Job Evaluation (JE)
Your rate of pay is determined by the pay grade that is assigned to the position you are holding. The pay grade is determined through a process called job evaluation (JE).
JE is the process of systematically determining the relative worth of positions to create a position structure for the organization.
Establishing the relative value of positions forms a solid foundation for Human Resources:
- policies and programs
- base salary systems
- performance management levels
- career paths
The evaluation is based on a number of factors including:
- key skills
- required education
- level of decision making
Job Evaluation is important because it is basis for:
- providing comparable pay for jobs of the same or similar value
- achieving internal and external equity
- validating market competitiveness
Once the content of a position is evaluated, a pay grade is assigned, and a corresponding salary is set from the salary grid or salary range.
JE and salary administration guidelines are established to ensure appropriate levels of pay and that pay practices are applied consistently with position changes such as promotions, internal equity and compliance principles.