Labor productivity is a crucial factor in achieving corporate targets; therefore, effective human resource management—specifically through the implementation of reward and punishment systems—is essential. This study aims to analyze the impact of rewards and punishments on labor productivity, with work motivation serving as a moderating variable, within the Salu Lumu Division of PT Manakarra Unggul Lestari. A quantitative approach was employed, utilizing data collected via questionnaires distributed to 76 workers. The data were analyzed using the Partial Least Squares-Structural Equation Modeling (PLS-SEM) method with the aid of SmartPLS 4.0 software. The results indicate that rewards and punishments have a positive and significant effect on labor productivity. Work motivation was also found to moderate the relationship between rewards/punishments and labor productivity; specifically, it strengthens the impact of rewards on productivity while weakening the impact of punishments. The study implies that implementing fair and proportional reward and punishment systems, supported by high work motivation, can optimally enhance labor productivity in the plantation sector.
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