THE EFFECT OF FLEXIBLE WORK ARRANGEMENT AND PERCEIVED ORGANIZATIONAL SUPPORT ON EMPLOYEE JOB PERFORMANCE: THE MEDIATING ROLE OF EMPLOYEE ENGAGEMENT Riza Asyari Yamin, E.S. Pusparini
Faculty of Economics and Business
University of Indonesia
Abstract
The Covid-19 pandemic that hit Indonesia has forced companies to adjust the way their employees work through flexible work. However, some companies are still hesitant to apply work flexibility as it could decrease employee^s performance. This study aims to find out the effect of flexible work arrangement (FWA) and perceived organizational support (POS) toward employee job performance through employee engagement. Cross sectional research design was used in this study where the sample of the research were permanent employees in Indonesian companies that implemented flexible work arrangement. There are 344 data collected in this research where 35 data was used as pre-test and 309 data for main test. The data then analyzed using the Structural Equation Modelling (SEM) method to determine the relationship between each variable construct. This study used 4 variables with total of 49 items questions. The findings of this study indicated that FWA and POS has a positive and significant effect on employee engagement and employee job performance. The study also revealed that employee engagement gave a positive and significant influence on employee performance in the company. Therefore, employee engagement mediates the effect of FWA and POS on employee job performance. The results of this study are expected to be a consideration for companies to be able to implement work flexibility policies because it can improve employee job performance.
