This week’s lecture is subdivided into two parts job evaluation and pay structures.
Job evaluation is a process in which the value of the job in an organisation is analysed and employees are placed in appropriate grades. Job evaluation is retained and modified by many organisations in order to ensure equity & equal values among the employees, evaluate benchmarks jobs, make market comparison and define band boundaries and allocate roles. Moreover to analyse and identify the hierarchy of jobs, job evaluation process is compulsory. Job evaluation process is a lengthy and has to be taken place in a systematic manner. It is mainly obtaining information about the employees through Job description which includes purpose of the job, qualification & experiences required, main task & accountability etc., Questionnaires are use to measure the differences and similarities between positions within the organisation, Discussions is held with HR experts and experienced employees. Analysis and evaluation takes place using job evaluation manual and software packages. Furthermore methods such as analytical and non-analytical are use in job evaluation depending on the various needs of the organisations, analytical method is where the jobs are broken into their component parts which are awarded points and non analytical method is where whole jobs are compared. There are various advantages and disadvantages for job evaluation: * Underpins pay structures * Objective and logical * Job grades and useful for job moves etc. * It is fair , it eliminates any managerial bias * It is viewed favourably by industrial tribunals
Disadvantages
* Job description creates rigidity * Less suited to ‘knowledge workers’ * Subjective of evaluation * Bureaucratic and costly
Pay structures are the different levels of pay for jobs, or groups of jobs, by reference to: Their relative internal value as established by job evaluation, external