The salary grading system is a way of classifying positions based on their importance to the company, the level of responsibility and independence, and the necessary knowledge, skills, and experience for the position. The position is assessed using points and assigned a grade, and the salary depends on the sum of the points. Thus, each grade has its own minimum and maximum salary level.
Pay grades help to establish the salary level of specialists
Taking into account how important the position is for the company. Grades also help to make pay more transparent. Job grades are most often used in gcash database large companies, where it is important to clearly separate the roles and responsibilities of employees, the degree of their usefulness to the company.
For example, IT company X might have the following grade structure:
- Junior. This is a specialist who is just starting his career. The tasks are simple, and the experience is minimal. For example, this is a developer who has basic knowledge of SQL, C++, Java. His task is simply to develop a certain function or write code. The grade salary, for example, is from 50,000 ₽ to 80,000 ₽.
- Middle. An employee with several years of what are the advantages of working with an influencer marketing agency? experience who can already perform tasks independently. The developer’s tasks in this case are more complex than those of a junior. He knows more programming languages, understands databases, writes complex code. In this position, the employee will receive a little more, for example, from 80,000 ₽ to 130,000 ₽.
- Senior. An experienced specialist who can take responsibility for projects and manage junior colleagues. The developer reviews the code, coordinates the work of juniors and middles, and manages the project. He has more responsibility, so the salary level is higher. The value of the position is higher, the employee can receive, for example, from 130,000 ₽ to 250,000 ₽.
With the help of these grades
It will be possible to link the pay and skills, experience, abilities, and level of responsibility of employees. This motivates them to develop and grow cyprus business directory professionally. The number of grades depends on the size and organizational structure of the company, there can be 2-3, or there can be more than 20-30.
One grade may contain several completely different positions, but with a similar degree of responsibility. The importance of the position for the company’s success is also taken into account. For example, a sales manager and a marketer may have one grade, as well as the heads of their departments. However, different positions in one grade may be assessed with different numbers of points.