Grades and pay structures
In this first chapter of Part Two, I deal with grades and pay structures which are often thought of as the foundations of reward. Whilst for most organizations a pay structure will be tied to a grade structure, they are not synonymous. Let me clarify the difference.
A grade structure is a way of grouping broadly similar jobs in an organization into a hierarchy that provides some degree of internal relativity. There may be as few as three grades or more than 20. A grade structure allows people to see where there may be similar sized jobs in other parts of the organization, so it can help career development. Where benefits are based on seniority, different benefits may be tied to the different grades. For example, ...
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