News

The importance of getting job evaluation right

By: Francois Wilbers, MD at Work Dynamics

As evidenced by the ongoing strikes on platinum mines by AMCO union members, remuneration is always going to be an area which can easily lead to conflict.

An underlying factor and often a cause of dissatisfaction is the expectation that employers must be fair and reasonable when making decisions about salaries. When it comes to remuneration, equal opportunities, appointments and promotions, employees want to believe that the organisation’s procedures, processes and interactions are conducted fairly.

Perceptions that employees have regarding the fairness of these decisions can impact their performance and the overall success of the organisation. Research indicates that these perceptions can influence trust relationships, work satisfaction, commitment to the organisations and cause counter-productive behaviour, absenteeism, staff turnover and emotional exhaustion. These are all factors which directly impact on an organisation’s success.

In the early sixties, organisational psychiatrist John Stacey Adams developed the Equity Theory as an attempt to determine employees’ perceptions of the fair/unfair distribution of resources and the impact of the satisfaction rate experienced.

According to Adams’s theory, employees try to maintain a balance between the value they add to the workplace (i.e. expertise, skill, training, etc.), the compensation that they receive for it in return (i.e. remuneration, added benefits, flexi time, etc.) and the perception they have of what the ratio of the inputs and outputs must be.

This theory is generally used by occupational psychiatrists to determine the connection between employees’ motivation and their perception of what is fair or unfair.

Job evaluation is used to pro-actively, and in a fair and reasonable way, differentiate the remuneration with regards to positions based on its content.

This is a systematic process where the value of the position is determined according to certain rules and/or values in the organisation. It entails a comprehensive analysis of each position’s tasks, responsibility, knowledge and skill requirements to determine the position’s content and to supply an internal grading system which each position will be linked to. Positions with the same grade or level will have the same remuneration scale. Obviously, job positions with complex tasks and responsibilities and high skill sets will have a higher value than positions where the tasks are simple and a low responsibility and skill set requirement.

It’s very important to note that the position gets evaluated, not the specific person in that position.

Other practices such as performance appraisals and incentive schemes which are directly linked to the performance of the employee could also influence other employees’ perceptions of how fair or unfair the organisation operates.

The following pitfalls can cause a job evaluation to be perceived as not being remunerated fairly:

  • The job evaluation method or grading system is too complicated or timeous to maintain.
  • A lack of commitment or dedication from management to adhere to the rules or values of the job evaluation.
  • Intentional manipulation of the job evaluation process to justify salary increases.
  • Confusion about what is evaluated – the position or the person in the position itself.
  • A lack of transparency which has a negative impact on how the legitimacy of the job evaluation process.

The commitment to implement the best and most thorough job evaluation process will undoubtedly result in a fair and reasonable remuneration, ensuring positive employees and a thriving environment.

Capturing the Imagination

Introducing IMAGINE – a fresh, new and holistic approach to Team Development.
Read more...


Latest News

  • Conference
    Positivism creates extraordinary employees.

    Based on my personal experience, the interview process can be as daunting for the interviewers as it can be for candidates.
    Read more...

  • Conference
    Do's and don'ts for interviewers - what the books don't tell you!

    Social Intelligence has been a progressive topic for many academics and organisations. It is simply...
    Read more...

  • Conference
    Social Intelligence in a Candy Crush world

    Social Intelligence has been a progressive topic for many academics and organisations. It is simply...
    Read more...

  • The importance of getting job evaluation right
    The importance of getting job evaluation right

    As evidenced by the ongoing strikes on platinum mines by AMCO union members, remuneration is always...
    Read more...

  • Building leadership together
    Building leadership together

    Work Dynamics’s Hazel Dunbar was one of the key note speakers at a recent Virgin Active Leadership Summit...
    Read more...

  • Interpersonal Intelligence Programme
    Happy employees have more oomph

    Who is responsible for employees’ well-being? Employees are increasingly under pressure to learn new skills...
    Read more...

