In order to determine the compensation for their positions, organizations use a range of simple (i.e. market comparison) to complex job evaluation systems (i.e. point factor).
In one organization I worked for, 1% was added to payroll every 5 years as a result of upward job evaluation changes.
I found that the added costs as a result of job evaluation decisions were not as closely monitored by elected officials or senior executives, when compared to their interest in negotiated economic increases.
What type of job evaluations systems does your organization use? Are your job evaluation systems considered to part of your total compensation function? Do your systems support the concept of equal pay for equal work or internal equity?
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