JOB SATISFACTION AS A MEDIATING VARIABLE IN THE EFFECT OF TRANSFORMATIONAL LEADERSHIP ON PERFORMANCE

Purpose: This study aims to examine the direct and indirect effect of transformational leadership on performance with job satisfaction as a mediator of the educational staff at the University of X Yogyakarta, and the direct effect of job satisfaction on the performance of educational staff at the University of X Yogyakarta. Methodology: The population of this study was the educational staff at the University of X. The sampling technique used in this study was stratified random sampling, involving a total of 50 educational staff as samples. Data collection was done using a performance scale, job satisfaction scale, and transformational leadership scale. The data were analyzed using the path regression ordinary least square technique. Main Findings: The results showed that transformational leadership has a significant effect on job satisfaction of educational staff, transformational leadership does not effect on performance of educational staff, job satisfaction has a significant effect on performance of educational staff and transformational leadership has a significant effect on performance through job satisfaction as a mediator of educational staff. Thus, job satisfaction can play a good role as a mediator. Applications of this study: Satisfaction has an important role in increasing work productivity which includes quantity and quality of work, timeliness of work, work effectiveness, independence, and commitment. Leaders in implementing a transformational leadership style must be accompanied by efforts to create a work environment that supports the realization of the job satisfaction of its employees. Regardless of employee job satisfaction, the leader’s transformational leadership style will be in vain. Novelty: To the best of our knowledge, research on job satisfaction as a mediating variable in the effect of transformational leadership on the performance of educational staff is still rarely done both in Indonesia and abroad. Previous studies only positioned job satisfaction as an independent variable that affects performance and not as a mediator variable. This study focuses on job satisfaction as a mediator the effect of transformational leadership on the performance of educational staff.