P-ISSN: 2808-0467
E-ISSN: 2808-5051
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1627
THE EFFECT OF LEADERSHIP STYLE AND EMPLOYMENT
POLICY ON EMPLOYEE PRODUCTIVITY: A CASE STUDY
D. Andry Effendy
1
, Faisal Santiago
1
Faculty of Law, Universitas Borobudur, Jakarta, Indonesia
*
d_andryeffendy@yahoo.com
PAPER INFO ABSTRACT
Received:
November 2022
Revised:
November 2022
Approved:
November 2022
Background: Each individual has their own leadership style in managing
and determining their employment policies which affect employee
productivity.
Aim: This study aims to determine the effect of leadership style and
employment policy on employee productivity.
Method: This study uses quantitative research methods while data collection
techniques are carried out through questionnaires with a sample of 30 as
respondents who were selected using random sampling techniques and
analyzed using multiple linear regression.
Findings: The results showed that the leadership style and employment
policy had a significant effect on the productivity of Syntax Corporation
Indonesia employees. The results of the t test analysis obtained a leadership
style t significance value of 0.003 and the employment policy t significance
value of 0.002 was smaller than 0.5 so that it was proven that the leadership
style variable (X1) and the employment policy variable (X2) had a significant
effect on employee productivity (Y).
KEYWORDS
leadership style, employment policy, employee productivity
© The author(s). This work is distributed under the terms of the Creative
Commons Attribution-ShareAlike 4.0 International License (CC BY-SA 4.0)
INTRODUCTION
Basically every human being has a leadership spirit and the potential to become a leader
both for himself and others. However, as social beings with regard to crowds, those who are
elected as leaders need to pay attention to leadership qualities that are oriented towards
common interests and are not dominant. In general, leadership is one of the important aspects
that humans have to interact with other humans, or in other words, certain skills or skills that a
person has to control and influence many people to achieve certain goals for the common good
(Margianto, 2020).
Each individual has his own leadership style in managing the company, butleadership is
closely related to the work productivity of employees, both government and private employees
in realizing productive performance through activities driven by a leader who acts as an actor
in producing good work productivity. In other words, the achievement of good work
productivity is due to the efforts made by the leader to move employees in a work environment.
This means that the leader who moves employees is a very important aspect compared to the
aspects of technology and economists (Sijabat, 2016). Meanwhile, according to Jack Welch,
CEO of General Electric Company stated that productivity comes from each individual by
making everyone part of every step the company takes and allowing everyone to have an
opinion and play a role in the success of a company, the productivity obtained will be doubled
(Krismaningsih, 2009).
The Effect of Leadership Style and Employment Policy on Employee Productivity: A Case Study
1628 Interdisciplinary Social Studies, 2(2), Nov 2022
In addition, companies still have to follow the employment policy set by the government.
The government regulates employment in Act No. 13 of 2003. In the context of labor
development, the government sets policies and prepares labor planning on an ongoing basis
which includes macro workforce planning and micro workforce planning and is prepared on
the basis of employment information which includes, among others, population and labor, job
opportunities, job training including work competence, labor productivity, industrial relations,
working environment conditions, wages and labor welfare and labor social security
(Disnakertrans Kab. Lombok Timur, 2019).
Syntax Corporation is a company engaged in the field of educational services consultants.
This company was built by a young innovator, creator, conceptor, can also be said to be a
business expert who deliberately founded this company starting from his anxiety related to
future business instincts (Adnan, 2018). The company is located on Jl. Sultan Ageng Tirtayasa
No.12, Kedungjaya, Kedawung District, Cirebon Regency, West Java 45611. According to
researchers' observations, Syntax Corporation Indonesia follows the government's policy on
employment by providing job opportunities to thousands of scientific authors and paying
attention to labor welfare and social security in the form of wages and bonuses.
Based on the background of these problems, researchers are interested in conducting a
study with the title "The Influence of Leadership Style and Employment Policy on Employee
Productivity". Then, the discussion in this article will be tested using multiple linear regression
with the IBM SPSS program to answer the problem with relevance and validity testing.
Leadership Style
Leadership Style is a behavioral norm used by a person at a time when the person is trying
to influence the behavior of others (Thoha, 2013). Kartono (2002) explains that "leadership
style is a way of working and behaving the leader in guiding his subordinates to do something".
So leadership style is a trait and behavior of the leader that is applied to his subordinates to
guide his subordinates in carrying out work. According to Goetsch and Davis, leadership style
is the ability to raise the spirit of others to be willing and have total responsibility for efforts to
achieve or exceed organizational goals (Rivai, 2009).
Employment Policy
Indonesia's readiness to face the challenges of globalization must be prepared by internal
strengthening, the quality of Human Resources (HR) that have global competitiveness must be
improved (Fadli, 2014). Human resources in the form of labor have a role that greatly
determines the life and death of a company. If human resources are morally good, disciplined,
loyal and productive, the company can live a good development life (Ardana et al., 2012).
Labor is defined as any person who is able to do work that produces goods and / or services
that are useful for himself or society in general. The employment policy is regulated in Law
No. 13 of 2003, the regulation also regulates foreign workers working in Indonesia. An
important requirement that foreigners working in Indonesia must have is to have a work visa.
A simple grouping of workers you can divide into three groups. The grouping is carried out
based on the qualifications, abilities, and skills possessed by the worker (Disnakertrans
Provinsi Banten, 2020).
