1

Participants expectation

2
Basics of job evaluation

 The same way you would compare fruit such as apples

to oranges…
 Each fruit has certain characteristics that allow you to
compare one to the other, for example:
◦ Texture (smooth to rough)
◦ Calories (minimal to high)
◦ Vitamin content (minimal to high)
◦ Nutritional value (minimal to high)
◦ Size (small to big)

3
 How the System Works

 Calories (10 points) 7 9

 Texture (10 points) 5 8
 Juiciness (10 points) 8 10
 Storability (10 points) 9 6
 Weight (8 points) 5 5
TOTAL POINTS 34 38

4
 Training Objectives

1. What is job evaluation ?

2. Different methods for conducting JE
3. Why are the jobs being evaluated?
4. What is the expected outcome of the exercise
5. Selection of compensable factors
6. Selection of JE Committee
7. What is the role of the committee ?

5
Training Objectives Cont.

8. Tools of JE
9. Validation of JA
10. Conducting JE
11. Communicating the outcome/ Responding
to FAQ
12. Managing the appeals
13. HR implementation plan

6
 What is job evaluation?

Job evaluation is a systematic process for defining

the relative worth (value) or size of jobs within
an organization in order to establish internal
relativities and provide the basis for designing an
equitable grade and pay structure, grading jobs in
the structure and managing relativities.

A means of determining the relative value of jobs

within an organization. Focuses on job content
(―what is done‖) and not individual
performance or seniority (―how well it is
done‖).
Pre- job evaluation

8
 Preliquisite for JE exercise

Which jobs are to be evaluated?

Who is to evaluate the jobs?
How much time is required?
What should be the criteria for evaluation?
Which method will be employed?
What is the expected outcome of the exercise?

9
Process of Job evaluation

 Selecting the method of evaluation.

 Classifying jobs.

 Installing the programme.

 Reviewing periodically.
 Why conduct job evaluation?
To determine what positions and job responsibilities are
similar for purposes of Pay , Promotions, Lateral moves,
Transfers, Assignments and Assigned work, and other
Internal parity issues.

To help with the development of job descriptions , job

specifications performance standards, competencies, and
the performance appraisal system.

To assist with employee career paths , career planning or

career path and succession planning.

11
 Why J.E. Cont.

To assist the employer recruiting process by having

in place job responsibilities that assist in the
development of job posting

The assessment of applicant qualifications, suitable

compensation and salary negotiation, and other
factors related to recruiting employees.

To determine appropriate pay or salary grades and

decide other compensation issues.
Increases retention and decreases turnover, Reflect
positive external image that increases attraction.
12
Features of Job Evaluation

 It tries to assess jobs, not people.

 The standards of job evaluation are relative,

not absolute.

 The basic information on which job

evaluations are made is obtained from job
analysis.
 Features of Job Evaluation Cont.

 Jobevaluations are carried out by groups, not

by individuals.

 Some degree of subjectivity is always present in

job evaluation.

 Job
evaluation does not fix pay scales, but
merely provides a basis for evaluating a rational
wage structure.
 Benefits of job evaluation
 Ittries to link pay with the requirements of the
job.

 Itoffers a systematic procedure for determining

the relative worth of jobs.

 An equitable wage structure is a natural

outcome of job evaluation

 An unbiased job evaluation tends to eliminate

salary inequalities by placing jobs having similar
requirements in the same salary range.
Benefits of job evaluation Cont.

 Employeesas well as unions participate as

members of job evaluation committee.

 Job evaluation, when conducted properly and

with care, helps in the evaluation of new jobs.

 Itpoints out possibilities of more appropriate

use of the organization’s labour force by
indicating jobs that need more or less skilled
workers than those who are manning these
jobs currently.
 Features of Job Evaluation

 Analytical (e.g. points rating , factor

comparison, Patterson, Hay ) analysing the level
at which various defined factors or elements
are presented in a job.

 Non-analytical (e.g. ranking, grading, paired

comparison and classification) Comparing the
whole jobs to place them in grades . They are
not analysed by reference to their element
factors.
18
 Summary of Job evaluation methods

Methods
Hay method Method uses Know- how, problem
solving and accountability
Point rating Points are allocated to a job under
identified factors according to the
extent to which it is present in the
job.
Factor Comparison method involves comparing jobs factor by
factor; used by tribunals
Patterson Method It analyzes decision-making in job
task performance
Job ranking method Ranking based on seniority

Peromnes Method What is done, how complex and

deadlines
19
20
 Factor comparison method ( FES)

The Factor Evaluation System) FES differs from the

other point-factor methods in that it contains
three stages of descriptive data not simply a
defined set of universal compensable factors, sub-
factors, and degrees.
The three stages are:
 Primary standards (9 compensable factors)
 Factor-level descriptions for the series (60+)
 Benchmark jobs that cover the full range of pay
for the jobs in each occupation or series- each
factor is allocated financial value
 FES Factor Description Table

FACTOR POINTS % TOTAL LEVELS

Knowledge 50-1850 41.3 9
Sup/ Control 25-650 14.5 5
Guidelines 25-650 14.5 5
Complexity 25-450 10.0 6
Scope/effect 25-450 10.0 6
Pers Contact 10-11 2.5 4
Purp Of Contact 20-220 4.9 4
Phys Demand 5-5 1.1 3
Work Environment 5-50 1.1 3
Total Points 4480
FES Quality Check

 There is a direct relationship between the

selected level of the knowledge factor and
levels selected of all other factors.

