Salary Band Structure

A salary band is a range of pay that an employer assigns to a specific job or position within the organization. It is also known as a pay band, pay scale, or National Occupation Classification (NOC) codes . The federal government maintains a database of NOC codes that it organizes by sector, industry, and position .

Pay bands are used to determine the appropriate salaries for each position in the organization. They allow employers to create a budget for each position by establishing a minimum and maximum payment amount for a specific role . This also enables candidates to negotiate their earnings and can entice more experienced candidates to apply for the position . Typically, employers post the pay band with the job advertisement and negotiate the exact salary during the interview .

Pay bands have many benefits, including encouraging talented candidates to apply, providing a salary range that can help promote candidates with experience to apply for the position, and allowing HR departments and hiring managers to focus on prospective employees that are happy with the payment .

If you are interested in learning more about how to create pay bands, you can check out this article on Canada Career Guide .

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