In case where one consistent job evaluation plan is used to set pay throughout a firm or organization, women nearly always receive higher wages relative to men.
A job evaluation refers to a systematic way in which a company determines the value/worth of a job in relation to other jobs in an organization. This system make a comparison between jobs to assess their relative worth for the purpose of establishing a rational pay structure.
By using a job evaluation plan, this helps the company to determine the internal value of a job in order to assign the appropriate salary level. It also helps to defines the compensable factors used to assess the relativity of jobs within an organization.
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