Meaning & Definition

Pay grade

A grouping of jobs that a company views as relatively valuable to its operations and compensates at the same or similar rate. A pay grade is often characterized by how many responsibilities an employee performs within the job description of their role, whether the position has authority within the company, and how long the employee has done the job.

Sprout Solutions Logo
Sign up to receive the latest HR updates and best practices!
Mid-Market Business | Sprout Solutions

Sprout Newsletter

Want to get exclusive updates from Sprout?
Just sign-up below!

By filling out this form, you agree to share this information with Sprout Solutions in conjunction with our Terms of Service and Privacy Policy.