 The knowledge or skill requirements of a job

drive the evaluation rating, while other
compensable factors provide additional
information to "fine tune" the final rating.

 Review figure 9-5 "FES knowledge level

conventions" for further explanation or
description of this point.
Sore Thumbing

Reviewing ratings using some

kind of spreadsheet layout
assists in identifying factor
ratings that don't make sense.
This analysis is often called
"sore thumbing" because an
inappropriate rating stands
out like a sore thumb.
Merits/ demerits of FES

Advantages Disadvantages
The value of the job is The pay for each factor
expressed in monetary is based on judgments
terms.. that are subjective.

Can be applied to a wide The standard used for

range of jobs determining the pay for
Can be applied to newly each factor may have
created jobs build in biases that
would affect certain
groups of employees.
25
26
Ranking Method

 It is the simplest method of job evaluation.

 In this method, jobs are arranged from

highest to lowest, in order of their value or
merit to the organization.

 Jobs can also be arranged according to the

relative difficulty in performing them.

 Jobs are usually ranked in each department and

then the department rankings are combined to
develop an organizational ranking.
Ranking Method cont.

 According to this method, a predetermined

number of job groups or job classes are
established and jobs are assigned to these
classifications.

 This method places groups of jobs into job

classes or job grades.

 Separate classes may include office, clerical,

managerial, personnel, etc.

28
Ranking Method cont.

Following is a brief description of classification in

an office:
 Class 1- Executives: Office manager, deputy
office manager, department supervisor, etc.

 Class 2- Skilled workers: Purchasing assistant,

cashier, receipts clerk, etc.

 Class 3- Semiskilled workers: Stenotypists,

machine operators, switchboard operator, etc.
29
Point Method
 This method is widely used currently.

 In this method jobs are expressed in terms of

key factors.

 Points are assigned to each factor after

prioritizing each factor in order of importance.

 The points are summed up to determine the

wage rate for the job.

 Jobs with similar point totals are placed in similar

pay grades
 Merits and demerits
Advantages Disadvantages
It is the simplest method. The main demerit of the
ranking method is that there
are no definite standards of
judgment and also there is no
way of measuring the
differences between jobs.
It is quite economical to put it It suffers from its sheer
into effect. unmanageability when
there are a large number
of jobs.
It is less time consuming and
involves less paperwork
31
32
Hay job grading Method

 It is more systematic and scientific method of job

evaluation.

 Though it is the most complex method of all, it is

consistent and appreciable.

 Under this method, instead of ranking complete

jobs, each job is ranked according to a series of
factors.
Job rating parameters

 Know-How
◦ Scope
◦ Depth
◦ Human relations skills
◦ Exhibit 5.12: Hay Guide Chart for Know-how
 Problem Solving
◦ Environment
◦ Challenge
 Accountability
◦ Freedom to Act
◦ Scope

34
Hay Guide Chart-Profile Method

Know-How
The Hay Guide chart-
 Practical procedures,
profile method uses
specialized knowledge, And
three universal factors,
scientific discipline.
eight subfactors, and
forty-three degrees (8 levels)
and levels to evaluate  Managerial (4 levels)
jobs. They are as  Human relations (3 levels)
follows:  Plus 3 degree choices per
grid.
 Hay Guide Chart-Profile Method

Problem-Solving Accountability

 Freedom to act
 Thinking environment
(7 levels)
(8 levels)
 Job impact on end
 Thinking challenge results (4 levels)
(5 levels)  Magnitude (4
 Plus 2 degree choices levels)
per grid  Plus 3 degrees per
grid.
Hay JE Method cont.

 The descriptions that form the rows and the

columns of the guide charts provide a measure of
the level of difficulty, or importance, of each
factor.

 The KH and AC guide charts provide actual

scores. The PS guide chart provides a percentage
that identifies the amount of KH used in solving
problems.
Hay JE Method Cont.
The Guide Charts have both standardized and
customized features:

◦ The geometric scales use the same values

with each step, reflecting the 15% perceptible
difference in values
◦ The number of rows and columns of each
guide chart can be altered to fit the character
and size of organization
Hay JE Method Cont.

The evaluation process

generally begins with the
highest valued compensable
factor and proceeds in
order to the lowest
weighted factor.
 Hay JE Method Cont.

KNOW-HOW
 Rows describe depth and breadth of job
knowledge required to perform job
assignments.
 Columns describe management breadth
relative to such requirements as planning,
organizing, reviewing, and control.
 Within each column there is a third element
that measures human relations skill.
 Hay JE Method Cont.

PROBLEM-SOLVING
 Rows identify levels of thinking.
 Columns identify thinking challenge.

