Job evaluation by classification
1. Classification overview
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. Each level in the grade/category structure has a description and associated job titles. Each job is assigned to the grade/category providing the closest match to the job. Separate classes may include office, clerical, managerial, personnel, etc.
The classification of a position is decided by comparing the whole job with the appropriate job grading standard. To ensure equity in job grading and wage rates, a common set of job grading standards and instructions are used.
2. Advantages of classification
• The grade/category structure exists independent of the jobs. Therefore, new jobs can be classified more easily than the Ranking Method.
• Uses job families/groups instead of individual jobs
• May produce same results as Point Method, but is less costly
3. Disadvantages of classification
• Classification judgments are subjective.
• The standard used for comparison (the grade/category structure) may have built in biases that would affect certain groups of employees (females or minorities).
• Not useful when jobs are very different from each other
• May be confusing to employees about why jobs are included in a class
• Some jobs may appear to fit within more than one grade/category.
4. Process of classification
The following steps should be followed to introduce a job classification scheme.
• Select a representative sample of benchmark jobs covering all the occupations to be included in the scheme.
• Analyze the jobs and prepare job descriptions.
• Decide on the number of grades required.
• Define each grade in terms of discernible difference in skill and responsibility.The lowest grade may cover simple work done under close, supervision, and each succeeding grade will recognize a higher level of difficulty, complexity or the amount of discretion allowed to make independent decision.
• Slot each benchmark job into a grade with reference to job and grade description.
• Grade the other jobs with reference to the benchmarks jobs and grade descriptions.