The Effect of Compensation and Leadership Style on Turnover Intention with Work Motivation as Intervening Variable at PNM Mekaar Regional Mojokerto

This research investigates the factors affecting turnover intention at PNM Mekaar Regional Mojokerto. Methods of data collection using questionnaires and interviews. We collect data from a sample of 243 respondents. Using the AMOS application, we perform statistical tests using Structural Equation Modeling (SEM). The results reveal that compensation and leadership style positively and significantly influence work motivation; however, they demonstrate a negative and significant influence on turnover intention. Additionally, work motivation does not considerably affect turnover intention. Furthermore, the mediating role of work motivation in the relationship between compensation, leadership style, and turnover intention is nonexistent

This research investigates the factors affecting turnover intention at PNM Mekaar Regional Mojokerto. Methods of data collection using questionnaires and interviews. We collect data from a sample of 243 respondents. Using the AMOS application, we perform statistical tests using Structural Equation Modeling (SEM). The results reveal that compensation and leadership style positively and significantly influence work motivation; however, they demonstrate a negative and significant influence on turnover intention. Additionally, work motivation does not considerably affect turnover intention. Furthermore, the mediating role of work motivation in the relationship between compensation, leadership style, and turnover intention is nonexistent  (PNM, 2023) The table shows that the number of employees leaving PNM Mekaar Regional Mojokerto every year is more than 35%; the most significant number was in 2022, which is 46%. The highest employee turnover is during the 0-6 months work period, above 67%. The graph below shows factors that affect employee turnover at PNM Mekaar Regional Mojokerto. shows that the number of employees who resign from PNM Mekaar Mojokerto is increasing yearly. This data indicates a gap in business phenomena at PNM Mekaar Regional Mojokerto. The company faces a problem with increased employee turnover, which has become a significant concern. As a result, the company must find a solution to reduce the employee turnover rate.  The problem in this research is how to reduce the employee turnover rate? The previous study (Hidayati and Suryadi, 2018) indicates that compensation, leadership style, and work motivation can influence turnover intention. One of the company's solutions is giving reasonable compensation. Providing employees with competitive salaries aligned with their expectations catalyzes enhancing motivation towards achieving work targets and reducing their intention to seek opportunities in other organizations. Artha and Adi (2023) explained that compensation significantly negatively affects turnover intention at PNM Mekaar Regional Madura. Suwatno and Doni (2018) said that giving reasonable compensation to employees will make them feel comfortable with their work and reduce turnover rates. Devi and Gede (2015), Meilano and Nugraheni (2017), Widyawati and Yolanda (2016), Zakaria and Isthofaina (2017), and Ariyanti and I Wayan (2021) conducted a study on the effect of compensation on employee turnover intention. They presented that compensation has a significant negative impact on turnover intention. On the other hand, Ayu and Riri's research (2018) showed that compensation significantly positively impacts turnover intention. However, Fitriani and Nina (2020) and Aamir et al. (2014) showed that compensation has no significant effect on turnover intention. These findings demonstrate the existence of a research gap in previous studies.

