The Effect of Non-Financial Rewards and Innovative Recognition on Turnover Intention With Job Satisfaction as A Mediating Variable Among Generation Z Employees in Construction Service Companies in Denpasar City
Published:
2026-09-14Abstract
The high turnover intention among Generation Z employees is a challenge for construction service companies because the human resource management approach that focuses on financial compensation has not fully met this generation's needs for recognition, self-development, and work meaning. This study aims to analyze the effect of non-financial rewards and innovative recognition on turnover intention with job satisfaction as a mediating variable in Generation Z employees in construction service companies in Denpasar City. The study used a quantitative approach with a survey method of 112 Generation Z employees in five construction service companies that are members of Gapeksindo in Denpasar City. Data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The results showed that non-financial rewards had a negative and significant effect on turnover intention (β = -0.480; p < 0.001), while innovative recognition also had a negative and significant effect on turnover intention (β = -0.249; p = 0.038). Non-financial rewards (β = 0.522; p < 0.001) and innovative recognition (β = 0.293; p < 0.001) had a positive and significant effect on job satisfaction. However, job satisfaction did not significantly influence turnover intention (β = -0.195; p = 0.203), thus not mediating the relationship between non-financial rewards and innovative recognition with turnover intention.
Keywords:
Non-Financial Rewards Innovative Recognition Job Satisfaction Turnover Intention Generation Z Construction ServicesReferences
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