SHARIA-BASED HUMAN RESOURCE MANAGEMENT IN SHARIA HOTELS IN BANYUMAS REGENCY: THE IMPACT OF SHARIA COMPLIANCE ON HUMAN RESOURCE PERFORMANCE

Abstract

This study investigates the implementation of Sharia-based human resource management (HRM) and its
impact on employee performance in Sharia hotels located in Banyumas Regency. Specifically, it examines
the influence of Sharia compliance in four HRM dimensions: recruitment and selection, employee
development, compensation and rewards, and work relationships and discipline. As Sharia-compliant
hotels grow in Indonesia, understanding their HRM practices is critical for ensuring both organizational
performance and adherence to Islamic principles. Using a quantitative research approach, data were
collected from employees of Sharia hotels in Banyumas through structured questionnaires. A total of 20
respondents participated, representing various roles and levels of the organizational hierarchy. Data
analysis was conducted using regression models to evaluate the relationship between Sharia compliance
in HRM dimensions and employee performance. The results demonstrate that Sharia compliance in
recruitment and selection has a significant positive effect on employee performance, as it fosters a
value-based work environment aligned with Islamic teachings. Similarly, Sharia-compliant practices in
employee development and compensation enhance both motivation and productivity. However, the study
found that the impact of Sharia-compliant work relationships and discipline varies depending on
individual employee perceptions and organizational culture. This research highlights the importance of
integrating Islamic principles into HRM practices to achieve optimal performance in Sharia-compliant
organizations. Recommendations are provided for hotel managers and policymakers to enhance the
implementation of Sharia-based HRM. Future studies are encouraged to explore similar models in other
industries to generalize the findings.