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Removal of grades

Removal of grades

Posted: 18th September 2020

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  • 18th September 2020 at 2:05 pm #7366
    DanCB
    Participant

      We currently have a structure that is governed by grades. As I want to remove grades, I am doing some research on how we would apportion our benefits (PMI, car allowance specifically) which are currently intrinsically linked with our grades so that I can draw up a framework.

      Has anyone moved from grades to non-grades?
      How do you apportion benefits if you don’t have grades?
      Do you link it just with your salary benchmarking for roles?

      My nirvana is rewarding people according to their job, not who they report to, but I want it to be fair so I can defend it if I’m challenged!

      21st September 2020 at 1:10 pm #7371
      DanCB
      Participant

        Hi Maggie,

        That is a really great way of thinking about rewarding your people.  The trend we’re seeing is organisations not offering additional benefits so that everyone can choose how to spend their salary – knowing everyone will have different needs (Netflix example of giving people freedom to spend their salaries as they think best).

        We agree that it’s good to pay people for the job that they do and link to salary benchmark data.  Organisations we have worked with that already have benefits like car allowance, individual bonus scheme etc. have usually just added the amount to their base pay as it’s important they don’t feel worse off.

        Hopefully you’ll get some responses from our members who may have come across something similar.

        Good luck and let us know what you finally decide to do.

        Disruptive HR Club Team

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