Asked by Margo Alvarez HB on Apr 28, 2024

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You have been asked to provide rationale for clustering jobs into so-called pay grades.What is NOT likely to be included in your rationale?

A) Clustering of organization tends to reduce labour costs.
B) It facilitates the administrative process; one pay range can cover several jobs.
C) Slight changes in job content do not necessarily trigger a review.
D) It accounts for the fact job evaluations are to a large degree subjective in nature.

Pay Grades

A structured pay scale that determines the salary range for different levels of positions within an organization.

Labour Costs

The total expenditure borne by employers for the payment of wages, benefits, and other forms of compensation to their employees.

  • Gain an understanding of the organizational frameworks for salaries, wage categories, and the process by which roles are classified and valued concerning remuneration.
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ML
michael layneMay 01, 2024
Final Answer :
A
Explanation :
Clustering jobs into pay grades primarily aims to streamline administrative processes, ensure slight job changes don't require constant review, and acknowledge the subjective nature of job evaluations. It does not inherently aim to reduce labor costs, as this is more a consequence of broader strategic decisions regarding compensation and not a direct result of clustering jobs into pay grades.