Enrich your vocabulary with the English Definition dictionary 200%. (iii) If an organisation consists of 500 people holding to different jobs, the jobs might be brown up into perhaps 5 classes, arranged in order of importance from high to low, and described class by class. Job Evaluation: Definition, Schemes, Process Posted: (2 days ago) A non-analytical job evaluation scheme does not provide us with a defense against a claim of equal pay for work of equal value. It is the evaluation of job and not the person doing it. Enrich your vocabulary with the English Definition dictionary The process is initially based on judgment and, therefore, tends to be influenced by variety of personal biases. It helps a company make wage, salary and/or benefit decisions for the jobs it creates. (3) It is far less expensive to put into effect than other systems, and requires little effort for maintenance. The system suffers from the following shortcomings: (1) The use of five factors is a growth of the technique developed by its organisations. 10. For example, the “Equal pay for equal Work” Act focuses on four factors: Working conditions responsibility, efforts and skills. The job classification re-evaluation is generally requested by an employee through his or her supervisor. In job classification, a job analysis and evaluation occurs when a new position is created. It is a process which is helpful even for framing compensation plans by the personnel manager. The important features of job evaluation may be summarised thus: (b) The standards of job evaluation are relative, not absolute. Select and Prepare a Job Evaluation Plan – This means that a job must be broken down into its components part, i.e., it should be involve the selection of factors, elements need for the performance of all jobs for which money is paid, determining their value and preparing written instructions for evaluation. It does this by providing a ground for the following matters: (i) Equity and objectivity of salary administration, i.e. Comparative study of these jobs is very essential because on the basis of such study the structure of wages for different type of job is prepared. (4) Any job rating plan must be sold to foremen and employees. iii. There are some key jobs in every enterprise. iv. (i) It considers all the aspects related to a particular job. Cost of job evaluation – It should not involve high cost of installation and administration. Each grade level must be distinct from the grade level adjacent to it; at the same time, it should represent a typical step in a continuous way and not a big jump or gap. 5. job evaluation meaning: 1. the process of comparing a job with other jobs in an organization and deciding how much the…. v. Conduct job evaluation systematically based on facts and figures. Prohibited Content 3. 2. (2) The system is simple, easily understood, and easy to explain to employees (or a union). Outlining the job. Job evaluation is an assessment of the relative worth of various jobs on the basis of a consistent set of job and personal factors, such … (4) Wage levels change from time to time, and their minor inconsistencies may be adjusted to bring all the jobs into alignment. (3) Rate the job and not the man. Common tasks, responsibilities, knowledge blind experience can be identified by the process of job analysis. In the present industrial age, there are different types of jobs to be performed in every business and industrial enterprise. Job evaluation is defined as the systematic process of assessing the value of each job in relation to other jobs in an organisation. Study the jobs or evaluate the jobs objectively and open-mindedly. Second, the reliance of job evaluation is upon the exercise of human judgement as the method by which ranking of relative work or value of the different jobs in the family or population is arrived at. 2.90 per hour. 5. Job Evaluation The process of determining how valuable a position is to a company. Step # 5. What is Job Evaluation? Since it has immense potentialities, the efficient handling of this resource can produce unthinkable results and can crown the business organisation with success. Jobs cannot continue without updating new jobs and change in obedience to changing conditions and situations. The objective of this process is to determine the correct rate of pay. The points for each factor are summed to form a total point score for the job. (4) If many rates are used, considerable clerical work is entailed in recording and summarising the rating scales. Often several basic factors are chose initially and then sub-divided into sub-factors. Job evaluation suffers from the following disadvantages: (i) It may fail to consider all the factors – Job evaluation may not consider all the factors like skill required, service condition, social status etc., which influence the value of job. Job evaluation is a time-consuming process requiring specialised technical personnel to undertake it and, thus, is likely to be costly also. International labour organisation describes the objects of job evaluation in its report as, “The object of job evaluation is to determine the relative value of jobs of an enterprise and to determine the equal wage for equal jobs on the basis of some rational facts.” The principle upon which all job evaluation schemes are based is that of describing and assessing the value of all jobs in the firms in terms of a number of factors, the relative importance of