The Effect of Internal Communication and Work Motivation on Employee Job Satisfaction with Non-Material Appreciation as a Mediator at PT Drimhos Digital

This study aims to examine (1) the impact of Internal Communication on Job Satisfaction, (2) the impact of Work Motivation on Job Satisfaction, (3) the impact of Internal Communication on Non-Material Appreciation, (4) the impact of Work Motivation on Non-Material Appreciation, (5) the impact of Non-Material Appreciation on Job Satisfaction, (6) the role of Non-Material Appreciation in mediating the impact of Internal Communication on Job Satisfaction, and (7) the role of Non-Material Appreciation in mediating the impact of Work Motivation on Job Satisfaction at Drimhos Digital. The research methodology employed is a quantitative approach with an explanatory design. The study was conducted at Drimhos Digital in 2025. The research population consisted of 113 employees, with a sample of 113 respondents obtained through a census or total sampling technique. Data were collected via closed questionnaires based on a Likert scale, which were tested for validity and reliability using convergent validity and composite reliability through SmartPLS software. Data analysis was conducted using the Structural Equation Modeling-Partial Least Square (SEM-PLS) technique, encompassing the evaluation of the outer model, inner model, and path analysis. The research findings indicate that (1) Internal Communication has a positive but non-significant effect on Job Satisfaction with a p-value of 0.086, (2) Work Motivation has a positive and significant effect on Job Satisfaction with a p-value of 0.000, (3) Internal Communication has a positive but non-significant effect on Non-Material Appreciation with a p-value of 0.132, (4) Work Motivation has a positive and significant effect on Non-Material Appreciation with a p-value of 0.000, (5) Non-Material Appreciation has a negative and significant effect on Job Satisfaction with a p-value of 0.014, (6) Non-Material Appreciation has a negative and non-significant effect in mediating the impact of Internal Communication on Job Satisfaction with a p-value of 0.282, and (7) Non-Material Appreciation mediates the impact of Work Motivation on Job Satisfaction negatively and significantly with a p-value of 0.012. Based on these results, it is recommended that the organization recalibrate its reward system to prevent it from being perceived as an additional burden (extra-role), which could decrease employee job satisfaction.