participation Nurjanah, 2008; Stephen P. Robbin- TimotyA.Judge, 2008; Nurnjah, 2008; ShalanAsnawi, 2006; Silvia LosianaLamanto, 2017; MiftaThoha, 2002: 277; Irawaty A. Kahar, 2008: 23 3 3 3 Welfare Material needs Spiritual Needs Health insurance Leave Promotion Sports facilities Commemorating the Anniversary Family Day Social Assistance Scholarship Hasibuan, Melayu. SP, 2003; Law No. 11 of 2009; M. Manulang, 2005; Law Act No. 1 3 of 2003 The method used in this study is the Partial Last Square (PLS) method with a "survey" technique that can be done for data that is real in nature and can be used to investigate relationships or test hypotheses. (Arikunto, 2006). Population is the whole of individuals or data that is limited by the scope of research. The number of observations or observations of members of a population is called the size of the population, while the values that describe the characteristics or characteristics of the population are called parameters. (Kusmayadi, International Journal of Human Capital Management, Vol. 3 (1), June 2019 44 | P a g e 2000) The population in this study were 60 employees at the Manado Religious Education and Training Center. According to Arikunto, if the population is less than 100, all of them can be sampled, so the number of samples in this study is 60 (n = 60) which means using saturated samples. RESULT AND DISCUSSION In general the hypothesis testing for path analysis in this study can be described as follows: Figure-1 Results of Path Analysis with PLS Program 2.00 Based on the picture above can be described as follows: a. The Leadership Style (X1) has a positive contribution to the Employee Performance (Y) of Manado Religious Training Center staff as much 0.432 b. Welfare (X2) has a positive contribution to the Employee Performance (Y) of Manado Religious Training Center staff as much 0.554 c. Leadership Styles (X1) and Welfare (X2) have a positive and very strong influence on the Employee Performance (Y) of Manado Religious Training Center staff as much 0.951 Effect of Leadership Style on Employee Performance at the Manado Religious Education and Training Center. The contribution of leadership style (X1) to employee performance (Y) of the Religious Education Center in Manado is 0.432. This means that the contribution is positive and strong enough. The requirement for hypothesis testing is if P-value> 0.05 then H0 is accepted, whereas if P-value is <0.05, H1 is accepted. Based on the table above, the results of P-Value are 0,000 with a level of error of 5% (0.05) so that it can be described 0.000 <0.05 or P-value <0.05, means that there is a positive and significant influence between the Leadership Style on Employee Performance (Y). The results of this study indicatethe importance of improving the quality of Leadership Style for improving Employee Performance at the Manado Religious Training Center. The results obtained in this study are in line with several theories used which show that leadership styles influence employee performance. The intended Leadership Style Indicator is; 1) Leaders who obey the rules, always work in accordance with operational guidelines (implementation instructions) and technical guidelines (technical instructions); 2) Leaders who always pay attention to their subordinates or staff; 3) Leaders who always motivate staff or subordinates; 4) Leaders who are always task oriented, so that they always supervise and direct their subordinate tasks; 5) Leaders who always explain work by providing guidance and direction in completing work; 6) Leaders who always provide support in all matters including the process of carrying out work by subordinates or staff.7) Active participation. in addition, the leader is also expected to have physical, mental and emotional Welfare (X2) Employee Performance (Y) LeadershipStyle (X1) International Journal of Human Capital Management, Vol. 3 (1), June 2019 45 | P a g e involvement in responding to activities carried out and support the achievement of goals and are responsible for their involvement. In general, the indicator is related to the average leadership style, but the indicator that has the highest value is the attention of the boss to the subordinates, while the lowest indicator is the support of the leader in carrying out the task. In general, the indicators are related to the average leadership style, but the indicators that have the highest value are the attention of superiors to subordinates, while the lowest indicator is leadership support in carrying out tasks. Effect of Welfare on Employee Performance at the Manado Religious Education and Training Center. Welfare Contribution (X2) to Employee Performance (Y) Manado Religious Training Center is 0.554. this means that Welfare Contribution (X2) has a fairly strong relationship with Employee Performance (Y). The requirement for hypothesis testing is if P-value> 0.05 then H0 is accepted, whereas if P-value is <0.05, H1 is accepted. Based on the table above, the results of P-Value are 0,000 with a level of error of 5% (0.05) so that it can be described 0,000 <0.05 or P-value <0.05 means that there is a positive and significant influence between Welfare(X2) on Employee Performance (Y). The results of this study indicate that adequate welfare is an important factor in improving employee performance at the Manado Education and Training Center. Based on the analysis of variable indicators of employee welfare in the Manado Religious Training Center, which numbered 10 (ten) indicators, the average score obtained was 4.09 with good criteria. The highest value is obtained on the promotion indicator, which is 4.19 and the lowest value is found in the indicator of scholarship, which is 3.96. The findings above are in line with the findings of research conducted by YosiOktaviani, YosiEkaPutri, and Wati (2017). In this study, it was found that Welfare had a positive and significant effect on Employee Performance in the Budi Mulia business group, Kuranji, Padang. The results also show that in the Welfare variable, it is known that the lowest level of achievement of respondents is in the indicators of benefits and recreation. From these findings it is recommended that the Budi Mulia business group be more effective in providing benefits to employees, and also provide opportunities for them to do recreation. (Oktaviani, 2017). In addition to these studies, the