What Is Job Evaluation? How Does It Contribute To Developing Salary Scales?

1468 words - 6 pages

IntroductionHow do you satisfy your employees they want fair pay, regular raises, attract and retain talented employees in your organization, need clarity about their roles and responsibilities as well as about what's expected from them. The solution for this is Job evaluation if it is performed effectively and used to clarify and revise job descriptions and position responsibilities.Job evaluation is a tool used to evaluate the worth of each job in your organization and in today's labor market. A successful job evaluation system can help you make your organization's pay system equitable, understandable, legally defensible, approachable, and externally competitive. You can use job ...view middle of the document...

- It can help establish or maintain the credibility and acceptability of a grading system- Typically, job evaluation assesses both the content of a job and the value of a job for your organization. Job content refers to the type of work performed and the skills and knowledge necessary to perform the work. Job value refers to the job's degree of contribution in meeting your organization's goals and the degree of difficulty in filling the job.Factors in Job evaluationJob evaluators often assess jobs based on these factors:- Training level or qualifications requirements- Knowledge and skills requirements- Complexity of tasks- Interaction with various levels of the organization- Problem-solving and independent judgment- Accountability and responsibility- Decision-making authority- Degree of supervision required- Cross-training requirements- Working conditions- Degree of difficulty in filling jobAnalyze Job evaluation MethodsBefore implementing job evaluation in your organization, select the most appropriate job evaluation method. Hundreds of job evaluation systems exist. Research the job evaluation methods and resources available online. Five job evaluation systems are most commonly used:Ranking - Ranking jobs is the easiest, fastest, and least expensive approach to job evaluation. It is also most effective in smaller organizations with few job classifications. To rank positions, order jobs from highest to lowest based on their relative value to your organization. The process of job ranking typically assigns more value to jobs that require managerial or technical competencies. More value is also assigned to jobs that supervise, exercise decision-making authority, or rely on independent judgment. For example, a job-ranking system might rank the job of CEO as the most valued job within the organization and the job of product assembler as the least valued.Advantages: Simplicity is the main advantage in using a ranking system. It is also easy to communicate the results to employees, and it is easy to understand.Disadvantages: Ranking jobs is subjective. Jobs are evaluated, and their value and complexity are often assessed on the basis of opinion. Also, when creating a new job, existing jobs must be reranked to accommodate the new position.Classification - The general purpose of job classification is to create and maintain pay grades for comparable work across your organization.To conduct a job classification: First, write descriptions for a category of jobs; next, develop standards for each job category by describing the key characteristics of those jobs in the category; finally, match all jobs to the categories based on the similarity of tasks, the decision-making exercised, and the job's contribution to the organization's overall goals.Universities, government employers and agencies, and other large organizations with limited resources typically use job classification systems. These types of organizations have many types of jobs at diverse locations...

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