Corry Yohana
Directorate General of Establishment and Development of Transmigration Area

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The Effect of Transformational Leadership, Work Environment, and Compensation on Employee Engagement Through Job Satisfaction at the Directorate General of Transmigration Area Construction and Development Lia Alisiyah; Corry Yohana; Christian Wiradendi Wolor
Enrichment: Journal of Multidisciplinary Research and Development Vol. 4 No. 5 (2026): Enrichment: Journal of Multidisciplinary Research and Development
Publisher : International Journal Labs

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.55324/enrichment.v4i5.765

Abstract

This study aimed to examine the effects of transformational leadership, work environment, and compensation on employee engagement, both directly and indirectly through job satisfaction as a mediating variable, among employees of the Directorate General of Transmigration Area Construction and Development (Ditjen PPKTrans) following its institutional restructuring in 2024. A quantitative approach was employed using Partial Least Squares Structural Equation Modeling (PLS-SEM), with data collected from 132 respondents selected through stratified random sampling based on the Krejcie and Morgan sample size table. The measurement model demonstrated that all indicators were valid (outer loading > 0.70) and reliable (Average Variance Extracted [AVE] > 0.50; Cronbach’s alpha and composite reliability > 0.70). The structural model explained 64.0% of the variance in job satisfaction and 64.7% of the variance in employee engagement. The results showed that transformational leadership, work environment, and compensation each had positive and significant direct effects on both job satisfaction and employee engagement, while job satisfaction also had a positive and significant effect on employee engagement. Furthermore, job satisfaction partially mediated the effects of transformational leadership, work environment, and compensation on employee engagement. These findings indicated that strengthening leadership quality, improving work environment conditions, and optimizing compensation systems, accompanied by enhanced job satisfaction, were essential for sustaining employee engagement amid post-restructuring organizational changes in the public sector.