INTRODUCTION
Another factor that affects turnover intention is the leadership style. A good leadership style will affect employee performance and decisions in seeking or moving to another company. Employee motivation will increase if leaders care about their employees, so the better the attitude of a leader will reduce the desire for employees to move from the workplace (Puspitasari, 2022). Saklit (2017), Paaisal et al. (2018), Iskandar et al. (2015), and Herawati and Anisa (2021) conducted studies on the effect of leadership style on turnover intention, revealing a significant negative impact of leadership style on turnover intention. However, according to Hidayat et al. (2021), leadership style significantly positively impacts turnover intention. On the other hand,, Paripurna et al. (2017) andManoppo (2020) showed that leadership has no significant effect on turnover intention. These findings indicate the presence of a research gap in prior studies.
In addition, work motivation factors also affect turnover intention. Great work motivation will make employees loyal and want to continue working at the company to reduce turnover intention. (Chandra and Margono, 2021). Conversely, employees who experience lower levels of motivation at work will be more inclined to develop a desire to leave the company. Putrianti (2014), Abidin and Nur (2019), Wardana and Sri (2020), Rahmadianti et al. (2020), and Chandra and Margono (2021) state that work motivation significantly negatively impacts turnover intention. On the other hand, according to Mapasa (2022), work motivation does not considerably impact turnover intention. These previous research findings demonstrate the existence of a research gap in the prior studies.
One of the factors that affect employee motivation is compensation. The amount of compensation will affect employee motivation at work. Employees will be motivated to improve their performance if the compensation is as desired. Mphil et al. (2014), Negash et al. (2014, Haryani et al. (2015), and Mubaroq and Wandy (2017) conducted a study on the effect of compensation on work motivation. They showed that compensation has a significant positive impact on work motivation. On the contrary, Pradita (2017) showed that compensation significantly negatively impacts work motivation. These findings demonstrate the existence of a research gap in previous studies.
Leadership style also influences work motivation. A leader is said to be successful if he can move his employees to achieve company goals and create work motivation in employees. Pradana (2015), Tueno (2018), Cherian and Jacob (2013), Gopal and Chowdhury (2014), and Pradita (2017) conducted studies on the effect of leadership style on work motivation, revealing a significant positive impact of leadership style on work motivation. However, according to Amalia et al. (2016), leadership style does not significantly affect work motivation. These findings indicate the presence of a research gap in prior studies.
In this study, work motivation is an intervening or mediating variable between compensation, leadership style, and turnover intention. Sugiyono (2017) describes intervening variables as variables that affect the indirect relationship between the independent and dependent variables. Work motivation mediates between compensation and leadership style to turnover intention. Consequently, compensation indirectly influences turnover intention, and leadership style also indirectly impacts turnover intention.
Accordingly, this study investigates the impact of compensation, leadership style, and work motivation on turnover intention at PNM Mekaar Regional Mojokerto.

LITERATURE REVIEW Turnover Intention
Understanding turnover intention is crucial for organizations. Turnover intention is employees' desire to leave and enter within a certain period, meaning that there are employees who enter through the hiring process and there are employees who go for a particular reason, causing differences in the number of employees (Kasmir, 2016). According to Kaswan (2017), turnover intention occurs when employees stop being members and leave the organization. In summary, turnover intention is a decision or tendency individual to resign from a company caused by various factors.
Because turnover intention is critical, companies must emphasize minimizing turnover intention (Parwita et al., 2019). Turnover intention is crucial because it causes the company to have a shortage of employees, so productivity decreases and impacts the quality of the company's business. The high rate of turnover will endanger the sustainability of the company and can reduce the productivity of the company (Joarder et al., 2011). Mobley et al. (2011) described the factors that cause turnover intention: a. Individual factors include age, work period, gender, education, and marital status. b. Job satisfaction covers several operational aspects, such as salary satisfaction, supervision, promotion, and the company's work situation. c. Organizational commitment. Lack of organizational commitment can lead satisfied employees to consider resigning.

Compensation
Compensation can influence turnover intention. Hasibuan (2017) explained that compensation is all income, either money or goods, directly or indirectly, employees receive that as a fee for their performance to the company. Additionally, Marwansyah (2016) compensation refers to the rewards provided directly or indirectly, either financially or non-financially, for the services rendered that are fair and appropriate. Wibowo (2016) explained compensation refers to the various components organizations provide as remuneration for the services rendered by employees during their employment. Therefore, compensation denotes the income received by employees for the performance they have generated for the company, whether it is in the form of monetary or non-monetary rewards. Affandi (2018) described the indicators for measuring compensation as follows: a. Salary is a fee from the company for the service of employees at the beginning or end of the month. b. Incentives are additional fees beyond the salary given to employees to motivate them to perform better. c. Allowances represent additional income beyond the salary. These allowances include benefits such as insurance, pension plans, and other forms of assistance. d. Facilities are tools that facilitate work performance, including vehicles, computers, cell phones, and other necessary equipment. Compensation and work motivation are closely connected because employees will be motivated to do their best if the compensation meets expectations. Mphil et al. (2014), Negash et al. (2014), Haryani et al. (2015), and Mubaroq and Wandy (2017) demonstrated that compensation positively affects work motivation. Accordingly, we present the hypothesis:

H 1 : Compensation has a Positive Effect on Work Motivation
There is a close correlation between compensation and turnover intention. Employees who get good and proper compensation will stay in a company and reduce their desire to look for work in other companies. It causes many researchers to study this subject. Devi and Gede (2015), Meilano and Nugraheni (2017), Widyawati and Yolanda (2016), Zakaria and Isthofaina (2017), and Ariyanti and I Wayan (2021) proved that compensation has a significant negative effect on turnover intention. Therefore, we propose the hypothesis: H 3 : Compensation has a Negative Effect on Turnover Intention

