UNIT 4

J O B E VA L U A T I O N
C O M P E N S A T IO N & R E WA R D
S Y S T EM

Prof. Lata Singh 12/8/21

 Job Evaluation
2

What is this?
It is .similar as other evaluations.
How it is different from Performance evaluation?

Prof. Lata Singh 12/8/21

 How it moves ahead?
3
Objectives of Job
. evaluation

Job Analysis

Job Descriptions Job specifications

Job evaluation
programme

Wage survey

Employee
classification

Prof. Lata Singh 12/8/21

 Methods of Job evaluation
4

Comparison Method Analysis

Method Entire Job Job
Factors
Job Against Scale 
Classification
Point Method

Factor
Ranking
Job Against Job Comparison

Prof. Lata Singh 12/8/21

 Compensation Management
5

Why C.M.
Wages
Salary

Prof. Lata Singh 12/8/21

 Model of the consequences of pay Di-satisfaction:
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. Performance
Desire for more
pay Strikes

Grievances

Search Turnover

Pay Dis- Reduced Absenteeism

satisfaction attraction
Job Dis-
satisfaction

Psychological Dispensary Visits Poor mental

withdrawal health

Prof. Lata Singh 12/8/21

 Compensation Structure in India
7

Basic Wages/ Salary

Dearness Allowances
Bonus & other Incentives
Fringe benefits

Prof. Lata Singh 12/8/21

 Basic wages/ Salary
8

Minimum wages
Need based wage
Fair wage
Living wage
State regulation of wages
Wage Boards
 Pay commissions

Prof. Lata Singh 12/8/21

 Dearness Allowances
9

Flat rate
Graduated scale

Prof. Lata Singh 12/8/21

 Fringe Benefits
10

Supplement to regular wages & salaries

* Payment without work
* Health & safety benefits
* Retirement Benefits
* Medical, legal, child care, educational, recreational
facilities.
* Subsidized housing, transport, lunch facility

Prof. Lata Singh 12/8/21

 Reward System:
11

Monetary rewards- value of rewards, amount of

rewards, timing of rewards, likeliness of rewards &
their fairness.
* Promotion
*Compensation
Non- Monetary rewards

Prof. Lata Singh 12/8/21

 Non- Monetary Rewards
12

.
TREAT
Knick –
•Free lunches Awards
Knacks Environment
•Coffee
•Decorative •Renovation
breaks •Trophies
•Diaries •Music
•Picnic •Certificates
•T- shirts •Flexible ours
•Dinner with •Letters of
•Calendars • e-mails
Boss appreciation
•Co. watches
•B’day treat

On the job
Social Tokens
rewards
Acknowledge •More
ment •Movie tickets
responsibility
•Vacation trips
•Job rotation
memberships •Early time off
•training

Prof. Lata Singh 12/8/21

 Example: Colgate Palmolive
13

Three level scheme- innovative ideas &

entrepreneurial action from employees
“You can make a difference”
Quarter- local levels
Yearly- National level
Top 2 – global level

Prof. Lata Singh 12/8/21

 Example: Modi Xerox
14

Annual achievement award-

A cheque of Rs. 500 to every team member.

Prof. Lata Singh 12/8/21