which varies from job to job. We may define job evaluation as a process of analysing and describing positions, grouping them and determining their relative value by comparing the duties of different positions in terms of their different responsibilities and other requirements. Education of employees on job evaluation technique – All employees should be enlightened on job evaluation techniques and programme. job evaluation definition in English dictionary, job evaluation meaning, synonyms, see also 'programme evaluation and review technique',evacuation',evaluator',evaluative'. Analyse and Prepare Job Description – This requires the preparations of a job description and also an analysis of job requirement for successful performance. the process of comparing jobs in an organization to decide what is involved in each one and the salary that should be paid for it: 85% of workplaces have no job evaluation. But making decisions about relative value is complex. In other words it is the rating of jobs in an organization. International Labor Organization (ILO) has defined a job evaluation as: “Job evaluation is an attempt to determine and compare demands which the normal performance of a particular job makes on normal workers without taking into account the individual performance of the workers concerned”. Job evaluation is the process of systematically determining a relative internal value of a job in an organization. Under such circumstances human error may considerably influence on the fixation of suitable wage structure. Job evaluation definition is - systematic qualitative appraisal of each job or position in an establishment either through the assignment of points for job characteristics or through comparison of job factors (as mental effort, experience, and responsibility required) for the purpose of determining the relative position of the job in the job hierarchy and for fixing wage rates. The goal of job evaluation is to compare jobs with each other in order to create a pay structure that is fair, equitable, and consistent for everyone. Hay Job Evaluation: Foundations H ay Group pioneered the “factor comparison”job evaluation method and modified it in its Guide Charts in the early 1950s. Job evaluation is the process of analyzing and assessing various jobs systematically to ascertain their relative worth in an organization. But, these skills cannot be measured in quantitative terms. 5. How Covid-19 caused a psychological pandemic, 7 ways to cultivate a trans inclusive workplace. The weight given to an employees role will then provide the basis for deciding their salary. 6. Step # 3. It also works as a safeguard against industrial disputes. Account Disable 11. Therefore, it is suitable for small organisations with clearly defined jobs. (3) As there is no standard for an analysis of the whole job position, different bases of comparison between rates occur. Copyright 9. Job evaluation is a term which is applied to a number of distinct but related administrative methods which rank or assess the relative value of different jobs or occupations. Meaning: Job evaluation is an orderly and systematic process of determining the wages (or worth) of the job in relation to other jobs.It is a process of rewarding the job after it has been analysed. The evaluation process measures the different elements of a job and produces an overall score. The variables which are assumed to be related to value produced. There are certain broad principles, which should be kept in mind before putting the job evaluation programme into practice. According to Kress, these principles are: (1) The elements should be clearly defined and properly selected. Do you know the four basic components of EI? As because the nature of man is never exact, hence techniques or principle of social sciences can never produce exact results in all circumstances. For example, refer to the following table: When compensable factors are available more systematically. It is not necessary to have job descriptions, although they may be useful. in which the job is performed. All efforts should be made to determine equal wage for equal jobs. Some time job these factors, stating the “human requirements” of the factors like education, skills, problem-solving and decision making. (ii) Although it represents an advance in accuracy over the ranking method, it still leaves much to be desired because personal evaluations by executives (unskilled in such work) establish the major classes, and determine into which classes each job should be placed. Different jobs have different contribution to turnover, profit, safety and quality. It may be explained by the following tables: Above table makes it clear that the jobs having a total of points between 100 to 200, will be paid the basic wages of Rs. Job evaluation is not found suitable for establishing the relative worth of the managerial jobs which are skill-oriented. Further, it has been said that it is inaccurate to claim scientific exactness for the results of job evaluation, no judgement, however, well informed is exact in a scientific sense. Methods 10. Separate pay structure should be maintained for major groups of employees. by deciding that one job is “more important” than another, and not going any deeper in why—in terms of specific job-related factors; or by comparing one job to another by focusing on certain basic factor, which may be common in each job. (c) The basic information on which job evaluation are made is obtained from job analysis. It is a process which is helpful even for framing compensation plans by the personnel manager. Classify Jobs – This requires grouping or arranging jobs in a correct sequence in terms of value to the firm, and relating them to the money terms in order to ascertain their relative value. Focus – Focus should be on rating the job and not the job holder. Job evaluation is a process of determining the relative worth of a job. job evaluation definition in English dictionary, job evaluation meaning, synonyms, see also 'programme evaluation and review technique',evacuation',evaluator',evaluative'. 