The Effect of Leadership Style and Occupational Health and Safety (OHS) on Employee Performance at PT. Soeloeng Laoet, Sinah Kasih Village, Sei Rampah Subdistrict, Serdang Bedagai Regency

Abstract

The problems addressed in this study are based on the suboptimal leadership style in involving employees in the decision-making process, the continued presence of employees working without using Personal Protective Equipment (PPE), and the decline in employee performance due to minor workplace injuries and fatigue. This study employed a quantitative research method with an associative approach. The population consisted of 376 employees, while the sample size was determined using the Slovin formula, resulting in 40 respondents. Data were collected through questionnaires, observations, and documentation. The data were analyzed using SPSS version 17, including validity tests, reliability tests, classical assumption tests, multiple linear regression analysis, partial tests (t-test), simultaneous tests (F-test), and the coefficient of determination test (R²). The results showed that, partially, Leadership Style has a positive and significant effect on Employee Performance, as evidenced by a t-value of 3.122 and a significance value of 0.003 < 0.05. The Occupational Health and Safety (OHS) variable also has a positive and significant effect on Employee Performance, with a t-value of 2.803 and a significance value of 0.008 < 0.05. Simultaneously, Leadership Style and Occupational Health and Safety (OHS) have a positive and significant effect on Employee Performance, with an F-value of 38.848 and a significance value of 0.000 < 0.05. The results of the multiple linear regression analysis produced the equation Y = 3.820 + 0.515X₁ + 0.406X₂, while the coefficient of determination (R Square) value of 0.677 indicates that 67.7% of the variation in Employee Performance can be explained by the Leadership Style and Occupational Health and Safety (OHS) variables, while the remaining 32.3% is influenced by other factors outside this study. The research model also met the classical assumption tests, indicating its suitability for regression analysis.