According to history, during the Neolithic Revolution (Wikipedia), the concept of employment compensation can be traced back to the period between 10,000 BC and 10,000 BC. At that time, around 560 BC, until coins circulated and invented money, it was used for payment (Wikipedia). Money is widely used as a payment of labor. To date, funds continue to be the primary means of interchange between employers and employees. In today's fiercely competitive market, organizations are often confronted with intense competition with domestic and foreign markets.
This article shows the relationship between high salary and employee incentives. In addition to training, job satisfaction, workplace environment, compensation for salary is also one factor that affects the enthusiasm of employees. Motivation There are many theories to help employees improve their work in the workplace. Payment, such as compensation and compensation programs, promotion, leads or enhances the enthusiasm of employees to help their work. There are many theories that explain the impact of compensation on employee motivation. Many researchers refer to the relationship between compensation, compensation, or compensation programs within an organization and promotion and employee incentives. Higher salary increases the motivation of employees in the organization.
Salaries are a factor that affects the incentives of employee organizations. A good salary is a good motivation for employees. Employee motivation and behavior are affected in two ways (Milkovich, Newman & Gerhart 2011). High salary leads employees to motivate their work or to work well from a job and performance perspective. If employees are not able to earn enough salaries, they tend to have poor performance and motivate their work. The actions required to pay the fee are incentives to motivate employees to achieve better performance. This research aims to investigate the relationship between compensation compensation (ie, compensation or compensation system) and promotion of employee incentives in the organization.