5. Definitions of Job Evaluation. Job analysis also provides the required information that is necessary for evaluating the worthiness of jobs. The job evaluation process defines the wages for the work to be done by the workers, which helps the works to be specific about their work and wages that they are going to get after the decided time. Individual abilities or efforts are reflected in the workers’ earnings, but this is something entirely different from the ratings of the job. (3) The development and installing of the system calls for heavy expenditure. Top management support – The support of top management should be secured. Positions are measured in relation to each other, usually hierarchical and with related or comparable roles. (5) Foremen should participate in the rating of jobs in their own departments. In the words of the Netherlands Committee of Experts on Job Evaluation, “job evaluation is a method which helps to establish a justified rank order of jobs as a whole, being a foundation for the setting of wages. This is possible because job evaluation establishes a rational and consistent wage structure. 4. Job evaluation is a method of evaluating the relative worth of jobs in an organization. (7) In talking to foremen and employees, any discussion of money value should be avoided. The Deputy Head will refer the appeal to the Manager, Job Evaluation & Organizational Design, who in turn refers it to a job evaluation review board known as the Special Review Committee. A job evaluation does not judge the person in a position, but the position itself. Some scholars name it the determination of job rate also. Content Filtration 6. Step # 4. Companies should have established procedures – separate from the standard grievance procedures – for dealing with these appeals. (5) Definitions are written in terms applicable to the type of jobs being evaluated, and these can be understood by all. Job evaluation definition at Dictionary.com, a free online dictionary with pronunciation, synonyms and translation. Job evaluation and compensation. These factors are called compensable factors—which determine the definition of job content; that determine how jobs compare to each other; and they also help determine the compensation paid for each jobs. Objectives 4. After the preparation of job description and job specification statements, it assists in the evaluation of actual performance against the predetermined standard. The logical sequence of different steps as ensured in the job evaluation process determines the worth of jobs. ; and. The term Job Evaluation has been defined by some eminent scholars as follows: Kimball & Kimball, “Job Evaluation represents an effort to determine the relative value of every job in a planned way and to determine what the fair basic wage for such a job should be.”, John A. Shubin, “Job Evaluation is a systematic procedure of measuring the relative value and importance of occupations on the basis of their common factors like skill, training, efforts etc. The rates of wages must be fixed according to the market rates. (1) The task of defining job factors and factor degrees is a time-consuming and difficult task. 2. Job evaluation eventually results in a wage or salary structure or hierarchy (this shows … It makes a systematic comparison between jobs to come to a continuation of their relative expectancy or worth for the purpose of making a logical pay structure. (2) Once the scales are developed, they can be used for a long time; (4) It has the ability of handling a large number of jobs and enjoys stability as long as the factors remain relevant. Basically, it provides a systematic catalogue of the jobs in an organisation, which is indispensable for management purposes. A good relationship with unions and employees is important. Definition: The Job Evaluation is the process of assessing the relative worth of the jobs in an organization. 3. Thus, the process of evaluation is completed in different steps under this method. The purpose of the job evaluation is to have a satisfactory wage differential. It should also include a review procedure for cases where employees or managers question evaluations of certain jobs. Generally, there are four key factors affecting a job: (i) Skill; (ii) Responsibilities; (iii) Efforts; and (iv) Working Conditions. Terms of Service 7. (ii) It makes a clear distinction between different jobs. Image Guidelines 4. (v) The grouping of jobs into classifications makes pay determination problems administratively easier to handle. All the jobs in the same grade receive the same wage orange of rates. (ii) This method is simple to operate and understand, for it does not take much time or require technical help. Content Guidelines 2. The information obtained in job analysis is recorded in the precise language of