This study aims to determine the effect of compensation and work motivation on employee performance in Krakatau Steel Primary Cooperative Employees partially and simultaneously. This study uses quantitative research with a survey method that takes samples from a population and uses a questionnaire as a means of collecting primary data with a Likert scale. This study uses a multiple correlation model which is included in correlation research to determine the level of relationship / influence between two or more variables. The population in this study were all 60 employees. The results of the research hypothesis testing Compensation on Employee Performance obtained tcount > ttable (4.030 > 2.002) and a significant value of α (0.00 <0.05). Work motivation on employee performance obtained tcount > ttable (2.761 > 2.002) and a significant value of α (0.008 <0.05). Compensation and Work Motivation on Employee Performance obtained Fcount > Ftable or 12.205 > 3.16 and a significant value of α (0.00 <0.05). The conclusion from this study is that there is an effect of compensation and motivation on employee performance either partially or simultaneously.
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