CORRUPTION INTENTION: THE INFLUENCE BETWEEN WORK ETHICS AND FAMILY OWNED BUSINESS EMPLOYEE PERFORMANCE

Abstract Family Owned Business (FOB) is a type of company where the core family acts only as shareholders, and the management of the company is entrusted to professional executives from outside the family and other relatives. This means that the family does not fully control the company but still has full authority in decision-making and the operation of the company. There are increasingly peculiar phenomena in the working world involving employees and companies. In the past, when someone acted according to work ethics, it would enhance their happiness and they would feel ashamed of their actions if they deviated. Nowadays, even when they engage in unethical and deviant actions, there is a tendency for them to feel just as happy and even proud of their actions. The aim of this study, as outlined by the stated problem, is to understand, analyze, and address the impact of work ethics on performance, with corruption intention as a moderating variable among employees of family owned businesses in Gerbang Kertosusila. This study employs causal explanatory research, a type of quantitative research used to explain cause-and-effect relationships between independent variables, dependent variables, and moderator variables. The unit of analysis for this study consists of employees from family-owned businesses (FOB) totaling 308 individuals across 10 companies of this category. Primary data was collected using questionnaires in hardcopy, softcopy (PDF), and through Google Forms online, from the research location with numerous respondents. The collected data was then processed and analyzed using Structural Equation Modeling (SEM) with AMOS version 26 software. The analysis employed was Moderated Regression Analysis (MRA) or interaction test, which is a special application of multiple linear regression where the regression equation contains an interaction element (multiplication of two or more independent variables) to determine the extent of the influence of independent variables on the dependent variable with a moderator variable. The findings indicate and conclude that the work ethics variable does not significantly affect performance. However, since the corruption intention variable significantly affects performance, it serves as a moderating variable in the relationship between work ethics and the performance of family owned business employees.