<![CDATA[General Background: Employee performance is central to public-sector financial administration, yet Mesuji Regency's Government Agency Performance Accountability System remains in the sufficient category despite six consecutive Unqualified Opinions on regional financial statements. Specific Background: BKAD Mesuji faces concerns related to performance allowance disparities and human resource competence, while 42.22% of employees work in fields that do not correspond to their formal educational backgrounds. Knowledge Gap: Prior research has largely focused on more developed cities or regencies, leaving limited evidence from a newly established regency characterized by medium human development, limited regional revenue, and a developing bureaucracy; inter-regency performance allowance disparity has also received limited attention. Aims: This study examines performance allowances and competence in relation to employee performance through a quantitative explanatory survey of all 42 BKAD Mesuji employees and multiple linear regression analysis. Results: Performance allowances were positively and significantly associated with employee performance (β = 0.345; p = 0.025), while competence also showed a positive significant association (β = 0.499; p = 0.002). Competence therefore carried the larger standardized coefficient. Novelty: The study integrates remuneration and competence within the specific institutional context of Mesuji while incorporating inter-regency allowance disparity as a contextual problem. Implications: The findings support fair and transparent remuneration, systematic competence development, and periodic evaluation aligning workloads, work results, and rewards. Highlights: Remuneration quality shows a positive statistically significant association with work outcomes. Workforce capability records the larger standardized coefficient at β = 0.499. Findings support transparent rewards, periodic evaluation, and continuous human resource development. Keywords: Remuneration, Performance, Competence]]>
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