Definition
The process of assigning 'levels' to positions (Junior, Senior, Principal, Distinguished, Supreme Overlord) which have virtually no correlation to actual responsibility or pay.
Example Usage
Even though we both do the same work, you're a Senior Engineer and I'm just an Engineer, which apparently justifies paying you 20% more.
Origin
Systematic compensation approach developed in the mid-20th century
Fun Fact
Companies often have 47 different job grades, none of which are clearly defined
Source: Compensation Administration Standards
Related Terms
Translate This Term
See “Job Grading” in Corporate Speak, Gen-Z Slang, Pirate Speak, and more.
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