Job Points Model: An Open Source Tool to Determine the Comparable Worth of Jobs.
Author | Singh, Manjari |
Position | Communication |
Introduction
Comparable worth of jobs is very critical while taking compensation related decisions in any organization. Ascertaining the comparable worth of different jobs having varied levels of responsibility, decision-making, etc. is very challenging for any organization. However, it cannot be ignored if equity and justice has to be maintained to ensure employee trust and engagement. Organizations evaluate the comparable worth of jobs by utilizing tools that are based on methods such as job ranking, job classification, factor comparison and job points. The job point method of evaluation of comparable worth is considered to be one of the most trusted methods as it is devoid of subjectivity.
As part of the mandate for 7th Pay Commission, our mandate was to find comparative worth of jobs at different levels across government, PSUs and the private sector. We developed multiple models to evaluate the comparable worth of jobs and corroborate our assessment. The model we present in this research note, referred to as "Job Points Model", alludes to one such model. This Model is developed and tested across 40 job roles from all levels of government, PSUs and private organizations. Evaluation of jobs utilizing this model was one of the inputs to our overall assessment of the comparable worth of jobs. We will briefly describe here the model and its sub components. We then provide a brief explanation of the method of its application. Finally, we briefly touch upon how the dimensions and sub dimensions were measured.
Model Description
The model has four main dimensions, namely, expertise, efforts, responsibility & accountability, and job setting, which are further divided into sub dimensions. Table 1 provides the detailed sub dimensions of each dimension and the maximum points apportioned to each dimension and sub dimension.
Procedure
The job point method requires rating jobs on objective and subjective parameters. The job description and job specification become the initial sources of objective data for important information regarding a job. The objective parameters like minimum qualification and experience required can be known directly from the job description. The subjective parameters like assessment of tacit knowledge require the usage of Delphi method where experts are solicited for their inputs regarding the extent of these parameters. A lower ceiling of the average rating is used for the analysis.
Dimensions & Measurement
In Table 2 we explicate the dimensions, sub dimensions and associated measurements in detail.
The Job Points Model is an effective tool to assess the comparable worth of jobs for intra and inter organizational comparisons. It aids in compensation decision by indicating the salary bands that should be offered for that job role. This instrument has been tested for existing job roles in different organizations and sectors and the results have been supportive of the model. Our corroboration...
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