Job Evaluation Procedure

Though the common objective of job evaluation is to establish the relative worth of jobs in a job hierarchy, there is no common procedure of job evaluation followed by all organisations. As such, the procedure of job evaluation varies from organisation to organisation.

However, a job e valuation procedure may consist of the eight stages as outlined below:

Stage 1: Preliminary Stage

This is the stage setting for job evaluation programme. In this stage, the required information’s obtained about present arrangements, decisions are made on the need for a new programme or revision of an existing one and a clear cut choice is made of the type of programme is to be used by the organisation.

Stage 2: Planning Stage

In this stage, the evaluation programme is drawn up and the job holders to be affected are informed. Due arrangements are made for setting up joint working parties and the sample of jobs to be evaluated is selected. I

Stage 3: Analysis Stage

This is the stage when required information about the sample of jobs is collected. This information serves as a basis for the internal and external evaluation of jobs.

Stage 4: Internal Evaluation Stage

Next to analysis stage is internal evaluation stage. In the internal evaluation stage, the sample of bench-mark jobs are ranked by means of the chosen evaluation scheme as drawn up at the planning stage. Jobs are then graded on the basis of data pending the collection of market rate data. Relative worth of jobs is ascertained by comparing grades between the jobs.

Stage 5: External Evaluation Stage

In this stage, information is collected on market rates at that time.

Stage 6: Design Stage

Having ascertained grades for jobs, salary structure is designed in this stage.

Stage 7: Grading Stage

This is the stage in which different jobs are slotted into the salary structure as designed in the preceding stage 6.

Stage 8: Developing and Maintaining Stage

This is the final stage in a job evaluation programme. In this stage, procedures for maintaining the salary structure are developed with a view to accommodate inflationary pressures in the salary levels, grading new jobs into the structure and regarding the existing jobs in the light of changes in their responsibilities and market rates.

Other procedures may have less steps, for example the Indian Institute of Personnel Management, suggests five steps namely:

  • Analyze and Prepare Job Description;
  • Select and Prepare a Job Evaluation Programme/Plan;
  • Classify Jobs;
  • Install the Programme; and
  • Maintain the Programme.

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