When the most appropriate grid and

corresponding percentage has been identified, a
point value is determined by multiplying the
selected PS% (x) the previously determined KH
points.
Hay JE Method Cont.

ACCOUNTABILITY
 Rows measure freedom to act
 Columns measure the magnitude of the
impact of the job on end results
 Inside each column is a third element that
measures the job impact on end results (4 per
column)
Hay Method Quality Checks And Patterns

KH and PS are closely linked in the guide charts

and they tend to parallel each other with respect
to their alpha numeric locator codes. As KH
requirements increase for a job PS enjoys a
simultaneous growth.
Hay Method Quality Checks and Patterns

PROFILING
 PS and AC also have a relationship that provides
information about the general nature of jobs that
when examined either validates the evaluation or
challenges the results.
Hay Method Quality Checks and Patterns

 Jobs higher in PS points than AC points are

typically staff and administrative in nature,
and....
 Jobs higher in AC points than PS points are
typically action or line jobs, and....
Hay Method Quality Checks and Patterns

PROFILING
 Jobs with essentially the same AC and PS points
tend to have an administrative/action
orientation.
 The profile is determined by identifying the step
difference between PS and AC....
Hay Method Quality Checks and Patterns

The step difference is determined

by locating the PS points on the
Step value guide and counting up
or down until you have located
the AC points. The number of
Steps taken in this
procedure establishes
the step difference. The
direction (up +, down -) defines
The nature of the difference.
 Hay Method Quality Checks and Patterns Cont.

 All to the job profiles lined up in order of point

totals will provide the organization with a profile
pattern that further validates the evaluation effort.
 As a rule, KH points as a percentage of the total
tends to decrease as job value increases.
 PS and AC points as a percentage of the total tend
to be lowest at the lower valued jobs.
Hay Method Quality Checks and Patterns cont.

Profile patterns are also indicators of job rank

within an organization:

KH-PS-AC
General Mgr 41-23-36
Plant Mgr 44-22-34
Operations Mgr 56-19-25
Office Mgr 60-17-23
50
 Patterson J.E Method cont.
 It is based on analytical method of Job
Evaluation.
 It was developed over 30 years ago by
professor Patterson while he was studying the
relationship between work and pay

 The method is called the Patterson Plan or the

Decision Bands Method (DBM).
 Basic Concepts of Patterson J.E Method

1. The basic premise of the method is that , the

value of any job is depend on the level of its
responsibility.
2. Responsibility is reflected and measured by the
Decision making requirements of the job.
3. Accordingly , decision making is a logical and
equitable basis on which to compare jobs
within an organization.

52
 The Decision Bands

The Patterson Plan is based on six decision

Bands:
1. Band F policy Making
2. Band E programming
3. Band D Interpretive
4. Band C Routine
5. Band B Automatic
6. Band A Defined
 Patterson job classification
Band Kind Title Band Kind Title

E Policy Making Top 10 Coordinating Board

Management 8 Policy Council/
CEO
D Programming Senior 8 Coordinating MD
Management 7 Programming GM\Project
Manager
C Interpretive Middle 6 Coordinating HODs
Management 5 Interpretive

B Routine Skilled 4 Coordinating Supervisors

3 Routine Technicians

A Automatic Semi- Skilled 2 Coordinating Charge

1 Automatic hand
Team
Leaders
O Defined Unskilled 0 Defined Labourer
54
 BAND F-Policy Making Decision

These are decisions that determine the scope,

the direction, and the overall goals of the whole
organization. Band F decisions are the kind
typically made by a Board, Council, or CEO.

55
 BAND E Programming Decisions

•These decisions are concerned with formulating

or adjusting programs for the major Functions/
divisions/departments, and allocating resource
among these groups.

The executives at Band E are typically in charge

of advising line executives, heading up such
major functions as marketing, administration,
production, and finance in private sector
organizations, and major departments in public
sector organizations. They are similar to MD
56 ,GM and Project Manager
 BAND D – Interpretive decisions

At Band D, the incumbents are required to

interpret and carry out the programs or
objectives developed at Band E.

These decisions specify what is to be done in

lower Bands, and how the resources allocated
by Band E are to be deployed. Band D decisions
are typically made by middle managers in
various functions.

57
 BAND C – Process Decisions
Decisions in Band C involve determining the
means or process of achieving the objectives,
standards or guidelines established by Band D
decisions.
They are subject to the limits imposed by the
available technology and resources and to the
constraints set by Band D. Selecting the process
is a decision that must precede carrying out the
operations that make up the process. A process
decision specifies what is to be done at Band B.

These are typically decisions made by

supervisory personnel and/or senior technical
58
specialist positions.
 BAND B – Operational Decision

These decisions focus on how to carry out the

operations of the process specified by a Band C
decision.

There is, within the limits set by the specific

process, a choice as to how and when the
operations are carried out, but not as to what
operations constitute the process.

59
 BAND A – Defined Decisions

Band A decisions are confined to the manner and

speed of performing the elements of an operation.