Leadership Style
Leadership style can have a significant impact on turnover intention. Kartono (2016) described leadership style as a strategy of action that leaders use to direct their employees by combining philosophies, skills, characters, and attitudes. Likewise, Hidayat (2018) said leadership style is a behavioral framework leaders use to guide and enhance employee performance, contributing to accomplishing organizational goals and promoting high employee productivity. Thoha (2013) explained leadership style as an ethical behavior that is applied by leaders when influencing the behavior of others. Thus, leadership style is an attitude and rule that leaders use to direct the behavior or performance of their employees to achieve organizational goals. The leadership style indicators are (Kartono, 2016): a. Ability to make decisions b. Ability to motivate c. Ability to communicate d. Ability to control employees e. Responsibility f. Ability to control emotions Leadership style significantly influences work motivation. Because the success of the leader in motivating his employees to achieve company goals depends on how he creates work motivation in his employees. Pradana (2015), Tueno (2018), Cherian and Jacob (2013), Gopal and Chowdhury (2014), and Pradita (2017) proved that leadership style positively affects work motivation. Accordingly, we present the hypothesis.

H 2 : Leadership Style has a Positive Effect on Work Motivation
Leadership style is closely related to turnover intention. How a leader directs their employees significantly influences the level of turnover intention within a company. One contributing factor to employee resignations is the absence of a positive and cooperative relationship between leaders and employees. Saklit (2017), Paaisal et al. (2018), Iskandar et al. (2015), and Herawati and Anisa (2021) demonstrate that leadership style exhibits a significant negative effect on turnover intention. Therefore, we propose the hypothesis: H 4 : Leadership Style has a Negative Effect on Turnover Intention

Work Motivation
Work motivation can impact turnover intention.. Hasibuan (2017) explained motivation as encouraging a person's passion and enthusiasm so that they are willing to work together and work effectively and with integrity in their efforts to get satisfaction. Afandi (2018) defined motivation as a desire to be inspired, driven, and enthusiastic to conduct activities sincerely and confidently to get quality results. Accordingly, passionate employees perceive work motivation as a state and force that steers their focus toward attaining company targets. Hasibuan (2017) explains the purpose of motivation: a. Increase employee morale and job satisfaction b. Increasing employee work productivity c. Maintaining the stability of the company's employees d. Increase employee discipline e. Streamlining the procurement of employees f. Creating a good working atmosphere and relationship g. Increasing loyalty, creativity, and employee participation h. Increasing the level of employee prosperity i. Increasing employee responsibility for their duties j. Increase the efficiency of the use of tools and staple Employees with high motivation experience job satisfaction, exhibit high performance, and possess a strong desire to succeed. Such factors significantly influence the employee's decision to remain with the company. Putrianti (2014), Abidin (2019), Wardana and Sri (2020), and Rahmadianti et al. (2020) indicate that work motivation has a significant negative effect on turnover intention. Therefore, the hypothesis in this study is as follows:

H 5 : Work Motivation has a Negative Effect on Turnover Intention
The framework is an explanation of the research concept that explains the relationship between one and another opinion based on the problem to be studied. Therefore the framework in this study can be described as follows.

METHODOLOGY
This study uses quantitative methods. Sutama (2016) explained that quantitative research relates to social surveys, including interviews and questionnaires, experiments, observations, content analysis, formal statistical analysis, etc. The population in this study was 619 employees of PNM Mekaar Regional Mojokerto. If the population is large enough, the researcher can't analyze all of it. Due to limitations, the researcher can take samples from that population (Sugiyono, 2017). To determine the number of samples, we use Slovin Method.
Because there are several positions, the compensation received by employees is also different. Therefore, the sampling technique used is Proportionate Stratified Sampling. According to Sugiyono (2017), Proportionate Stratified Sampling is a sampling technique when the population has heterogeneous and stratified proportionally. The data collection methods in this study are interviews and digital questionnaires using Google Forms. Interviews were conducted with related officials to increase the validity of the research. The questionnaire data processing method uses the Structural Equation Model (SEM) with AMOS software.
Sudaryono (2017) explained that SEM could estimate the relationship between multiple relationships and provide an overview of the relationship between manifest variables and latent constructs. SEM is a combination of factor analysis and regression analysis (Santoso, 2018).

