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JOB EVALUATION & SALARY STRUCTURE DESIGN Seminar Speaker & Facilitator: RAFAEL Z. PERFECTO, F.P.M.
EFFECTIVE SALARY ADMINISTRATION Internal Job Value - Job Evaluation External Job Value - Salary Survey/Design Pay for Performance - Performance Appraisal
OBJECTIVES OF JOB EVALUATION To  Measure the value of jobs within the company To attract and retain highly-motivated and well- qualified employees
JOB EVALUATION A systematic process of measuring the relative value of jobs within the organization for the purpose of administering compensation in a rational way. PERFORMANCE APPRAISAL An objective process of measuring the performance (quantity & quality of output) of an employee for the purpose of motivation, performance improvement, and reward.
JOB ANALYSIS ,[object Object],[object Object],[object Object]
JOB DESCRIPTIONS ,[object Object],[object Object],[object Object]
Steps in Developing Job Descriptions ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Job Description Format ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
WORDS TO AVOID ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
WORDS TO AVOID ,[object Object],[object Object],[object Object]
ENSURING FAIRNESS & OBJECTIVITY IN THE RATING PROCESS ,[object Object],[object Object],[object Object],[object Object]
ENSURING FAIRNESS & OBJECTIVITY IN THE RATING PROCESS ,[object Object],[object Object],[object Object],[object Object]
JOB FACTORS Relevant work experience  Education  Accountability  Human Relations Skill  Analysis & Decision Making  Working conditions (Hazards & Physical demands) Supervision
Note:  Each factor is assigned percentage weights depending on which factors management wishes to give greater weight or importance.  JOB RATING PLAN The measuring device used to rate jobs. It defines the individual job factors and their corresponding degrees.
[object Object],[object Object],[object Object],[object Object],[object Object],JOB EVALUATION COMMITTEE A group of five (5) to nine (9) managers of the company, representing the different departments/divisions, who will be responsible for rating the different jobs.
WAGE DISTORTION “ A situation where an increase in the prescribed wage rates results in the elimination or severe contraction of intentional quantitative differences in wage or salary between and among employee groups in an establishment as to effectively obliterate the distinctions embodied in such wage structure based on skills, length of service, or other logical bases of differentiation”
SALARY MARKET DATA ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Sources of Salary Data ,[object Object],[object Object],[object Object],[object Object]
SALARY STRUCTURE DESIGN ,[object Object],[object Object],[object Object],[object Object],[object Object]
Analyzing Market Data ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Basic Rules in Designing a Salary Structure ,[object Object],[object Object],[object Object]
Basic Rules in Designing a Salary Structure ,[object Object],[object Object],[object Object]
TYPES OF SALARY INCREASES Merit Increase (based on performance) Promotion Increase Skill or Competency Increase Salary Adjustment: JE implementation, JE reclassification General Increase or “across-the-board”
FOR YOUR TRAINING NEEDS. “ Excellence in People Development.” TEL: (02)964-7068; 0917-890-9595 FAX: 806-5743 EMAIL:  [email_address]

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Job Evaluation and Salary Design

  • 1. JOB EVALUATION & SALARY STRUCTURE DESIGN Seminar Speaker & Facilitator: RAFAEL Z. PERFECTO, F.P.M.
  • 2. EFFECTIVE SALARY ADMINISTRATION Internal Job Value - Job Evaluation External Job Value - Salary Survey/Design Pay for Performance - Performance Appraisal
  • 3. OBJECTIVES OF JOB EVALUATION To Measure the value of jobs within the company To attract and retain highly-motivated and well- qualified employees
  • 4. JOB EVALUATION A systematic process of measuring the relative value of jobs within the organization for the purpose of administering compensation in a rational way. PERFORMANCE APPRAISAL An objective process of measuring the performance (quantity & quality of output) of an employee for the purpose of motivation, performance improvement, and reward.
  • 5.
  • 6.
  • 7.
  • 8.
  • 9.
  • 10.
  • 11.
  • 12.
  • 13. JOB FACTORS Relevant work experience Education Accountability Human Relations Skill Analysis & Decision Making Working conditions (Hazards & Physical demands) Supervision
  • 14. Note: Each factor is assigned percentage weights depending on which factors management wishes to give greater weight or importance. JOB RATING PLAN The measuring device used to rate jobs. It defines the individual job factors and their corresponding degrees.
  • 15.
  • 16. WAGE DISTORTION “ A situation where an increase in the prescribed wage rates results in the elimination or severe contraction of intentional quantitative differences in wage or salary between and among employee groups in an establishment as to effectively obliterate the distinctions embodied in such wage structure based on skills, length of service, or other logical bases of differentiation”
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  • 23. TYPES OF SALARY INCREASES Merit Increase (based on performance) Promotion Increase Skill or Competency Increase Salary Adjustment: JE implementation, JE reclassification General Increase or “across-the-board”
  • 24. FOR YOUR TRAINING NEEDS. “ Excellence in People Development.” TEL: (02)964-7068; 0917-890-9595 FAX: 806-5743 EMAIL: [email_address]