Job evaluation and market pricing help you gather internal and external data on roles in your organisation and equivalent jobs in other employers or sectors. Effective interpretation of this data is key to ensuring fair and competitive pay. Job evaluation and market pricing exercises must be reviewed on a regular basis. This is to ensure they reflect changes to jobs, work, and business needs.

This factsheet introduces the fundamentals of job evaluation and market pricing. It gives guidance on choosing the right type of evaluation (analytical or non-analytical) and provides examples of the sorts of factors job evaluation schemes often use. It highlights issues that organisations should consider when implementing their chosen job evaluation scheme and outlines the different approaches to market pricing. Also included is information on the various sources of pay data.

To continue reading, log in or become a member

Affiliate membership offers instant access to CIPD resources without the need for assessments or study, or explore your options to become a professional member of the CIPD to demonstrate your commitment to the world of work.

  • Access to exclusive, up-to-date resources
  • Become part of a community to learn, debate and connect with other people professionals
  • Free access to a series of CIPD learning courses and a discount on the rest of our catalogue

Related content

Data

Data hub

Explore the evidence behind workforce trends

Data

Pay intentions

Stay up to date with the latest pay intentions among employers in the UK.

Policy engagement

CIPD consultation response: Low Pay Commission 2025 consultation

Our response to the Low Pay Commission consultation

Explore our other factsheets

Factsheet

Mediation at work

Learn how mediation can resolve conflict in the workplace

Factsheet

Skills development in the UK workplace

Understand what we mean by skills in the workplace, UK skill levels and the government’s skills policy.

Factsheet

Stress in the workplace

Learn how to identify the signs of stress and address stress at work

For Members
Factsheet

Occupational health

Outlines the kind of occupational health services an organisation might offer and the role of confidentiality and consent in discussing an employee’s health

For Members
Factsheets