Point 48 and 49 of labor law of Iran requires all companies to implement job classification regulations in their compensation system.

Referred article mentions that “Job Classification” is mandatory for companies with more than 50 employees.

The old reg­u­la­tion was very rigid in method; but new approved job clas­si­fi­ca­tion sys­tem, allowed com­pa­nies to do job analy­sis, job eval­u­a­tion and com­pen­sa­tion accord­ing to new, world class and updat­ed meth­ods like Hay group, mer­cer etc.

The new reg­u­la­tion con­tains gen­er­al reforms in the job eval­u­a­tion and com­pen­sa­tion sys­tem accept­able by the Min­istry of Coop­er­a­tives, Labor and Social Wel­fare.

The Gen­er­al Direc­torate of Labor Rela­tions and Com­pen­sa­tion of the Min­istry of Coop­er­a­tives, Labor and Social Wel­fare, has tak­en steps to reform and revise the job eval­u­a­tion sys­tem. Inline with imple­men­ta­tion of Arti­cle (48) of the Labor Law and in order to adapt the clas­si­fi­ca­tion schemes to the needs of the work­shops and to pro­vide the pos­si­bil­i­ty of increas­ing the lev­el of work­ers’ income in pro­por­tion to the pro­duc­tiv­i­ty of the work­force, is the moti­va­tion of new regulation.

Other goals or features have also resulted in the overall reform and revision of the job classification, evaluation  and compensation system in labor law of Iran:

• Adher­ing to equal pay for work of equal val­ue under equal con­di­tions for men and women,
• Cre­at­ing a bal­ance between job eval­u­a­tion, employ­ee eval­u­a­tion, and work­force performance,
• The nec­es­sary flex­i­bil­i­ty to rec­og­nize dif­fer­ent employ­ee per­for­mances and com­pen­sate indi­vid­u­als for their ser­vices in accor­dance with effi­cien­cy, each one’s capa­bil­i­ties and abil­i­ties while adher­ing to spe­cif­ic pay­ment frame­works and criteria,
• Desir­able and ratio­nal use accord­ing to the diver­si­ty and nature of orga­ni­za­tions and the cor­rect and appro­pri­ate appli­ca­tion of sci­en­tif­ic meth­ods of job eval­u­a­tion and compensation,
• Cre­at­ing a ratio­nal and legal basis for adapt­ing spe­cial­ized val­ues ​​to the con­di­tions of orga­ni­za­tions in order to increase employ­ee income and estab­lish fair wage cri­te­ria and stan­dards based on the tan­gi­ble and intan­gi­ble real­i­ties of jobs.

So, If your orga­ni­za­tion or com­pa­ny intends to ben­e­fit from new approach­es in human resource man­age­ment, includ­ing the design and imple­men­ta­tion of job clas­si­fi­ca­tion, it is rec­om­mend­ed to use the Hay Group glob­al mod­el. In this regard, you are invit­ed to con­tact our consultants.

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