This study aims to analyze the effects of work motivation and job satisfaction on additional employee income (TPP) and employee performance, as well as to examine the mediating role of TPP at the Regional Secretariat of Southeast Sulawesi Province. A quantitative research approach was employed using Partial Least Squares–Structural Equation Modeling (PLS-SEM) analyzed through SmartPLS 4 software. The sample consisted of 87 employees selected using proportionate stratified random sampling. The findings indicate that work motivation and job satisfaction have a positive and significant effect on additional employee income. Furthermore, both work motivation and job satisfaction also significantly influence employee performance. However, additional employee income does not have a direct effect on employee performance and does not mediate the relationship between work motivation or job satisfaction and employee performance. These results suggest that the implementation of TPP remains predominantly administrative and structurally based, limiting its effectiveness as a performance-based incentive mechanism within public sector organizations.
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