RESEARCH RESULT Validity and Reliability Test
This study will analyze data with Structural Equation Modeling (SEM) using IBM SPSS AMOS software version 24. In data collection methods, research instruments must meet valid and reliable requirements. Validity and reliability tests are the beginning stages in the research to determine how far the study can be accountable.
Validity test measurement by comparing r count with r table . The criteria for determining whether the indicators tested are valid or not are: If r count > 0,126 the statement indicator is valid. If r count < 0,126 the statement indicator is invalid.
The test results obtained through the utilization of the AMOS software indicate the following:

Normality and Outlier Test
After fulfilling the validity and reliability test, analyze the SEM assumption test to determine whether the selected model was feasible and has accuracy, consistency, and no bias. The requirements in the SEM model have many samples, the data follows a normal distribution., and there are no outliers.
The number of samples in the SEM model analysis is adequate if the number is between 100-400. The number of samples in this study is 243. So that it meets the assumption of the number of samples. The next step is to test the normality assumption. The data has a normal distribution if the critical ratio (cr) skewness and kurtosis values range from ±2,58.
Based on the test results using AMOS software obtained: By observing the table, we can ascertain that the cr values for skewness and kurtosis fall within the range of ±2.58, concluding that the data exhibits a univariate normal distribution.
An outlier test was conducted by comparing the Mahalanobis distance (d2) statistic with χ 2 value. The calculation of the χ 2 value was conducted using Ms. Excel with the formula CHIINV(p;df) = CHIINV(0.001;27). The χ 2 value is 55.476. The criteria for detecting the presence or absence of multivariate outliers are: If the value of d 2 > χ 2 is detected, there is a multivariate outlier. If the value of d 2 < χ 2 is detected, there is no multivariate outlier.
Based on the test results using AMOS software obtained:

SEM (Structural Equation Modelling)Analysis
To measure the degree of suitability between the hypothetical model and the data in this study, it must meet the Goodness of Fit criteria. The suitability index criteria include chi-square, CMIN/DF (The Minimum Sample Discrepancy Function divided by Degree of Freedom), GFI (Goodness of Fit Index), RMSEA (The Root Mean Square Error of Approximation), AGFI (Adjusted Goodness of Fit Index), TLI (Tucker Lewis Index), CFI (Comparative Fit Index).
The results of the construct test in this study are as follows.

DISCUSSION
After concluding that the data model is good, we do a hypothesis test by looking at the Critical Ratio (CR) value on the regression weight obtained from the AMOS software output. Table 8.