a job description. (f) Job evaluation does not fix pay scales, but merely provides a basis for evaluating a rational wage structure. This is also known as job analysis and its findings are what goes into a job description. Job evaluation and compensation. Job evaluation is a systematic process for defining the relative worth or size of jobs or roles within an organisation in order to establish internal relativities and provide the basis for designing an equitable grade structure, grading jobs in the structure and managing relativities. A consistent policy can be pursued through job evaluation. Fore mostly, the job evaluation serves a number of purposes which may be grouped into three categories – wage and salary fixation, restructuring job hierarchy and overcoming anomalies. On the basis of analytical study of above definitions, it may be concluded that job evaluation is a technique by which different job of an enterprise are evaluated for the specific purpose of determining the wages and salary structure of enterprise. Each job is compared with all the on sub- factors, and number of degrees. Factors 7. Job evaluation is the only one of the starting points for establishing the relative differentiation of base wage rates. The evaluation may be achieved through the assignment of points or the use of other systematic method for essential job requirements, such as skills, experience and responsibility.”. The results of job evaluation must be fair, rational and unbiased to individual. There are four basic, traditional systems of job evaluation: (1) the ranking system; (2) the grading or job classification system; (3) the point system; and (4) the factor comparison system. It should not affect adversely the terms and conditions of the existing worker. Information and translations of JOB EVALUATION in the most comprehensive dictionary definitions resource on the web. Organisation chart showing the location of the job under review. Write a Job Evaluation Manual: A job evaluation manual conveniently consolidates the factor and degree definitions and the point values (the yardsticks to be used by raters in evaluating jobs). Grade descriptions are the result of the basic job information which is usually derived from a job analysis. Why are job evaluations important? So, it is a valuable technique in the hands of management. (2) It is costly to install, and somewhat difficult to operate for anyone who is not acquainted with the general nature of job evaluation techniques. In fact, the primary purpose of job evaluation is to set wages and salary on the basis of the relative work or jobs in the organisation. determination of job worth for the purpose of compensation through a comprehensive job evaluation system. Pay grades are determined for, and assigned to, all the job classification. ; According to Alford and Beatty, “Job Evaluation is the … After deciding and dividing key factors, the factors are assigned the points according to their importance. Job evaluation is often seen as the foundation for a fair and efficient pay framework. defines job evaluation as an attempt to determine and compare demands which the normal performance of a particular job makes on normal workers without taking into account the individual abilities or performance of the workers concerned. Job Evaluation : Definition, Objectives, Features, Importance, Factors , Principles, Procedure, Steps, Programme and More.. Job Evaluation Meaning – What is Job Evaluation? Job Evaluation Definition. The principal differences between these methods reflect. : Ranking System, Grading Method, Point Method and Factors Comparison Method (With Merits & Demerits), Prerequisites of a Job Evaluation Programme, Guidelines for Conducting Job Evaluation Programme. John Beatty and Henri Fayol are of this opinion that by exact science, we mean direct relationship between cause and effect. Above analysis makes it clear that job A is most important from the point of view of skill. Under this system, a number of pre-determined grades or classifications are first established by a committee and then the various jobs are assigned within each grade or class. Job D is most important from the point of view of working conditions. The last two systems are known the analytical or quantitative systems, because they use quantitative techniques in listing the jobs. Key jobs are assigned to an appropriate grade level and their relationship to each other studied. (ii) Influence of human error – There is no standard list of factors to be considered and there is a difficulty in measuring the some factors. Job evaluation is the process of assessing the worth of a job to decide on how much should be paid for it. It is the line manager’s responsibility to ensure that all documents are complete in final form prior to making a request for job … What is a job evaluation? It helps a company decide the extent to which a job produces revenue, improves efficiency or adds value in some other way. (6) To provide a factual, basis for the consideration of wage rates for & similar jobs in a community and in an industry; (7) To provide information for work organisation, employees selection, placement, training and numerous other similar problems. © 2012 Farlex, Inc. There are several job evaluation methods from which to select. Some jobs are ‘worth’ more than others. In all cases the idea is to evaluate the job, not the person doing it.Job evaluation is the process of determining