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What is broadbanding in pay structures?

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Question added by Asim Ali Khan , Human Resources Director , Arab Media Group
Date Posted: 2017/01/12
Ali Ahmad SHRM-SCP
by Ali Ahmad SHRM-SCP , Group HR Performance Manager , FAMA Holdings Group

Broadbanding refers to a Pay structure that consolidates a large number of narrower pay grades into fewer broad bands with wider salary range.

Ashraf E. Mahmoud (PhD)
by Ashraf E. Mahmoud (PhD) , University Lecturer, Freelancer Consultant and Trainer for Int'l Business & Banking TF. , FreeLancer

Thanks for invitation,

In a very precise wording, "Broad-banding" is a job grading structure that falls between using spot salaries vs. many job grades to determine what to pay particular positions and incumbents within those positions.