There is, within the limits set by the prescribed

operation, a choice as to how the elements are
performed, but not as to what elements constitute the
operation.

60
 The Grades within the Bands

All decision bands ,except for Band A are

divided into two grades ,
• HIGHER for those jobs which co-ordinate /
supervise other job or self co-ordinating.
• LOWER for those jobs which are not co-
ordinating.

61
 The Grades within the Bands
:

BAND GRADE

F Higher…Coordinating policy decisions

F Lower…. Making policy decision.

E Higher… Coordinating programming decisions

E Lower….Making programming decisions

D Higher….Coordinating interpretive decision.

D Lower…Making interpretive decision.

62
 The Grades within the Bands

BAND GRADE
Higher….Coordinating routine decision.
C
Lower….Making routine decision.
C
Higher….Coordinating automatic decision.
B
Lower…..Making automatic decision.
B
No Higher or lower grade, just single grade
A

63
 The Sub-Grades within the Grades

The eleven grades are subdivided into sub-grades.

There should at most be three sub-grades in each

lower grade as well as in A , and two sub-grades in
the higher co-ordinating grade.

The numbers of sub-grades in within the grade can

vary according the needs of each particular
organization.

64
 Decision Band layout

BAND GRADES SUB-GRADES

5
Higher F
4
F 3
Lower F 2
1
5
Higher F
4
E 3
Lower F 2
1
5
Higher F
4
D 3
Lower F 2
1

65
 Decision Band layout
BAND GRADES SUB-GRADES

5
Higher C
4
C 3
Lower C 2
1

5
Higher B
4
B 3
Lower B 2
1

5
Higher A
4
A 3
Lower A 2
1
66
67
Designing a Point Plan : Six Steps

1. Conduct job analysis

2. Determine compensable factors.

3. Scale the factors.

4. Weight the factors according to

importance.

5. Communicate the plan, train users, prepare

manual.

6. Apply to non benchmark jobs.

 Grading procedure guidelines

Step one: Job Description:

• Well trained staff start describing all the jobs.

• Consideration will be given to reporting system,

detailed information about technical task (hard
factors)done and to job factors in case of stress,
tolerance, activity sequence and variety .(soft
factors)

• Well done job description will lead to perfect

grading.
69
 Grading procedure guidelines Cont.

Step Two: slotting jobs into Bands:

• Jobs are to be slotted into the Bands according to
the types of decisions made in the job.

• The guiding rule is that the highest-level tasks in

the job determines the Band into which the job
falls.

70
 Grading procedure guidelines Cont.

Step Three : choosing the Grade within the Band:

• Jobs are to be classified within each "Decision

Band" into one of two "Grades" based on the
differential supervisory difficulty and effort
required of the job.

• At this point in the process, jobs will have been

classified into a hierarchy of twelve different
classes of jobs, based on the job's level of
responsibility and supervisory difficulty and effort.
71
 Grading procedure guidelines Cont.
Step Four: choosing the sub-grade within the grade.
Jobs are moved into sub-grades by considering the
following soft factors:
1. Stress: pressure under which the job is done.
2. Tolerance :degree of accuracy
3. Sequence: length of the cycle or process related
to the job.
4. Variety: number of different elements involved in
the job.
5. Every job is compared with other jobs
according to those factors.
72 6. Numeric scale can be made for each factor.
 Grading procedure guidelines Cont.

Step Five: Grading committee

• The committee composed of well trained staff
supported by the consultants.
• The committee’s main function is to grade the
job ,revise the job description and may call on
the department head whenever necessary to give
more clarification about any job.
• The committee makes its final grading report.

73
 Grading procedure guidelines Cont.

Step Six: Result communication

• The grading result will be communicated to the
Senior Management for the purpose of
approving the both side of the grading result as
the job evaluation may need strong
commitment to meet the additional cost in
case of job cut off or salary increase, (ability to
pay)
• Union has to be fully oriented about the result.

74
 Grading procedure guidelines Cont.

Step Six: Result Implementation : HR Role.

• Informing the employees by their new grades
• Treating the hard issue of surplus.
• Creating the mechanism of grievance and
appeal procedures.
• Continuous revision and updating to the
system

75
 Linking pay to salary bands / Job Pricing

 Union/Management committee will

recommend an appropriate pay structure,
 Jobs are placed in salary Bands only on the
basis of the decision requirements of their
duties.
 Salary data should be collected by making
external salary survey.
 Bench – mark jobs and high flier jobs are to
be put into consideration.

76
 Grading procedure guidelines Cont.

Using job evaluation for setting pay:

 Analyse jobs and rank them

 Group jobs into grades/bands
 Link pay to the bands

77
 Different methods of conducting JE

Job ranking method

Each job as a whole is compared with other jobs
until all the jobs have been evaluated and ranked.

All jobs are ranked in the order of their

importance from the simplest to the hardest or
from the highest to the lowest.

The importance of order of job is judged in

terms of duties, responsibilities and demands on
the job holder.

