Grades are normally used to record the relative status of employee assignments and to determine compensation and benefits, such as salary, overtime rates, and company car.
You can define one or more valid grades for each job or position. You enter this information in the Valid Grades window, which opens from the Job window or the Position window.
When you enter a grade assignment, the list of grades shows which ones are valid for the job or position you select.
See: Valid Grades
You can associate compensation and benefits with your grades. For example, you can record a minimum or maximum salary for a grade. There are two approaches:
- Using grade rates, you can either enter a fixed value for each grade, or you can enter a minimum, maximum, and mid-point values for each grade.
- Using grade scales, you can associate each grade with several points on a pay scale, and enter compensation values for these points.
Attention: The compensation information can change independently of the grade. Therefore, you should not define it as part of the grade name. Instead you should relate it to the grade, either directly or indirectly.
See: Grade Relationships to Compensation and Benefits