Have you ever wondered why the salary of a CEO of the company is different from the salary of lower level employee or why the salary of a marketing head is different from marketing manager, the reason for it is the job evaluation which is nothing but the way of deciding how much money different jobs should be paid. Hence job evaluation looks at various aspects of a job like how much skill is needed, how hard the job is, how much responsibility it has, how the job helps the company in achieving its goals of the company and so on. In order to get a better idea about this concept one should look at some of the advantages and disadvantages of job evaluation –
Advantages of Job Evaluation
Justice to Employees
The first and foremost advantage of job evaluation is that it provides justice to deserving employees in the sense that it provides employees with a fair workplace which ensures that everyone is treated with respect as well as dignity and that employee is paid or rewarded according to the individual capabilities of each employee. Hence in a way job evaluation helps to prevent pay discrimination and promotes equity within the organization which in turn ensures that employees are satisfied with their job as well as their pay. A satisfied employee can go a long way in ensuring that the company is successful as there are many real-life examples where employees singlehandedly lead to the fall of the company no matter how good the business of the company is.
Job Evaluation Provides Clarity
Another important benefit of job evaluation is that it gives clarity to both employees as well as the top management regarding various job roles as well as the importance of each job and hence in a way it helps the company in operating in a more transparent manner. In simple words by removing confusion and giving a transparent framework job evaluation ensures that employees work towards the achievement of the company’s goals as well as personal goals.
Aligned to Company’s Objectives
Job evaluation by taking into account the company’s mission and vision can align the various aspects of jobs to company objectives and can thus be a valuable tool to ensure that job roles and responsibilities align with the company’s strategic objectives or strategic planning resulting in improved performance of all the people working in the company.
Disadvantages of Job Evaluation
Time Consuming
The biggest disadvantage of job evaluation is that it is a time-consuming process, especially for large companies which have so many job roles and job positions hence it can be a challenging task for the company as the job evaluation process usually requires the collection and analysis of extensive data, such as job descriptions, organizational charts, and employee performance data.
Biasness
Job evaluation is done by humans and humans have a tendency to favor one thing which automatically leads to biases. In the case of job evaluation, similar thing can happen as there is a risk of subjectivity in job evaluation, particularly if the process of job evaluation is not well defined or if the evaluators lack the necessary skills or knowledge thus making the whole process of job evaluation superfluous
Resistance from Employees
Another limitation of job evaluation is that employees may not like the idea of having rigidness in their job roles and responsibilities as it takes away from them any flexibility as well as the freedom to do the job which leads to them resisting the idea of job evaluation and hence creates an unhealthy atmosphere in the company.
As one can see from the above that job evaluation has pros as well as cons and that is the reason why any company thinking of doing a job evaluation should carefully read the above points and then only should take any decision regarding whether to rely on job evaluation or use some other methods along with job evaluation in order to design the job roles and responsibilities of the employees of the company