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.

Member tool: CIPD Buddy AI AI
Use AI to find trusted answers on our Knowledge hub. Start using CIPD Buddy AI

On this page

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
Instant access Explore membership
  • Data

    Health and wellbeing

    Compare your health and wellbeing practices with the latest trends, drawn from CIPD 2026 research data.

  • Data

    Work life balance

    Benchmark your employees' perceptions of work life balance against 2026 CIPD research data

  • Factsheet

    Strategic reward and total reward

    Outlines the main characteristics of strategic and total reward, and looks at designing and implementing a reward strategy across the organisation

    For Members
  • Factsheet

    The psychological contract

    This factsheet examines what the psychological contract is, why it's important and the strategic implications it has on the employment relationship

    For Members
  • Factsheet

    Employment status

    Understand how being defined in UK law as an employee, a worker or self-employed affects employment rights and employers’ different legal responsibilities towards them

    For Members
  • Factsheet

    Strategic reward and total reward

    Outlines the main characteristics of strategic and total reward, and looks at designing and implementing a reward strategy across the organisation

    For Members
    • Factsheets