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The purpose of this study is to examine and analyze the role of motivation as a mediator of the effect of compensation and self-efficacy on employee performance. The research was conducted at the secretariat of the DPRD Malang district with the type of explanatory research and quantitative approach methods. The study population amounted to 86 people with sampling through saturated sampling techniques. The data in the study were obtained from the results of interviews, study literature and questionnaires distributed to respondents. Data analysis is carried out with the help of SmartPLS 4.0 with several stages of testing including tests on the outer model, inner model, hypothesis, and mediation. The results showed that: 1) positively and significantly compensation has an influence on employee performance with a p-value of 0.002, 2) positively and significantly self-efficacy has an influence on employee performance with a p-value of 0.010, 3) positively and significantly motivation has an influence on employee performance with a p-value of 0.000, 4) motivation has a mediating role on the effect of compensation on employee performance with P-value of 0.009, and 5) Motivation has a mediating role in the influence of self-efficacy on employee performance with a p-value of 0.007.
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