The Impact Of Job Rotation And Employee Engagement On Employee Performance: Evidence From The Banking Sector

Abstract

This study aims to analyze the effect of job rotation and employee engagement on employee performance in the banking industry. The sample consisted of 50 employees selected using purposive sampling. Data were collected through a Likert-scale questionnaire and analyzed using multiple linear regression with SPSS version 26. Descriptive statistics were used to describe variable profiles, while classical assumption tests included the Kolmogorov–Smirnov normality test, multicollinearity through VIF values, and heteroscedasticity using the Glejser test and scatterplot of residuals versus predicted values. The normality test indicated that the data were normally distributed (sig. 0.200 > 0.05), with no multicollinearity (VIF = 1.090 < 10) and no heteroscedasticity (sig. > 0.05). The regression results showed an R² value of 0.856, meaning job rotation and employee engagement explained 85.6% of the variance in employee performance. The F-test confirmed that both independent variables simultaneously had a significant effect on performance (F = 139.258; sig. = 0.000). However, the t-test revealed that job rotation had no significant effect (t = -0.468; sig. = 0.642), while employee engagement had a strong positive significant effect on employee performance (t = 16.110; sig. = 0.000). These findings highlight employee engagement as the dominant factor in enhancing banking employee performance, while job rotation requires more strategic management to yield positive outcomes.