<![CDATA[This study examines the effects of digital leadership and salary satisfaction on employee performance in the banking industry in Bandung City, Indonesia, amid rapid digital transformation and increasing competition from financial technology (fintech) companies. As banking institutions continue to adopt digital technologies, understanding the factors associated with employee performance has become increasingly important. This study employed a quantitative approach using a survey method. Data were collected through an online questionnaire involving 56 permanent banking employees selected through purposive sampling. The data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS 4. The analysis included assessments of convergent validity, discriminant validity, construct reliability, and structural relationships through a bootstrapping procedure involving 5,000 resamples. The findings indicate that digital leadership does not have a statistically significant effect on employee performance, suggesting that digital leadership practices may not yet translate into measurable performance improvements in the banking context. Conversely, salary satisfaction has a significant effect on employee performance (p = 0.002). The model explains 36.7% of the variance in employee performance (R² = 0.367). These findings highlight the importance of employees' perceptions of compensation alongside organizational efforts to strengthen digital leadership. From a managerial perspective, banking institutions should develop digital leadership competencies while maintaining fair, transparent, and competitive compensation practices to support employee performance during digital transformation.]]>
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