78
 Job Ranking cont.
1. Analyze and describe jobs, bringing out those
aspects which are to be used for purpose of job
comparison.
2. Identify bench-mark jobs (10 to 20 jobs, which
include all major departments and functions). The
jobs may be the most and least important jobs, a
job midway between the two extremes, and others
at the higher or lower intermediate points.
3. Rank all jobs in the organization around the
bench-mark jobs until all jobs are placed in their
rank order of importance.

79
 Job Ranking cont.

4. Finally, divide all the ranked jobs into

appropriate groups or classifications by
considering the common features of jobs such
as similar duties, skills or training requirements.
All the jobs within a particular group or
classification receive the same wage or range of
rates.

80
81
 Point rating method
This is the most widely used method of job evaluation.
Under this method, jobs are broke down based on
various identifiable factors such as skill, effort, training,
knowledge, hazards, responsibility, etc. Thereafter,
points are allocated to each of these factors.
Weights are given to factors depending on their
importance to perform the job. Points so allocated to
various factors of a job are then summed. Then, the
jobs with similar total of points are placed in similar
pay grades. The sum of points gives an index of the
relative significance of the jobs that are rated.

82
Procedure for Point rating JE Method

1. Determine degrees of each factor and assign point

value to each degree.
2. Point values are assigned to different degrees on
the basis of arithmetic progression.
3. Finally, money values are assigned to points. For
this purpose, points are added to give the total
value of a job. Its value is then translated into
money terms with a predetermined formula.
4. Determine the jobs to be evaluated. Jobs should
cover all the major occupational and levels of
responsibility to be covered by the method.
83
 Procedure for Point rating JE Method Cont.

5. Decide on the factors to be used in analyzing and

evaluating the jobs. The number of factors needs
to be restricted because too many factors result
in an over-complex scheme with overlap and
duplication between factors.
6. Define the factors clearly in written. This is
necessary to ensure that different job raters
interpret a particular factor in the same sense.

84
Advantages of point rating method

1. It is the most comprehensive and accurate

method of job evaluation.
2. Prejudice and human judgment are minimized,
i.e. the system cannot be easily manipulated.
3. Being the systematic method, workers of the
organization favour this method.
4. The scales developed in this method can be
used for long time.
5. Jobs can be easily placed in distinct
categories.

85
Disadvantages of point rating method

1. It is both time-consuming and expensive

method.
2. It is difficult to understand for an average
worker.
3. A lot of clerical work is involved in recording
rating scales.
4. It is not suitable for managerial jobs wherein
the work content is not measurable in
quantitative terms

86
 Point Method key characteristics

Three common characteristics of point methods

◦ Compensable factors
◦ Factor degrees numerically scaled
◦ Weights reflect relative
importance of each factor
 Most commonly used approach
to establish pay structures in U.S.
 Differ from other methods by making explicit
the criteria for evaluating jobs -- compensable
factors
Comparison of Job Evaluation Methods

Advantage Disadvantage

Cumbersome as number of
Fast, simple, easy to jobs increases. Basis for
Ranking
explain. comparisons is not called
out.

Classificatio Can group a wide range of Descriptions may leave too

n work together in one system. much room for manipulation.

Compensable factors call

out basis for comparisons.
Can become bureaucratic
Point Compensable factors
and rule-bound.
communicate what is
valued.
 JE simply means………

Studying/ analyzing the value , importance , and

necessity of a particular job
Key factors considered for Job Evaluation are:
 Volume of responsibilities
 Output / deliverables
 General/ specialty
 Decision makers / decision followers
 Emerging needs of the company
89
 Communication
Communication is paramount to a successful job
analysis project, and it is up to the analyst to make
sure all participants are properly informed.
Without proper communication, participants may
be suspicious of the process and may not provide
important information.

Communication to the participants should take

place prior to a job analysis session and again at the
start of a session. The briefing to participants and
other stakeholders should be comprehensive, open
and honest, stressing that their co-operation is
voluntary, but that their assistance and insights are
essential to success.
90
91
Comparison of Job Evaluation Methods
Advantage Disadvantage

Ranking Fast, simple, easy to Not very accurate , not

explain, suitable for useful for large org.
small org, not least used method
expensive.
Classification Can group a wide Not useful for large
range of work together org, time consuming,
in one system, simple, not involved detailed
more accurate than job analysis.
raking method.

Point Compensable factors Can become

call out basis for bureaucratic and rule-
comparisons. bound.
Compensable factors
communicate what is
valued.
Comparison of Job Evaluation Methods

Advantage Disadvantage
Factor comparison Finds wages for a Expensive, time
method job, wages can be consuming,
calculated speedily,
greater consistency
in the judgment, size
of jobs can be
measured.
1. Why conduct job evaluation?
2. Uses of J.E
3. Methods of JE
4. Process of J.E

94
95
Determining an Internally Aligned Job Structure

Internal
Job analysis Job Job Job
alignment
description evaluation structure

Work
relationships
within Some Major Decisions in Job Evaluation
organization • Establish purpose of evaluation
• Decide whether to use single or multiple plans
• Choose among alternative approaches
• Obtain involvement of relevant stakeholders
• Evaluate plan’s usefulness
 JE Committee

A job evaluation program should be carried out by a

committee.

