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From job architecture to pay transparency and gender pay analytics: a typical client journey

Summary

This use case describes a typical, end-to-end client journey rather than a single project. It illustrates how organisations move from designing a job architecture, through building a pay transparency roadmap, to delivering pay range and gender pay gap analytics in preparation for the EU Pay Transparency Directive.

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Client profile

Clients are typically organisations professionalising their reward and performance practices, often operating internationally, and preparing for pay transparency requirements. A consistent observation across these engagements is that around 90% of clients ask for a job architecture rather than traditional job evaluation – they want a usable structure for organising roles, not only an evaluation exercise.

The approach is applied across organisations of very different sizes, from small to large:

Small: approximately 50-100 employees, EUR 10-50m revenue

Medium: approximately 200-1,000 employees, EUR 100m+ revenue

Large: approximately 1,000-20,000 employees, EUR 1bn+ revenue

The problem

Organisations on this journey are typically working to address some combination of:

The absence of a common foundation for defining job families, grades and roles consistently

No defensible basis for ensuring equal treatment and identifying work of equal value

Unclear or inconsistent pay ranges and compensation practices

Limited readiness for the EU Pay Transparency Directive, including governance, communication and analytics

An inability to confidently answer questions such as:

What do we base our pay decisions on?

How do we define work of equal value?

How do we prove that no inequalities exist?

Why it mattered at that point

The principal trigger is the EU Pay Transparency Directive, which requires organisations to compare work of equal value, define justifiable reasons for pay differences, structure pay ranges and be able to explain pay decisions. The Directive affects both employers (reviewing compensation and hiring practices) and people managers (making objective pay decisions, communicating about pay and managing fair recruitment). Beyond compliance, the work is framed as both the right thing to do and a strategic business advantage that builds trust, engagement and employer brand.

Scope

The journey is structured in three connected stages:

Step 1 – Job architecture design

Define job families, grades and roles according to company needs

Create a common foundation and a tool for the employer to evaluate roles and ensure equal treatment

Step 2 – Pay transparency roadmap

Assess current transparency practices

Define levels of transparency and align them with the legal, cultural and organisational context

Develop a phased roadmap covering the next 6-18 months

Step 3 – Pay analytics

Assess current compensation practices

Define pay ranges

Analyse gender pay gaps

Approach

Job architecture (Step 1)

The architecture is built on the gradar methodology, which produces a job grade structure ranging from 1 to 25 that can be applied to any type of organisation. Work typically starts by identifying grades for C-level roles and the most common operational roles, benchmarked against what is seen in comparable organisations. The architecture is developed by workshopping with HR and interviewing function leaders, and consists of:

Job grades (the level structure)

Job families (for example Marketing, Finance, Software Development)

Benchmark roles identified within the company

Deliverables include generic grade descriptions (describing role level, independence, problem solving and typical education and experience) and example role descriptions, drafted from client input.

Pay transparency roadmap (Step 2)

Ready-made materials are brought on Directive content and what it means for companies, together with benchmarks on what other organisations are doing. The roadmap recommends prioritised "development streams" such as rewards processes, communication, analytics and talent management, and clarifies what pay transparency means for both the employer and people managers.

Pay analytics (Step 3)

Current pay is analysed against the job grades, pay ranges and compensation structure guidelines are defined, and gender pay gaps are analysed – including identifying male- and female-dominated roles, grades and job families.

Data and inputs

Input from HR workshops and interviews with function leaders (for the architecture)

Existing roles, grades and job descriptions

Current compensation data, analysed against job grades

Employee demographic data for gender pay gap analysis

Benchmark and market reference data

Key decisions

Whether to follow minimum transparency criteria under the Directive or go further

How to define "category of work" and what constitutes a justifiable reason for pay differences

Who owns pay transparency, and how responsibility is shared between global and local levels

How pay ranges are defined and maintained per country

How outliers are managed, particularly roles positioned below range

What level of access to pay structures employees, managers and HR should have

How the organisation will respond to any gender pay gaps identified

Challenges

Architecture versus evaluation expectations. Most clients ask for a job architecture rather than job evaluation, so expectations and methodology need to be aligned early.

Global versus local responsibility. Pay transparency must be managed at country level to meet national legislation, while global structures provide consistency – striking this balance requires clear governance.

