Job Evaluation

1) Job Evaluation

One of the key components to salary administration is job evaluation. Job evaluation is a process to value and make consistent judgments in regards to the relative scope, complexity and importance of jobs in an organization. The key objectives of job evaluation are to create a salary structure and ensure that both pay equity and internal equity are achieved.

The most widely used and tested job evaluation programs are:

The universal point factor program: which relies on job descriptions, compensable factor scales to interpret the job description

Our recommended scored questionnaire approach: which uses a close-ended questionnaires to collect quantitative data about jobs; and supplemental qualitative job analysis information. It provides an even-handed approach to evaluating jobs and minimizes job description interpretations by a job evaluation committee. This approach relies on statistical analysis to determine the average response for each question.

EMEND works with clients to develop and implement a universal job evaluation point factor plan (and/or a derivation of such a plan). We believe this program not only provides the best possible results, but is also the most gender neutral. A point factor program based on a scored questionnaire methodology uses a set of legally compliant compensable factors to determine the value and worth of jobs.

Typically, compensable factors can be broken down into 4 separate categories:

• Skill (experience, education and ability)
• Responsibilities (fiscal and supervisory)
• Effort (mental and physical)
• Working conditions (location, hazards and extremes in environment)

Important basic concepts when evaluating jobs include:

• Evaluating jobs, not people
• Considering job profiles
• Considering regular and recurring / standard acceptable requirements.

EMEND works in partnership with clients to focus on the following 12 key milestones of job evaluation:

1. Assess, strategize and plan
2. Obtain resources
3. Begin executing the communication plan for the project
4. Appoint and train the job evaluation committee(s)
5. Develop job evaluation tools: Questionnaires and Job Profiles
6. Collect job data from employees and supervisors
7. Evaluate jobs and develop a job hierarchy
8. Conduct market pay analysis for benchmark jobs
9. Develop a new grade and salary structure
10. Conduct internal and pay equity analysis
11. Implement job evaluation and enforce communication to all groups
12. Monitor, electronically maintain and enhance program regularly

A successfully implemented job evaluation program will impact an organizations bottom line with:
• Increased productivity
• Positive employee actions
• Good morale
• Union/workforce buy-in/acceptance

2) Documenting Job Content / Descriptions

A work or job analysis initiative improves communication efforts by translating an organization’s strategic plan into specific roles and responsibilities. Job analysis can also be used in many other initiatives such as hiring, training and development, succession planning, and assisting an organization in determining where processes can be eliminated or streamlined.

Job analysis helps to identify elements of the workflow for outsourcing to increase productivity or reduce costs. Although challenging, when communicated in such a way that wins over employee support, a work or job analysis will:

• Clarify employee duties and responsibilities
• Provide performance standards to be achieved
• Improve communication and;
• Motivate the employees by giving them a strong sense of value to their input

EMEND will work in partnership with clients to:

  1. Obtain top management support and ensure that jobs are classified properly.
  2. Gain employee acceptance and support by communicating the business objectives of the initiative.
  3. Decide who will conduct the analysis.
  4. Adopt a workflow-oriented mindset.
  5. Consult secondary sources such as industry association materials and survey descriptions before beginning the initiative.
  6. Choose and execute the appropriate data collection method(s).
  7. Document the analysis once the data collection is complete.
  8. Obtain necessary approvals
  9. Test the results of the initiative for legal compliance with Pay Equity and Employment Equity regulations.
  10. Conduct a reality test and examine questions and recommendations aimed at improving quality and efficiency.
  11. Formulate and illustrate specific recommendations by using workflow charts and final job descriptions.

The world is ever changing: methods and processes become outdated, companies are reorganizing and creating new jobs in the process, and new technologies are continuously being introduced. As these events occur, job documentation needs to be updated accordingly. Should an organization choose not to implement a systematic approach in keeping their job descriptions current and updated, it risks missing opportunities for improved quality and efficiency. Furthermore, a company may end up in a difficult position if it is ever challenged on the employment-law front.

Capitalize on Your People

  • Attract and retain the best employees
  • Increase productivity and raise morale
  • Become a high-performance organization

Contact EMEND Today

EMEND Management Consulting Inc.

Brookfield Place
TD Canada Trust Tower
161 Bay Street, 27th Floor
P.O. Box 508
Toronto, ON M5X 1C9

PHONE: 416.657.0599
FAX: 416.657.9139