1. Avoids prejudice or biases

2. Comprised of peers, colleagues and executives

3. Should involve people from different backgrounds

and expertise
4. Train the committee members on the selected JE
method
97
The Steps in Evaluation Process

98
 Steps in Point Method
1. Create Job Evaluation Committee
2. Select Benchmark Jobs
3. Choose Compensable Factors
4. Define Factor Degrees
5. Determine Weight of each Factor
6. Determine Point Values
7. Verify Factor Degrees and Point Values
8. Evaluate All Jobs
9. Result acceptance from the senior Management.
10. Communication, implementation & application
11. Anomalies and grievances committees
12. Updating & revising. 99
100
 Point Rating Method

Choose Compensable Factors

―Universal‖ factors:
 Skill
 Effort
 Responsibility
 Working Conditions
 Custom factors
 Sub-Factors

101
 Compensable factors
1. Communication and Relationship skills
2. Knowledge, Training and experience
3. Analytical and judgment skills
4. Planning and organization skills
5. Physical skills
6. Policy and Service development implementation
7. Finance responsibility
8. Supervisory role
9. Information resources
10. Freedom to act and decision making
11. Physical Effort
12. Mental Effort
13. Emotional Effort
14. Working Conditions 102
Point Rating Method

 Define Factor Degrees:

◦ Provides levels within each factor or sub-
factor
◦ Best to define each level in job-specific terms
◦ Fewer degrees required if system only needs
to cover a smaller range of jobs

 Determine Weight of each Factor

103
Steps in Point Method

Verify Factor Degrees and Point Values

◦ Committee members score random set of
jobs (or all)
◦ Review scores to determine logical
consistency and fairness
◦ Make sure points are consistent with
business strategy of your firm
◦ Adjust as necessary

104
 Points Assigned to Factor Degrees

1st 2nd 3rd 4th 5th

Factor Degree Degree Degree Degree Degree
Skill
1. Knowledge 14 28 42 56 70
2. Experience 22 44 66 88 110
3. Initiative and Ingenuity 14 28 42 56 70
Effort
4. Physical Demand 10 20 30 40 50
5. Mental or Visual Demand 5 10 15 20 25
Responsibility
6. Equipment or Process 5 10 15 20 25
7. Material or Product 5 10 15 20 25
8. Safety of Others 5 10 15 20 25
9. Work of Others 5 10 15 20 25
Job Conditions
10. Working Conditions 10 20 30 40 50
11. Hazards 5 10 15 20 25
Point rating method cont.

106
Point rating method cont.

107
108
Rating Summary

109
 Tips On Scheme Design

◦ Simplify.’

◦ Make schemes less wordy and subjective.’

◦ Make sure scheme covers whole

organization.’

◦ Consider factor definitions more carefully.’

110
 Tips On Scheme Design cont.

◦ Allow for flexibility and creating new job families.’

◦ Use more meaningful and less generic job

descriptions.’

◦ Define clearer boundaries between bands.’

◦ Move towards job families and wider bands.’

◦ Clarify promotion routes and career paths.’

111
Steps in Point Method

Verify Factor Degrees and Point Values

◦ Committee members score random set of
jobs (or all)
◦ Review scores to determine logical
consistency and fairness
◦ Make sure points are consistent with
business strategy of your firm
◦ Adjust as necessary

112
 Factor :knowledge/ skill
This factor measures the minimum level of job
knowledge and preliminary training required to
perform the job. However, informal education and
functional equivalencies should also be considered.
Education and training can include:

 vocational training; apprenticeships;

 course work, certificates, diplomas and degrees
required from educational institutions;
 correspondence courses; seminars and
workshops;
 licensing or certification programs; and other
educational or training requirements.
113
 Working Experience
Prior experience measures the minimum amount of
practical experience that an average individual
having the appropriate theoretical knowledge,
specific education and specialized training required
to enter or begin performing the job being rated.

Previous experience includes experience in related

or lower jobs, other relevant work or life
experience necessary to perform the job.

114
 Effort
This factor measures job demands requiring
concentration or alertness. It considers the intensity
(level of difficulty or strain) and duration of job tasks.
Characteristics to be considered include:
visual concentration;
 hearing concentration and strain;
other sensory concentration (taste, smell, touch);
 repetitiveness of tasks requiring alertness;
 the need for exact results and precision;
 effect of interruptions;
 time pressures to complete tasks;
 degree of flexibility to control work
pace/schedules
 vigilance and unusual attentiveness. 115
 Physical effort
This factor measures job demands requiring physical
effort.
It considers the intensity (level of difficulty or strain) of
job tasks.
Characteristics to be considered include:
 physical exertion and handling (e.g. lifting, carrying,
 pushing, pulling);
 manual dexterity (both gross and fine motor skills);
 body control and reflex requirements;
 the required strength, endurance and stamina;
 body postures and movement (e.g. walking, sitting,
 standing, climbing, bending); and eyestrain.
In jobs with multiple tasks involving physical demands,
each task should be evaluation
116
 Responsibility
This factor measures the degrees of job structure
and opportunity to make decisions and influence
change. This factor also measures the variety,
diversity, difficulty and novelty of work as well as
the choice of action required in applying methods,
standard practices, precedents, procedures or
policies to complete tasks. Characteristics to be
considered include:
 freedom to act and degree of control;
 the level of supervision received;
 the variety, diversity and novelty of tasks;
 the difficulty of tasks;
 the degree to which independent action
/judgment is required; and the importance of the
decisions required. 117
 Responsibility cont.

