Hi All, I am working as an HR Manager in IT Software Company. We do not have any Grading /Leveling System within our organization & currently facing issues regarding unequal payout also don't have any carrier-growth plan in place.

Though we have created few levels as -
D1 CMD
D2 Director
P1 President
P2 Vice President
P3 Assistant Vice President
M1 General Manager
M2 Assistant General Manager/Deputy General Manager
M3 Senior Manager
M4 Manager
M5 Team Lead
L1 Senior Executive
L2 Executive

However, finding it difficult to map salary against each grade as so ambiguity in Payscale with respect to departments. Please help me out how can i get this implement.
What should be the criteria for moving from one grade to other?? Experience or knowledge Skills?

Regards
HR

From India, New Delhi
Dear HR MANAGER2,

You have mentioned that you are from the IT industry. However, what is your product or service? What is the employee count?

Your question: - However, finding it difficult to map salary against each grade as so ambiguity in Payscale with respect to departments. Please help me out how can i get this implement.

Reply: - You are finding it difficult to map salary against each grade because there is a high employee attrition rate in the IT sector. The high attrition has created a skill shortage. Because of the skill shortage, the bargaining power of the job candidates increases. This pushes the salaries upward. Since the salaries keep on increasing, it becomes difficult to select a candidate that fits in the salary bracket of a particular grade.

Your question: - What should be the criteria for moving from one grade to other?? Experience or knowledge Skills?

Reply: - While moving upward from the lower grade, you need to define promotion criteria. For each level, you need to define knowledge, skills and experience level. This is a herculean task. This will require doing job analysis deeply.

Comments on the levels that you have created: - The IT companies work on a flat organisational hierarchy. In contrast, you have created a hierarchy that has 12 levels. Otherwise, my suggestions are as below:

a) You can squash M2 level of DGM/AGM. There is no need for it.
b) After M4, you may insert the level of Asst Manager
c) M5 level for the Team Lead is equivalent to a traditional "Supervisor". Therefore, it cannot be a part of the managerial cadre.
d) You may not have two "Executives", one senior and another junior. Therefore, instead of "Executive", you may convert this level into "Assistant" or just Software Developer.

The above suggestions are based on my common sense. I do not have a deep understanding of the IT industry in general and your company in particular.

Thanks,

Dinesh Divekar

From India, Bangalore

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