Job evaluation: A srtategy for compensation consistency

Job evaluation has always existed in one form or another. As soon as you have two employees in different grades being paid different wages you have started evaluating the relative importance of the jobs. Once a right candidate is placed on a right job, the person needs to be duly compensated for the job he/she performs. In the pursuit of equal payment, there should be established a consistent and systematic relationship among base compensation rates for all the jobs within the organizations. Job evaluation involves deciding the relative importance of some or all of the different jobs within an organisation. The present paper is an attempt to study the effectiveness and managerial implications of Job evaluation. The information generated by job evaluation may also be used for improvement of selection, transfer and promotion procedures on the basis of comparative job requirements. Working out a systematic method for assessing a wide range of jobs takes time and patience.