The method of categorizing, grading positions, and allocating points to tasks is termed?
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Answer: A. job evaluation
Explanation
Job evaluation is the systematic procedure of assessing job worth and allocating points to tasks. It establishes a hierarchy of jobs within an organization based on their relative importance. Categorizing and grading positions ensures internal pay equity across different departments. Job evaluation methods include ranking, job classification, factor comparison, and point systems. Compensable factors such as skill, effort, and responsibility drive the evaluation process. Human resources professionals rely on these evaluations to build rational salary structures.
Large enterprises conduct job evaluations whenever new roles are created or organizational structures change. It protects companies from wage discrimination claims by maintaining objective pay hierarchies. Employees benefit from transparent job evaluations because they clarify pay progression pathways. Job grading is merely a subset or specific step within the broader job evaluation process. Pay grading focuses strictly on assigning monetary values rather than evaluating task content. Job ranking simply orders jobs from highest to lowest without systematic point allocation.
- Subject
- Business and Management
- Category
- Human Resource Management
- Topic
- —
- Difficulty
- medium
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