Job Evaluation – Meaning, Definitions, Objectives, Process, Methods, Advantages and Limitations 

Advantages of Job Evaluation

1. It helps in creating job families by grouping jobs having similar characteristics.
2. Job evaluation enables an organization to develop a systematic and scientific basis for the determination of equitable pay and other incentives.
3. It provides a clear and objective basis for wage negotiations and collective bargaining.
4. Since job evaluation considers the behavioral, motivational and personality requirements of a job in addition to the job characteristics, it provides the basis for determining the career plans and succession plans of the organization.
5. It simplifies wage administration by making wage rates more uniform.
6. It facilitates better utilization of resources as it reveals jobs which require less or more skilled workers than those already performing jobs.
7. It facilitates job redesign by re-allocating the easy and difficult tasks equally among different jobs.

Limitations of Job Evaluation

(i) Job evaluation is not exactly scientific.

(ii) The factors taken by the programme are not exhaustive.

(iii) There may be wide fluctuations in compensable factors in view of change in technology, value and aspirations of employers etc.

(iv) It is not suited to determine the relative worth of managerial jobs as these jobs involve considerable planning, decision making and supervision of others which cannot be measure quantitatively.

(v) Employees, trade union leaders, management and the programme operators may assign different weightage to different factors, thus creating grounds for dispute.

(vi) It is time time consuming and expensive process.

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