M. Arya Rezki (2025). The Effect of Reward and Punishment on Employee Performance through Job Satisfaction as a Mediating Variable at PT Air Minum Bandarmasih (Perseroda). Supervisor: Rini Rahmawati. This study aims to examine and analyze: (1) the influence of reward on job satisfaction at PT Air Minum Bandarmasih (Perseroda), (2) the influence of punishment on job satisfaction at PT Air Minum Bandarmasih (Perseroda), (3) the influence of reward on employee performance at PT Air Minum Bandarmasih (Perseroda), (4) the influence of punishment on employee performance at PT Air Minum Bandarmasih (Perseroda), (5) the influence of job satisfaction on employee performance at PT Air Minum Bandarmasih (Perseroda), (6) the mediating role of job satisfaction in the relationship between reward and employee performance at PT Air Minum Bandarmasih (Perseroda), and (7) the mediating role of job satisfaction in the relationship between punishment and employee performance at PT Air Minum Bandarmasih (Perseroda). The study employed a quantitative approach using a survey method. Data were collected through questionnaires distributed to 80 respondents. The analytical technique applied was Partial Least Squares (PLS) with the assistance of the SmartPLS software. The findings of the research demonstrate that: (1) reward has a positive and significant effect on job satisfaction, (2) punishment has a positive and significant effect on job satisfaction, (3) reward has a positive and significant effect on employee performance, (4) punishment has a positive and significant effect on employee performance, (5) job satisfaction has a positive and significant effect on employee performance, (6) job satisfaction mediates the effect of reward on employee performance, and (7) job satisfaction also mediates the effect of punishment on employee performance. Keywords: Reward, Punishment, Job Satisfaction, Employee Performance.