How to Build a Job Leveling Matrix (With Template and Examples) ⚠️

You bet! Building a job leveling matrix can feel like navigating a complex maze but once you have a solid system in place it’s a must for your company’s growth and employee satisfaction.

I’ve been there and it’s a journey worth taking.

Setting the Foundation: Defining Your Goals and Levels




Think of this as your “why” – the driving force behind creating this matrix.

Do you want to improve salary transparency? Simplify career progression? Or maybe you need a more streamlined approach to hiring? Whatever it is make it clear from the start.

Once you have your “why” in mind it’s time to decide on the number of levels you’ll have.

A smaller company might get away with just three levels – junior intermediate and senior.

But for larger organizations you might need five or even more maybe even with sublevels like “Mid-level I II and III.” This adds depth and nuance to the system.

The Power of Job Families: Grouping Similar Roles

Think of a job family as a team of different players who share similar skills and responsibilities.

It’s not about having identical roles but rather about identifying common threads.

For example you might group all the administrators in a hospital even if they work in different departments into one job family.

You want to make sure you’re creating fair and equitable job families.

That means defining clear criteria for placing roles within each family.

Consider factors like:

  • Skills: What specific knowledge and abilities are required for this role?
  • Experience: How many years of relevant experience are needed to succeed in this role?
  • Responsibilities: What are the primary duties and tasks associated with this role?
  • Impact: How does this role contribute to the overall success of the company?

Building Your Job Leveling Matrix: Step by Step

Now for the exciting part – creating the matrix itself! Here’s how to make it a success:

1. Gather Your Information: Don’t start from scratch. Get a clear picture of your current workforce. This means pulling information from HR analyzing job descriptions and mapping out the skills and experience required for each role.

2. Establish Your Levels: Now you need to define what distinguishes one level from another. This could be based on:

  • Increased Responsibilities: Do they lead a team oversee projects or have more strategic impact?
  • Complexity of Work: Does their work require advanced skills or knowledge?
  • Scope of Impact: How widely does their work affect the company or its customers?

3. Design Your Matrix: Here’s where you bring it all together. Visually represent your organizational structure. The simplest approach is to have a horizontal axis for job titles and a vertical axis for job levels. Then use the intersection points to list key information like skills responsibilities and impact.

4. Define Salary Bands and Promotion Opportunities: It’s crucial to ensure fairness in compensation. Conduct market research to see where your salaries stack up against industry standards. Then align pay scales with each job level.

5. Get Feedback: Before unleashing this matrix on your employees get input from key stakeholders like HR leaders and department heads. Make sure everyone is on board and that the matrix makes sense.

6. Communicate Effectively: Your employees need to understand this new system. Make it clear how it affects their career paths growth opportunities and pay.

7. Train Your Managers: Managers play a vital role in guiding employees through this system. They need to understand how to use the matrix effectively in development conversations.

8. Plan for a Smooth Transition: This isn’t just about putting a new system in place. You need to consider things like:

  • Timelines for implementation: Give people time to adjust to the changes.
  • Resources for employees: Offer training and support to help them navigate the matrix.
  • Feedback mechanisms: Regularly collect feedback to ensure the matrix is working as intended.

9. Continuously Improve: Your organization is dynamic so your job leveling matrix needs to be too. Keep it updated as your company grows and evolves.

Job Leveling Examples: Learning from the Best

You don’t have to reinvent the wheel.

Take a look at how other companies are approaching job leveling:

  • Wise: Their matrix focuses on individual roles providing detailed descriptions of skills behavior expertise and impact.
  • EY: They have a seven-level framework that emphasizes career development opportunities.
  • Carta: They use an eight-level matrix that rewards employees for consistent high performance.

Job Leveling for Startups vs. Established Companies: Two Different Worlds

The size and stage of your company will influence how you approach job leveling:

Startups: Roles tend to be more fluid with employees wearing multiple hats. Focus on adaptability broad skill sets and rapid career progression.

Established Companies: You’ll likely have more defined roles and career paths. Focus on streamlining existing systems and creating consistency.

The Importance of Continuous Development

Just like your business your employees should be constantly growing and learning.

Investing in their development is crucial for their growth and for the overall success of your company.

Use Deel Engage to Build a Winning Framework: Our platform is designed to help you create a clear and effective job leveling framework that fosters continuous development. We provide:

  • Built-in job leveling tools: Make it easy to create and manage your matrix.
  • Personalized career paths: Help employees understand their growth opportunities.
  • Training and development resources: Support employees on their learning journey.
  • Global HRIS: Manage all your HR needs from one platform.

Ready to Level Up Your Company? Contact us today for a free demo of Deel Engage and learn how we can help you build a winning job leveling system.

Remember creating a job leveling matrix isn’t just about assigning levels; it’s about empowering your employees fostering their growth and building a strong foundation for your organization’s future.

It’s a journey that will be both challenging and rewarding.




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