<![CDATA[This study aims to understand the role of reward and punishment systems in improving production employee performance at UD. Niagara Garment Surabaya by positioning work motivation and job satisfaction as mediating factors in this relationship. This study uses a qualitative approach with data collection techniques through field observation, in-depth interviews, and documentation. The research informants consisted of production employees and management. Data analysis was conducted through data reduction, data presentation, and drawing conclusions to understand the phenomenon as a whole. The results showed that providing rewards, such as bonuses, loyalty allowances, and additional incentives, can increase employee morale, a sense of appreciation, and job satisfaction. Meanwhile, punishment serves as a means of fostering work discipline, but its inconsistent application creates perceptions of unfairness among employees. Work motivation and job satisfaction have been proven to be important factors that strengthen performance improvements, demonstrated by increased responsibility, discipline, and production quality.]]>
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