13.job Evaluation

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JOB EVALUATION

• Job Evaluation is a systematic process for


establishing the relative worth of jobs within an
organization.

• Job Evaluation is the process to determine in a


systematic and analytical manner the
comparative worth of job with an organization.

PURPOSE

1. To provide a rational basis for the design and


maintenance of an equitable and defensible
wage structure.

2. To help in the management of the relativities


existing between jobs within the organization.

3. To enable consistent decision to be made on


grading and rates of pay.

4. To establish the extent to which there is


comparable worth between jobs so the equal
pay can be provided for work of equal value.

KEY FEATURES OF JOB EVALUATION


• A comparative process (deals with relationship)

• A judgmental process (it requires exercise of


judgment in interpreting data)

• An analytical process

• A structured process (framework is provided)


BASIC METHODOLOGY

• Select the representative ‘ benchmark’ jobs,


which will be used as the basis for
comparisons.

• Decide on the factors to be used in evaluating


the jobs.

• Analyze the jobs and roles.

• Establish the relative value of jobs by applying


a process of evaluation.

• Develop a pay structure—this usually means


designing a grade structure and then deciding
on the rates or ranges of pay in the structure
through internal comparisons and market
pricing.

TECHNIQUES O JOB EVALUATION

• Job ranking.

• Job grading

• Factor comparison system

• Point rating system

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