What is Job Evaluation?
‘Job Evaluation’ refers to the systematic evaluation of the job roles, that allows the companies to compare the positions across the industry as well as with other companies. It is usually undertaken to understand whether the employees are compensated as per the industry standards.
It can be quite a comprehensive task wherein the HR should analyze each job position in the company and compare the same with the same or similar designations throughout the industry and come up with a compensation package that is both attractive for the employee as well as cost-effective for the company.
As job evaluation deals with the salary package of employees, it is a good practice to discuss the same with the trade unions before making any changes.