research conducted by Tri Wahyuni (2017) also found that Welfare has a strong relationship with teacher performance. Some of these findings indicate the importance of Welfare as one of the factors increasing employee performance. (Wahyuni, 2017) With the existence of welfare, it is expected that employees can increase loyalty to organizational units. In addition, welfare will also be able to motivate employees, enforce discipline to improve employee work productivity, minimize employee absenteeism, create a conducive working environment, facilitate the implementation of work to achieve goals, and also improve the social status of workers or employees and their families. Simultaneous Influence of Leadership Style and Welfare on Employee Performance at Manado Religious Training Center Simultaneous contributions between Leadership Style (X1) and Welfare (X2) on Employee Performance (Y) of the Religious Education Center of Manado are 0.951. This means that simultaneously the Leadership and Welfare Style has a very strong relationship to Employee Performance (Y). The results of this study indicate that the importance of improving the quality of Leadership Style and the provision of adequate Welfare to be able to improve Employee Performance. If both of these things are implemented properly and correctly, then the improvement in employee performance will be realized properly. This is reinforced by the journal of Sri WidodoUntung and HaryantoBudhiAgus. Journal of Sri WidodoUntung and HaryantoBudhiAgus in 2010 entitled the influence of competency, motivation, communication and welfare on the performance of the Department of Education staff. The research they conducted found that the higher the level of welfare, the more comfort in work, loyalty, attachment to the organization, and motivation to work passion. The health and physical quality of employee employees are also increasingly International Journal of Human Capital Management, Vol. 3 (1), June 2019 46 | P a g e maintained, the environment and work atmosphere are increasingly conducive, and in the end work productivity is increasing. (Untung, 2010) Based on Law No. 11 of 2009, Welfare in the form of social is a situation where the fulfillment of both material, spiritual and social needs for every citizen, so that they have a decent life, and have the opportunity to actualize themselves and ultimately benefit the community. (UU No. 11 Th 2019). Based on the results of the research, journal review, and the enactment No. 11 of 2009 above, then to improve employee performance, leaders must be able to provide balance in the lives of employees, from three things; first material, second spiritual, and third social. These three things can be triggers and also obstacles to performance. From the description above, it implies that a leader can make material as a winner of the organization's success by formulating indicators of welfare recipients in the form of: a. Benefits, b. Incentives, c. Scholarship, d. Service Vehicle, e. Office House, f. Official Travel, g. Remaining Business Results and so on. Sometimes material satisfaction is difficult to measure in life, therefore it needs a second welfare seeding, spiritual intelligence, implemented in activities: a. The morning ceremony ended the prayer, b. Prayers in congregation, c. Short lecture, c. Monthly recitation at home or at the mosque and so on. Third, social welfare. Employees not only need material and spiritual, but they also need social life, therefore a leader must be smart to make an agenda, or provide social opportunities, to be controlled. For example, a. Break fasting together, b. Healthy Walk, c. Women's Darma Activities, d. Social Institution Visit, f. Family Visits that get a disaster, g. Family invitation, h. Recreation with family, i. Giving groceries to the poor, and so on. Based on the development of this study, it was found that the meaning of the welfare variable was not only identical to the provision of compensation in the form of material, but the cultivation of spiritual and social values towards employees was very necessary. Spirituality and social work are important manifestations, because every employee has an inner life that has a role in improving performance. Some organizations that implement spiritual culture, give recognition that humans have thoughts and spirits, they will try to find meaning and what the purpose of life in work, so they want to interact with other people and become part of society. (Robbins, 2006) Organizations that understand spirituality in the workplace realize that humans have an inner life that continues to grow. it is related to meaningful work that continues in the context of human life. Many organizations always support spiritual culture and understand that humans have minds and souls, always trying to find meaning and purpose for their work, and there is a desire to connect with other workers, and become part of a group. (Robbins, 2006) From the description above, a simple sentence can be made that every employee needs material, spiritual and social. The balance in these three things makes the employee calm, cheerful and happy. If the employee is poor in material, spiritual and social matters, or there is a gap, then in work he is often nervous, not focused and isolated. Therefore a wise leader will quickly take action and provide the right solution. CONCLUSION The conclusion of this study, namely: 1) Leadership style has a positive and significant effect on employee performance. This means that it is important to improve the quality of leadership styles to improve employee performance, therefore a leader must have good managerial skills and active participation will encourage an increase in employee performance effectively; 2) Welfare has a positive and significant effect on employee performance. That is, welfare has an important role to improve employee performance. Providing adequate welfare and seeding spiritual values can lead to increased performance; 3) Leadership and welfare styles have a positive effect on employee performance, meaning that it is important to improve the quality of leadership styles and provide adequate welfare to improve employee performance.If both of these things are implemented properly and correctly, then the improvement in employee performance will be realized properly. 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