Job evaluation is a methodology of determining the worth of a job in comparison to other jobs in an organization. It helps make a systematic comparison between jobs to assess and evaluate their relative value for the purpose of establishing a rational and justified pay structure. It is a method or way that assesses jobs, not people. The standards of job evaluation are relative, not absolute. The essence of job evaluation lies in job analysis. Carried on by groups rather individuals, it has a specific level of subjectivity present at each level. It begins with job analysis where the information about any job is systematically gathered, and ends with the determination of the worth of a job.
At times, confused with job appraisal, job evaluation is an entirely different issue. Where job evaluation means finding the relative worth of a job, job appraisal is finding the worth of a jobholder. Job evaluation aims at determining wage rates of different jobs whereas job appraisal aims at determining rewards and incentives for superior performance. Evaluation shows how much a job is worth whereas appraisal shows how efficiently a person is doing the assigned job.
Job evaluation is a systematic process and hence follows some specific steps and guidelines. The steps to evaluate a job are summarized below:
- Gaining acceptance
- Creating a job evaluating committee
- Finding the jobs to be evaluated
- Analyzing and preparing job description
- Selecting an appropriate method of evaluation to be followed throughout
- Classifying the jobs
- Installing the programme
- Periodic reviewing of the reports and assessments
The process of job evaluation does not end up here. It has to abide by some guidelines and norms. The facts and figures collected during any evaluation must be unbiased and accurate, with no distortion. The results of the evaluation must be fair, unbiased, and accurate to the people affected by that evaluation.
This is an emerging issue or rather a need of the present. Some of the benefits of job evaluation are enlisted below:
- Links pay with the requirement of the job
- Outcome is an equitable wage structure
- Employees and unions are also an integral part in evaluation of any job
- Points out the possibilities of more appropriate use of plant’s labour force
21 Comments. Leave new
Very well detailed!
well written article.
good work
Usually the centre of a discussion is the job and not the jobholder. Thanks for bringing the interests of the latter to light as well!
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