The Effect of Leadership Style and Employment Policy on Employee Productivity: A Case Study
1629 Interdisciplinary Social Studies, 2(2), Nov 2022
Homogeneous
Population
Samples
Representing
Population
Employee Productivity
According to Tohardi (2017), work productivity is a mental attitude. A mental attitude that
is always looking for improvement towards what has been there. A belief that one can do a
better job today than yesterday and tomorrow better than today. Meanwhile, Sinungan (2018)
stated that employee work productivity is the ability of a person or group of people to produce
goods and services within a certain time that has been determined or according to the plan. To
measure an employee's work productivity, an indicator is needed according to Sutrisno (2010)
as follows:
1) The ability of employees to be professionalism at work. Employees are equipped with
the skills to be the power in completing assigned tasks;
2) Improve the results achieved Determined to improve the results achieved. This effort is
useful for increasing the company's work productivity and increasing the quantity of
results in work;
3) Work spirit Strive to be better than yesterday and improve work performance. Passion
is able to make employees to evaluate from the previous day;
4) Self-development Self-development is always carried out to improve work results with
their own abilities. Through self-development steps an employee will find challenges
and expectations. The challenges that occur every employee will create a motivation to
compete in a healthy manner. So hope will have the effect of having an employee's
desire to improve ability;
5) Quality Strives to improve the quality of good and quality from the previous one.
Improving quality is beneficial to improve the best results for the company and the
effect of which the company's productivity increases; and
6) Efficiency Compares the resources used with what it achieves during the course of the
work process.
METHOD
This research uses quantitative research methods. Quantitative research method is a
scientific method based on the philosophy of logical positivism which is operated using rules
regarding logic, truth, law and prediction (Danim, 2002). The population in this study were
employees of Syntax Corporation Indonesia. This research took 30 samples from employees
as respondents using random sampling techniques and analyzed using multiple linear
regression.
The random sampling technique is the sampling of members of the population carried out
at a time without regard to the strata present in the population. This method is done if members
of the population are considered homogeneous (Garaika & Darmanah, 2002). This technique
can be described as follows:
Figure 1. Random Sampling
The Effect of Leadership Style and Employment Policy on Employee Productivity: A Case Study
1630 Interdisciplinary Social Studies, 2(2), Nov 2022
Therefore, it allows researchers to obtain respondents according to the number produced.
Meanwhile, the data collection of this study used questionnaires in the form of Google Docs
which were distributed to several social media platforms. Meanwhile, the instrument testing in
this study used validity and reliability tests using IBM SPSS and showed valid results.
RESULTS AND DISCUSSION
Reliability Test
Reliability of a tool for measuring a questionnaire that is an indicator of a variable or
construct. A questionnaire is said to be reliable or reliable if a person's answer to a statement
is consistent or stable over time (Ghozali, 2018). Measuring instruments are said to be reliable
if they produce the same results even though measurements are taken many times (Sugiono &
Wahyu, 2020).
Table 1. Reliability Test
No.
Variable
Cronbach Alpha
Information
1
Leadership Style (X
1
)
0.754
Reliable
2
Employment Policy (X
2
)
Reliable
3
Employee Productivity (Y)
Reliable
Validity Test
Validity test is the similarity of data reported by researchers with data obtained directly
that occurs in research subjects, validity tests are used to measure the validity of a questionnaire
(Sugiyono, 2019). The validity test is carried out by calculating the correlation between the
score of each item and the total score so that the Pearson Correlation value is obtained. Validity
test results can be seen in table 2
Table 2. Validity Test
Instruments
Pearson Correlation
Sig. (2- tailed)
Information
X1.
1
0.368
0.003
Valid
X1.
2
0.370
0.002
Valid
X1.
3
0.423
0.000
Valid
X1.
4
0.363
0.002
Valid
X1.
5
0.407
0.001
Valid
X
2.1
0.375
0.010
Valid
X
2.2
0.369
0.004
Valid
X
2.3
0.433
0.000
Valid
Y
1
0.388
0.000
Valid
Y
2
0.439
0.002
Valid
Y
3
0.384
0.002
Valid
Based on the data in table 2 it can be seen that all instruments have pearson correlation
values greater than r
table
= 0. 361 (N=30) and the value of Sig. (2-tailed) correlation for all items
is less than 0.05 so that it can be inferred the entire item statement is declared valid.
The Effect of Leadership Style and Employment Policy on Employee Productivity: A Case Study
1631 Interdisciplinary Social Studies, 2(2), Nov 2022
To test the hypothesis that leadership style (X1) affects employee productivity (Y) using
the t-test. The results of the t test analysis obtained a work discipline t significance value of
0.003 smaller than 0.5, so it was proven that the leadership style variable (X
1
) had a significant
positive effect on employee productivity (Y). Thus the hypothesis is statistically accepted.
Meanwhile, to test the hypothesis that states that employment policy (X
2
) affects employee
productivity (Y) using the t test. The results of the t test analysis obtained a work motivation t
significance value of 0.002 smaller than 0.5, so it was proven that the work motivation variable
(X
2
) had a significant effect on employee performance (Y). Thus, the second hypothesis is
statistically accepted.
CONCLUSION
Basically every human being has a leadership spirit and the potential to become a leader
both for himself and others. Each individual has their own leadership style in managing and
setting their employment policies which affect employee productivity. The results showed that
leadership style and employment policy had a significant effect on the productivity of Syntax
Corporation Indonesia employees. The results of the t test analysis obtained a leadership style
t significance value of 0.00 3 and obtained a significance value of employment policy t of 0.00
2 smaller than 0.5 so that it was proven that the leadership style variable (X
1
) and the
employment policy variable (X
2
) has a significant effect on the employee's productivity (Y).
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