This study aims to describe the implementation of organizational communication in improving employee performance at PT.Kusuma Sandang Mekarjaya that includes downward communication and upward communication. This research carried out descriptive qualitative research approach. This research was done at PT.Kusuma Sandang Mekarjaya, Gamping, Yogyakarta. The data of this research were obtained from primary data source namely depth interview with 5 (five) informants. The obtained data were then analyzed using data reduction, data display, and conclusion drawing. The findings of the research show that downward communication done in PT. Kusuma Sandang Mekarjaya not running optimaly. The downward communication is related to information of daily work that includes job coordination, job division, company policy and work program. The upward communication implemented in PT. Kusuma Sandang Mekarjaya not running good. The upward communication is related to tasks and cooperation at work. The downward communication and upward communication are not effective enought because some obstacles that occur such as lack of meeting intensity between superiors and subordinates as well as hesitance in giving critics. Organizational communication is effective in improving performance as well as motivating employees in doing their work.