More than pay. Pay transparency touches hiring, communication, manager capability and culture, not just pay structures, so the scope is broader than clients sometimes expect.

Difficult conversations. People managers need support to make objective pay decisions and to communicate about pay openly.

Stakeholder involvement

The architecture is built collaboratively through HR workshops and interviews with function leaders. Governance proposals assign responsibility for each development area across global and local levels, with the Country People & Culture Manager responsible for complying with national legislation. Managers and employees are equipped through training and awareness to make and understand fair pay decisions.

What was delivered

A company-specific job architecture (job grades, job families and benchmark roles) on the gradar 1-25 grade structure

Grade descriptions and example role descriptions

A phased pay transparency roadmap (6-18 months) with prioritised development streams and a governance model

Pay ranges and compensation structure guidelines

Gender pay gap analysis against job grades, including identification of male- and female-dominated roles, grades and families

Training and communication material for managers and employees

What changed afterwards

A common, objective foundation for organising and comparing roles

Pay structures that are transparent and consistent across roles

A clear, prioritised path towards compliance with the EU Pay Transparency Directive

A defensible basis for identifying work of equal value and for explaining pay decisions

Stronger manager capability and clearer communication with employees

Measurable outcomes

A grade structure spanning 25 grades (gradar methodology)

A phased roadmap covering 6-18 months

Job architectures built around defined job families and benchmark roles

Gender pay gap analysis conducted by role, grade and job family

(As this describes a typical journey rather than a single project, specific client outcome figures are not stated.)

Lessons learned

Organisations should first clarify the difference between job architecture and evaluation, since most need a usable job architecture in place before anything else, and this should be agreed before work begins. The work then needs to be sequenced: job architecture provides the objective foundation, the transparency roadmap sets direction, and pay analytics builds on both.

Transparency should also be treated as more than a matter of pay, because hiring, communication, manager capability and culture all need attention. Governance decisions should be made early, defining which responsibilities sit globally and which locally, particularly where national legislation applies at country level.

Finally, data and managers need preparation: gender pay gap analysis depends on sound grading and clean data, and managers need support to hold open conversations about pay. Once in place, the approach should be maintained through an annual process to calibrate and validate grades and keep pay ranges current.

Relevant for

Organisations of any size preparing for the EU Pay Transparency Directive

Companies that need a job architecture to organise roles consistently

Multinationals balancing global structures with country-level compliance

Organisations professionalising reward, performance and pay governance

Companies seeking to connect job architecture, pay ranges and gender pay gap analysis into a single, defensible approach

Explore our job architecture features

Through analytical job evaluation, gradar helps organisations design a clear, consistent job architecture that supports fair, transparent pay decisions.
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FAQs

What is the difference between job architecture and job evaluation?

Job evaluation assesses the relative value of individual roles. A job architecture is the broader structure – job grades, job families and benchmark roles – that organises roles consistently and gives employers a tool to evaluate roles and ensure equal treatment. In practice, most organisations ask for a job architecture, built on an objective evaluation methodology.

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How does job architecture support pay transparency?

A job architecture based on an objective methodology provides a defensible basis for comparing work of equal value, defining pay ranges, explaining pay decisions and conducting gender pay gap analysis – all central to the EU Pay Transparency Directive.

How long does a pay transparency roadmap cover?

Typically a phased roadmap of 6-18 months, with priorities defined according to the organisation's legal, cultural and organisational context.

Who is responsible for pay transparency in a multinational?

Pay transparency must be managed at country level to comply with national legislation, while global structures and ways of working provide consistency. Clear governance defining global versus local responsibility is essential.

What does the EU Pay Transparency Directive require employers to do?

Among other things, to review compensation and hiring practices, define what constitutes work of equal value, identify justifiable reasons for pay differences, structure pay ranges and be able to demonstrate that unjustified inequalities do not exist.

How are gender pay gaps analysed?

Current pay is analysed against job grades, and gaps are examined by role, grade and job family, including the identification of male- and female-dominated roles. Reliable analysis depends on a sound, objective grading foundation.

Does this approach work for smaller organisations?

Yes. The same methodology applies across organisations from around 50 employees to many thousands; the depth and phasing of the work scale with size, complexity and risk.

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