  • 20 Years on
    20 Years On

    Work Dynamics recently celebrated its 20th anniversary. We spoke to CEO and founder Francois Wilbers about the years gone by and times to come...
    Read more...

  • Enhancing the profession
    Enhancing the profession

    Work Dynamics psychologist appointed as SIOPSA chair...
    Read more...

  • Conference
    Capturing the Imagination!

    Work Dynamics introduced IMAGINE – a fresh and holistic approach...
    Read more...

  • Conference
    Reach your candidates, anywhere, any time

    PageUp People, a leading multinational talent management solutions provider...
    Read more...

  • Conference
    The difference that makes the difference?

    One would think that organisations that make the largest financial returns...
    Read more...

  • Conference
    HR EVOLUTION
    5 minutes with Teresa

    New Executive Consulting Psychologist at our Pretoria office...
    Read more...

  • Conference
    MADIBA DAY
    Paying it forward

    Work Dynamics spent their 67 minutes on Madiba Day...
    Read more...

  • Conference
    Conferencing at its best

    It was a busy week for Work Dynamics at the 33rd ACSG conference...
    Read more...

  • Executive Pay
    Is there anything wrong with executive pay?

    Over the last six months South Africa witnessed unprecedented strikes...
    Read more...

  • L'oreal case stud
    L'oreal case study: A bespoke online assessment

    World leading Cosmetics Company first established over a century ago...
    Read more...

  • Coach
    Coaching interventions - What's the questions?

    Coaching has become a widely used leadership development intervention...
    Read more...

  • Conference
    33rd Annual ACSG Conference

    Visit us at Stand 17 where we'll be exhibiting at this exciting event!...
    Read more...

  • Interpersonal Intelligence Programme
    Year-end message from Work Dynamics's CEO

    Francois Wilbers shares some insight on what shaped HR in 2012...
    Read more...

  • Interpersonal Intelligence Programme
    Hire for culture, train for skill

    In a recent survey of 55 large organisations Cubiks....
    Read more...

  • Interpersonal Intelligence Programme
    Bullying as a systemic organisational phenomenon

    Bullying in organisations is mostly seen from an individual psychology....
    Read more...

  • Interpersonal Intelligence Programme
    Don't be surprised when the dog barks

    It's that time of year again to put up Christmas trees....
    Read more...

  • Interpersonal Intelligence Programme
    Changing Change Management

    We don't have the time, energy or budget for change....
    Read more...

  • Interpersonal Intelligence Programme
    Interpersonal Intelligence Programme

    Interpersonal Intelligence is one of the primary determinants...
    Read more...

  • Interpersonal Intelligence Programme
    Die Burger

    Vind gesonde balans in jou lewe. Moenie dat ambisie jou blind maak vir mooi van die lewe nie...
    Read more...

  • Talent Management
    Talent Management

    Much like the next large-scale war is likely to be over securing water, the organisational war will.....
    Read more...

  • Interpersonal Intelligence Programme
    Interpersonal Intelligence Programme

    Interpersonal Intelligence is one of the primary determinants...
    Read more...

  • CUBIKS - The new online Etray
    CUBIKS - The new online Etray

    So who is Cubiks? Cubiks is an international assessmen....
    Read more...

  • CUBIKS - The new online Etray
    New approach to performance management

    Is it time you considered a
    NEW approach....
    Read more...

  • CUBIKS - The new online Etray
    Job Evaluation &
    Work Dynamics

    Job evaluation is regarded as "best practice" in developing fair...
    Read more...

  • CUBIKS - The new online Etray
    Paterson method of job evaluation

    Who should attend? Senior Managers, Employee Representatives...
    Read more...

Work Dynamics on TV
KykNET's Dagbreek

Work Dynamics on radio

Work Dynamics presenting Executive Pay
University of Stellenbosch Business School