Salary scales

Salary scales typically have a number of grades – six are used here. Within each grade, there may be a number of steps – ten are used here.

		Step or annual increment
		1	2	3	4	5	6	7	8	9	10
Grade	A	800	848	899	953	1010	1071	1135	1203	1275	1352
	B	530	562	596	631	669	709	752	797	845	895
	C	350	371	393	417	442	468	496	526	558	591
	D	230	244	258	274	290	308	326	346	367	389
	E	150	159	169	179	189	201	213	226	239	253
	F	100	106	112	119	126	134	142	150	159	169

 

Individual organisations use salary scales in very different ways.

Rigid or flexible

Some organisations will ensure that every salary fits exactly into a grade and step. Other organisations will use the scales as a guide only with much more flexibility on actual salaries.

Grade the person or the post?

Some organisations grade the post; the team member must accept that grade if they occupy that post. Other organisations will grade the person and pay them accordingly whatever post they occupy.

Start at the bottom?

Some organisations insist that new recruits start at step 1 of their grade. Other organisations will take previous employment or market forces into account and start at a higher step.

Automatic or performance related step increases?

Some organisations will award an automatic one step annual increase within the grade. Other organisations will make this subject to satisfactory performance or award more than a one step increase for exceptional performance.

Range?

Some organisations have a policy to limit the difference between the salary received by the lowest paid and the highest paid team member. In the example above the starting salary in the highest grade is eight times that in the lowest grade.

What happens after step 10?

Some organisations will pay no further annual increments when a team member reaches the highest step in their grade. Other organisations may promote the team member into the grade above.

Promotion

The salary in the highest step of one grade may be higher than the salary in the first step of the grade above – as in the example above. If someone in the highest step is promoted to the grade above, should they start at step one and effectively suffer a salary reduction?

Market forces

Some organisations will not negotiate salaries, the post or the person is graded and then an offer made accordingly. Other organisations are prepared to negotiate a significant supplement to the salary indicated by the salary scales in order to attract the candidate they want.

Salary scale reviews

Salary scales are reviewed to take account of both cost of living and market conditions. All grades may be increased by the same percentage; alternatively lower grades may enjoy a higher percentage increase than higher grades.