Job Evaluation

Classification Method • No quantitative analysis required • Non-analytical method • there is such a yardstick in the form of job classes or grades • the number of grades is first decided upon, and the factors corresponding to these grades are then determined

EXHIBIT A

ADVANTAGES • Simplicity • Reduces doubt among employees • Suitable for small organizations • It can be used for a variety of jobs.

DISADVANTAGES • difficult to write all-inclusive descriptions of a grade • Job grade descriptions are vague and are not quantified • More job classification schedules need to be prepared because the same schedule cannot be used

POINT-RATING SYSTEM • Starts with the selection of job factors • Construction of degrees for each factor, and assignment of points to each degree • Different factors are selected for different jobs • With accompanying differences in

METHODOLOGY STEP I. Identify the factors common to all the identified jobs such as skill, effort,

Step II: • Degrees are constructed, points are further allotted to the degrees • Different factors are selected for different jobs

STEP III. • Find the maximum number of points assigned to each job • Add the point values of sub-factors if any Once the worth of a job is expressed STEP IV. in this manner, the points are converted into money values • Once the worth of a job is expressed in this manner, the points are converted into money values STEP V. • Wage survey is carried out

WAGE SURVEY PROCESS • Select key jobs, the duties of which are clearly defined and reasonably stable • Choose a sample of firms in the labor market • Obtain appropriate wage information.

WAGE SURVEY

Conversion of Job Grades Points into Money Value

POINT-RATING SYSTEM ADVANTAGES • It forces raters to look into all key factors and sub factors of a job. • The procedure adopted is very simple and can be easily explained to all employees • Point values are assigned in a systematic way eliminating all bias.

POINT-RATING SYSTEM DISADVANTAGES   • More complex and time consuming than the others. • Employees may disagree with the points, factors and their degrees identified.