Regression Parameter Estimation Results
The table shows the results of the estimated regression parameters, which will be used as a reference in hypothesis testing. The criteria of this test is to reject H 0 if the critical ratio (CR) ≥ 1.967 or the p-value ≤ 0.05. An explanation of the results of the hypothesis test is as follows: 1. The effect of compensation on work motivation Table 8 shows that CR (3.996) ≥ 1.967 and -value (0.000) ≤ 0.05. The estimated value is 0,488; this indicates that compensation has a significant positive effect on work motivation. Previous research (Mphil et al., 2014;Negash et al., 2014;Haryani et al., 2015;and Mubaroq and Wandy, 2017) supports this study by demonstrating that compensation significantly positively affects work motivation. That statement proves that if the compensation obtained is better, employees will be more motivated to work to achieve company goals. Furthermore, the Mekaar Regional Manager reinforced the findings of this study by expressing that enhancing benefits, incentives, and work facilities such as vehicles and communication tools would increase employees' motivation to work. 2. The effect of leadership style on work motivation Table 8 shows that CR (11,487) ≥ 1.967 and value (0.000) ≤ 0.05. The estimated value is 0,633; this shows that leadership style significantly affects work motivation. The finding of this study is corroborated by various research studies (Pradana, 2015;Tueno, 2018;Cherian and Jacob, 2013;Gopal and Chowdhury, 2014;and Pradita, 2017), which have demonstrated a significant positive impact of leadership style on work motivation. Moreover, the statement made by the Mekaar Regional Manager further strengthens the outcomes of this study, affirming that leaders who possess effective communication skills in conveying their opinions to employees can foster a sense of responsibility among employees, thus aiding in the accomplishment of company targets. 3. The effect of compensation on turnover intention Table 8 shows that CR (2,334) ≥ 1.967 and value (0.020) ≤ 0.05. The estimated value is (-0,530), indicating that compensation significantly negatively affects turnover intention. Compensation significantly decreases turnover intention, as supported by several studies (Devi and Gede, 2015;Meilano and Nugraheni, 2017;Widyawati and Yolanda, 2016;Zakaria and Isthofaina, 2017;and Ariyanti and I Wayan, 2021) demonstrating its negative impact. Interviews with the Supporting Manager responsible for HR management revealed that employees remain committed to the company, aiming to enhance their performance and attain better positions, leading to increased compensation. This statement bolsters the robustness of the study's findings. 4. The effect of leadership style on turnover intention Table 8 shows that CR (2,323) ≥ 1.967 and value (0.020) ≤ 0.05. The estimated value is (-0,434); this indicates that leadership style significantly negatively affects turnover intention. Previous research (Saklit, 2017;Paaisal et al., 2018;Iskandar et al., 2015;and Herawati and Anisa, 2021) supports this study by demonstrating that leadership style significantly negatively affects turnover intention. Moreover, the Supporting Manager's statement further strengthens this study's outcomes, affirming a good leader always pays attention to his employees. When the employee's motivation decreases, leaders can support and motivate their employees,s thus make them feel comfortable and longer stay in the company. 5. The effect of work motivation on turnover intention Table 8 shows that CR (0,862) < 1.967 and value (0.389) > 0.05, indicates that work motivation has no significant effect on turnover intention. Work motivation cannot mediate the compensation and leadership style variable on the turnover intention variable. Or it could mean that in this study, work motivation cannot change the relationship between compensation and leadership style on turnover intention. This study is in line with research by Mapasa (2022), which showed that work motivation has no significant effect on turnover intention. This study proves that employees' work motivation is not able to reduce turnover intention in the company. This is because Generation Z constitutes the majority of the average respondents. A survey by The Delloite Global (2022) proved that the millennials and Z generation tend to last a maximum of 2 years in one company. The characteristics of the Z generation are that they get bored quickly and desire to find another job. Low commitment and loyalty to work are evident in Generation Z. (Oktariani et al., 2017). Moreover, the statement made by the Mekaar Regional Manager and Supporting Manager further strengthens the outcomes of this study, affirming that turnover intention remains high even though the work motivation of the employees is excellent. Work comfort and career development they get does not make them stay in this company.

CONCLUSIONS AND RECOMMENDATIONS
Based on the results of this study and data analysis conducted by researchers using existing theories and the discussion previously described, the conclusions are: a. Compensation has a significantly positive effect on work motivation at PNM Mekaar Regional Mojokerto. b. Leadership style significantly positively affects work motivation at PNM Mekaar Regional Mojokerto. c. Compensation significantly negatively affects turnover intention at PNM Mekaar Regional Mojokerto. d. Leadership style significantly negatively affects turnover intention at PNM Mekaar Regional Mojokerto. e. Work motivation does not significantly affect turnover intention at PNM Mekaar Regional Mojokerto. Work motivation as an intervening variable cannot mediate between the independent and dependent variables. This study offers considerations for companies in formulating strategies to decrease the rate of turnover intention. Thus, we provide the following suggestions: a. Compensation provided by the company affects employee motivation and turnover intention in the company. It is recommended for the management of PNM to offer salary increases according to employee performance and provide benefits or incentives to reduce turnover intention. Furthermore, management can provide career development for promotion following employee competencies and achievements. b. Attitude and leadership style affects employee motivation and turnover intention. PNM must conduct basic leadership training for the level of unit leaders so it will create the character of a responsible leader. Additionally, management can invite motivators to improve the integrity of the leader. c. Work motivation cannot influence turnover intention at PNM Mekaar Regional Mojokerto. Therefore, PNM management has the opportunity to evaluate employee motivation. Management can provide employee reward programs such as overseas tours or religious tours. In addition, the scholarship program for permanent employees can also increase employee motivation at work. This study offers new insights into efforts to reduce turnover intention. Data collection involved questionnaire completion by respondents and direct interviews with relevant officials to enrich the data analysis. By combining these methods, we expect to strengthen the credibility of this study. Given that the interviewed officials deeply understand the research objectives, we anticipate the research results align with the research area's conditions. As a result, it will provide realistic suggestions for addressing the existing problems.