the worth of one job in relation to that of the other jobs in a company so that a fair and equitable wage and salary system can be established. The objective of this process is to determine the correct rate of pay. While some other system (say Hay system in the States) focuses on know-how, problem-solving and accountability. The comparison of jobs may be made on the basis of different factors like duties, liabilities, working conditions, efforts, etc. Strive to collate all facts pertaining to job. Jump to: Position Classification Staff Wage Grade Determination When is a Job Evaluation According to Wendell French, “Job evaluation is a process of determining the relative worth of “the various jobs within the organisation, so that differential wages may be paid for jobs of different worth.” The relative worth of a job means relative value produced. Job evaluation definition: the analysis of the relationship between jobs in an organization: often used as a basis... | Meaning, pronunciation, translations and examples Though two separate processes, Job Analysis data will be needed and used during the Job Evaluation process. Job evaluations may be carried out in order to help businesses: Job evaluation differs from job analysis – the latter is the process of gathering information about a job, whereas job evaluation goes a stage further by placing a relative value on a job so that a fair and suitable pay framework can be produced. (2) External factors- like demand and supply of labour, existing wage structure in the industry and the region and so on. Job Analysis is a comprehensive process while Job Evaluation is a comparative process. Meaning: Job evaluation is an orderly and systematic process of determining the wages (or worth) of the job in relation to other jobs.It is a process of rewarding the job after it has been analysed. This may be made clear from the following table: Thus, the rate of wages for Job X will be Rs. How to use evaluation in a sentence. In India, the Indian Institute of Personnel Management, Calcutta, has laid down the following steps: Step # 1. The availability of a number of ready-made plans probably accounts for the wide use of points plans in job evaluation. Here is a clear step by step guide to undertaking a job evaluation that should help you on your way to providing a fair and equal pay structure that will benefit you in all of these ways. Maintain the Programme – Jobs cannot continue without updating new jobs and change in obedience to changing conditions and situations. It is an attempt to assess and compare the demands which the normal performance of a particular job makes on normal workers without taking into account the individual abilities or performance of the workers concerned. We measure jobs by size AND shape. Job evaluation is the systematic process of determining the relative value of different jobs in an organization. These rates must be determined on the basis of points. One of the biggest criticisms of job evaluation is that it is conducted from the employer’s point of view. The Hay Guide Charts® are proprietary instruments that yield consistent and legally defensible work evaluations. The management must give widest publicity to every phase of the programme. Uploader Agreement, Read Accounting Notes, Procedures, Problems and Solutions. 2. It helps to avoid several anamolies in wage and salary structure which would be the root cause of dispute between employer and employees. This method is based on the assumption that there are some key factors for every job. (iii) It is time consuming and expensive – Due to change in contents and work conditions, frequent evaluation of job is necessary by an expert or competent persons. In other words, Job Evaluation measures the worth of each job in terms of money. 7. Workers find it difficult to fully comprehend the meaning of concepts and terms, such as factors degrees and points. A more common practice is to arrange all the jobs according to their requirements by rating them and then to establish the group or classification. Job evaluation is a term which is applied to a number of distinct but related administrative methods which rank or assess the relative value of different jobs or occupations. It is a systematic method of evaluating or appraising the value of one job in relation to the other jobs. They should be trained in fixing and revising wage based on job evaluation. Job Evaluation – Definitions by Some Eminent Scholars Like Kimball & Kimball, John A. Shubin, Flippo, Dale Yoder, Wendell French and Other Institutions, Job Evaluation – Factors that Job Evaluators Consider while Evaluating a Job, Job Evaluation – Principles: According to Kress, Job Evaluation – 4 Important Methods: Ranking System, Grading Method, Point Method and Factors Comparison Method (With Merits & Demerits). Therefore job evaluation is not suitable for determining the relative worth of managerial job. In brief it may be said that job evaluation is a process in which a particular job of a business and industrial enterprise is compared with other jobs of the enterprise. Job-Evaluation: it’s Meaning and Definition! Now we shall discuss these methods in detail: Under this system, all jobs are arranged or ranked in the order of their importance from the simplest to the hardest, or in the reverse order, each successive job being higher or lower than the previous one in the sequence. 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