Job Evaluation


Job Evaluation

Job is a collection of tasks, works, duties, responsibilities.

“A Job is a collection of duties, tasks and responsibilities which are assigned to an individual and which is different from other assignments”- Dale Yoder.

Evaluation -The making of a judgement about the amount, number, or value of something; assessment

  • After a job analysis has and a thorough job description written,
  • It is important to determine how much employees in a position should be paid
  • the process of determining a job’s worth is called job evaluation.
  • Job evaluation is typically done in two stages:
    1. Determining internal pay equity
    2. Determining external pay equity.

1. Determining internal pay equity

Step 1: Determining Compensable Job Factors

Th e first step in evaluating a job is to decide what factors differentiate the relative worth of jobs. Possible compensable job factors include:

    •  Level of responsibility
    •  Physical demands
    •  Mental demands
    •  Education requirements
    •  Training and experience requirements
    •  Working conditions

Step 2: Determining the Levels for Each Compensable Factor

Step 3: Determining the Weights for Each Compensable Factor

Some factors/ Dimensions are more crucial than others,

Thus, weights must be allotted to each factor and to each level within a factor.


2. Determining External Pay Equity

    • The worth of a job is determined by comparing the job to the external market i.e other companies/ organizations.
    • Organizations use salary surveys.
salary-survey-result for Job evaluation

salary-survey-result for Job evaluation




On the basic of the Wage trend line, we can pay employees.

Wage-trend-line to decide job value

Wage-trend-line to decide job value

Determining Sex and Race Equity.-

  • Pay audits should be conducted regulatory to ensure that employees are being discriminate among employees on the basis of gender or race and not paid differently.
    • There should be equal pay for equal work for employees in the organization,
    • ARTICLE 16 OF THE INDIAN CONSTITUTION: No citizen shall, on grounds only of religion, race, caste, sex, descent, place of birth, residence or any of them, be ineligible for, or discriminated against in respect of, any employment or office under the State.
    • It is governed under the Equality Act of 2010 which gives a right to equal pay between women and men for equal work.
    • The Supreme Court of India given judgement in the case of State of Punjab and Ors. v. Jagjit Singh and ors,  held that an employee engaged for the same work cannot be paid less than another who performs the same duties and responsibilities and certainly not in a welfare state.
    • There should not be Pay depending on black or white race.
    • Pay should not be depending on the citizenship of the employee. Example –

Example of the complete Job evaluation result

complete Job evaluation Result

complete Job evaluation Result


Reference books for job evaluation

Aamodt, Michael G. (2016). Industrial/Organizational Psychology: An Applied Approach (8th Edn). Cengage Learning

Cascio, Wayne F.; Aguinis Herman (2014). Applied Psychology in Human Resource Management (7th Edn). Pearson

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