The extent of ability required and responsibility for

working with and through other people to achieve
the desired results.

Considers the complexity and frequency of

different contacts and communication behaviours,
the purpose for interaction and the situation in
which contact occurs.

This factor applies only where contacts are

essential to the effective performance of the job.
Some examples of types of contacts and behaviours
considered are: 118
 Contacts

General public Administrators . Clients

Team members Government Representatives
customers Colleagues ,Suppliers
Board members
Special interest groups
Professionals/advisors
Suppliers
Interpreting
Exchanging routine presenting
information , selling
listening , helping buying
monitoring , advising interviewing
counseling, persuading directing
negotiating teaching/instructing

119
 Supervisory
This factor includes the direct supervision of full and part-
time employees, and measures direct accountability for
managing human resources. It also assesses the character,
complexity and job demands associated with supervising the
work of others
Characteristics to be considered include responsibility for:
hiring and providing orientation for new employees;
assessing performance, providing training, coaching and
 feedback;
 providing on-the-job guidance, direction and assistance;
checking or reviewing work;
scheduling, organizing and coordinating work;
building morale and employee relations;
 counseling employees on work-related matters;
handling discipline problems
120
 Accountability
This factor measures the impact or effect of decision
situations on the organization and potential loss of time
and/or resources or impact on the organization from
potential errors in judgment or action. Accountability
should be considered in terms such as:
handling money;
 potential of damage or loss involving mechanical
/office
equipment or supplies;
safeguarding of restricted information;
provision of instruction or concepts to students;
 the seriousness of an error;
 the length of time it would take to correct an error;
 potential embarrassment or loss of esteem to the
organization or department.
121
 Environment

This factor measures the likelihood, frequency

and severity of exposure to undesirable features
in the work environment.

The environmental aspects are unavoidable given

the nature and requirements of the job.
Characteristics to be considered include:

122
 Classification guide
In the application of the foregoing basic guides, the
following rules shall apply:
(a)It is the position or job that is under
consideration and not the individuals who work
on the job.
(b) Positions or jobs are to be classified without
regard for existing rates of pay.
(c) Positions or jobs are to be rated in the
appropriate degree level in each factor by
considering the specific requirements of each
position or job in relation to the statement of
activities in each factor level, and by using as a guide
the sample Job Descriptions and Classifications.
123
 Classification guide cont.
d) Classification of each position or job shall take
into account the kinds of work performed and the
resulting duties, responsibilities and surrounding
circumstances which the employee on the position
or job is performing.
(e) No interruption between factor levels is
contemplated in the use of this Plan. In the
determination of the final job class for a position or
job, total the numerical classification points for the
factor degree levels to which the position or job
is assigned in the ten factors. Compare the total
points to the job classification point scale in the
following chart and assign the job to the
corresponding job 124
Apply method to Non-benchmark Jobs

 Final step involves applying plan to remaining

jobs

◦ Benchmark jobs were used

to develop compensable
factors and weights

 Trained evaluators will evaluate

new jobs or reevaluate jobs
whose work content has changed
 Who Should be Involved?

 Committees, task
forces, or teams of key
representations

 Appeals/review
procedures
Confidentiality agreement

I, ______________________, promise to respect and

preserve confidentiality in all matters related to the
business of the xyx co Ltd Job Evaluation Program. This
includes any and all information relating to the
responsibilities and functions of the Joint Job Evaluation
Program and the Joint Job Evaluation Appeals. ,,,,,,,,,,,,,,,etc

127
Role of JE Committee

 A joint committee appointed by the

Employer and the Union to deal with
appeals lodged by the incumbent(s) and/or
management with respect to the rating of a
job
 Ensures fairness and maintains integrity in
the the Job Evaluation process
 Meets (as required) to review appeals
under the Joint Job Evaluation Program

128
129
Completing the Job Analysis Questionnaire
(JAQ)

130
 This is Your Opportunity

 To tell us what you do by completing a Job

Analysis Questionnaire (JAQ)
 To work together where there are multi-
incumbents in a single job classification (form a
working group)
 People can do their JAQ on work time
◦ Do a bit at a time; not all at once
◦ Should take not more than 3 or 4 hours total
◦ Check with your Supervisor to schedule time

131
The Job Analysis Questionnaire

 No right or wrong answers, no extra

points for using ―buzz words‖

 Consider completing in two sessions

rather than all at the same time

 Keep examples/descriptions concise and

avoid jargon; point form is fine

132
 The Job Analysis Questionnaire

Consists of two parts:

 Part A involves describing your job
responsibilities and core job requirements

 Part B involves completing a structured

questionnaire designed to provide specific
information needed for evaluation purposes

133
Part A: Job Description

 The first part of the package focuses on key

responsibilities and core requirements
associated with your job

 Intended to summarize the requirements of

the job, not describe every activity or task
carried out

 Existing job descriptions will help in

completing this section

134
Part A: Job Description

 Key responsibilities to be documented using

a specific format:

◦ First, identify the output(s) – actions taken,

results

◦ Second, summarize how the responsibility

(process) is carried out

135
 Part A: Job Description
 Focus on current responsibilities as of
May 31, 2005 – changes that may occur in
the future will be handled through the
maintenance process
 Most jobs have between 4 and 8 key
responsibilities
 An example is included in the package to
illustrate the form and level of detail
when describing key responsibilities

136
Part A: Job Description

 Scope Data is not directly evaluated but helps to

put the job into context
Purpose of Job – why does it exist and how
does is support the work the unit/team
Direct and indirect supervision – job titles and
numbers of employees
Budget – most interested in discretionary
portion of total budget
Other Scope – acting as a media spokesperson,
spending limits, etc.
137
The Job Analysis Questionnaire

 Core Job Requirements

◦ Technical/functional knowledge related to an
occupation, field of work, discipline. Most typically
acquired through formal education, training and
experience in the field of work
◦ Supplementary Knowledge required in addition to
the technical/functional knowledge
◦ Education/Experience – is not directly evaluated but
helps to put core job requirements in context;
include any credentials/licenses that are mandatory,
not preferred

138
Part B: Job Analysis Questionnaire
 10 specific question areas with response areas
 Focus on typical ongoing job requirements (not
unusual circumstances)
 Response levels describe general
characteristics that can be applied to different
kinds of jobs—look for the closest match to
the job and provide a brief example that
illustrates same

139
 Part B: Job Analysis Questionnaire
 If none of the response statements appear to
describe your job, answer the question in your own
words
 If a question does not apply to your job, record
N/A in the blank space provided.
 Always provide a brief example or explanation,
where requested. Space has been provided
 Deadline – xxxxxx – submit to Supervisor
(Manager/Supervisor)
 Deadline – xxxxxxx – due in HR

140
 What Next?

 Trained Compensation Specialists evaluate

jobs as per Manual of Procedures

141
What will happen?

RELEASE OF
RESULTS

ACCEPT APPEAL
(30 Calendar days to appeal)

142
What will happen?

 Jobs  Green Circled

 Jobs = (Unchanged)
 Jobs  Red circles
(Salary
protection
formula)

143
 Salary Protection Formula

 Maintain current salary if present hourly rate is

higher than proposed job rate as follows:

 3 weeks per year of service up to a maximum

of 18 months

 Then placed at job rate in lower salary range

to minimize financial impact

144
Myths About JE

 JE is a way to control salary costs

 Not True: JE simply ranks jobs based on relative
value
 JE will reduce the number of jobs
 Not True: Management decides the size of the
workforce to deliver service to the public
 The Collective Agreement provides a process
for deleting jobs, layoffs, etc.
 JE is a reward for good performance
 Not True: JE measures the job not the person

145
Joint Reconsideration Committee (JRC)

 Union and employer representatives across

the organization will be trained in job
evaluation

 Members will be called upon to review

Appeals as required

146
 Appeals

 Appeals will be reviewed by a Joint

Reconsideration Committee (JRC) consisting of
two Union and two Employer Representatives

 If JRC is unable to arrive at a decision, the

matter shall be referred to a sole Arbitrator.

147
Correcting Inconsistencies

 Matching or evaluating jobs in family or

equivalent groups eg all finance jobs, all unique
specialist jobs from an occupational group) as
this allows for ongoing comparisons and
provides some immediate internal consistency
checks.
 Avoiding being influenced by current or
anticipated pay levels.

148
After an evaluation……..
 Check individual factor matching and evaluation
against jobs with similar features during the
process (not necessarily similar jobs eg the
physical skills demands of an IT job requiring
keyboard skills could be checked against clerical
and secretarial jobs on this factor.
 After the evaluation exercise the committee
should check:
- Internal consistency checks
- Check evaluations on a factor by factor basis by
ranking the batch ( usually a batch can be 10
jobs) 149
 After an evaluation……..
Check total weighted score rank order, identifying
and reviewing any apparent oddities

 Do manager and supervisor jobs match or evaluate

higher than the jobs they manage

or supervise on those factors where this is to be

expected eg responsibility for policy
 Do specialist jobs match or evaluate higher than the
relevant practitioner jobs on those factors where
this is to be expected eg knowledge, analytical and
judgmental skills, responsibility for human resources150
After an evaluation……..

 Do practical manual jobs match or evaluate

higher than managerial or other jobs where
hands-on activity is limited on those factors
where this is to be expected e.g physical skills,
physical effort, working conditions?
 Over-evaluation of jobs
 Under- rated jobs

151
152