Analyze the Impact of the Occupational Health and Safety (OHS) Policy and Compliance with OHS Procedures on Employee's Performance through Job Satisfaction as the Intervening Variable

Abstract

With job satisfaction serving as a mediating variable, this study looks at how Occupational Health and Safety (OHS) rules and adherence to OHS procedures affect worker performance at PT XYZ in Batam. Despite the implementation of formal safety systems, observations revealed gaps in employee compliance with procedures such as PPE use and hazard handling. The data gathered was subjected to a quantitative methodology from 99 production employees through questionnaires. Partial Least Squares Structural Equation Modeling (PLS-SEM) using SmartPLS 3.0 was used for the analysis. The findings show that employee performance is greatly impacted by OHS policy and compliance, both directly and indirectly through job satisfaction. The association between OHS variables and performance Is efficiently mediated by job satisfaction. These results imply that workplace performance and safety can be improved by strengthening employee compliance and policy enforcement.