HR Glossary

Broadbanding

Broadbanding is a method for evaluation and construction of job grading structure that exchanges a large number of narrow salary ranges for a smaller number of broader salary ranges.

broadbanding definition

Definition of Broadbanding

Broadbanding is a method for evaluation and construction of job grading structure that exchanges a large number of narrow salary ranges for a smaller number of broader salary ranges. Broadbanding aids in establishing what is required to pay for a specific position.

This type of pay structure encourages the development of broad employee skills and growth while reducing the opportunity for promotion.

The advantages of broadbanding

• It streamlines hierarchy structure within the organization

• It promotes and facilitates internal movement within the organization and emphasizes other attributes of a position, other than the pay grade which is already disclosed

• Gives more transparency and added trust in management

The disadvantages of broadbanding

• Reduces awareness of external market salary rates.

• Broadbanding leads to lack of promotions within the organization; it allows organizations to increase pay and offer opportunities for training without promoting employees.

• Broadband pay structures aren’t sensitive to changing market conditions.

See TalentLyft in action

Applicant Tracking, Recruitment Marketing, Sourcing and Talent CRM software are powerful alone, but unstoppable when used together!

Related content

Explore more topics

  • Collaborative Hiring

    In the modern workplace, hiring has become a team effort, and collaborative hiring is the key to unlocking its full potential. Our Collaborative Hiring section is your central resource for a collection of insightful blog posts and resources dedicated to mastering the art of collaborative hiring. Delve into the strategies, best practices, and tools that HR professionals, hiring managers, and team leaders can use to create a more inclusive and effective hiring process!

    Learn more

  • Candidate Experience

    Candidate experience is a critical factor in shaping a positive employer brand and attracting top talent. Learn how to deliver a personalized and engaging candidate experience that reflects your company's values, fosters long-term relationships with candidates, and enhances your reputation as an employer of choice. Secure the best candidates with a standout hiring process.

    Learn more

  • Talent Acquisition

    Optimize your talent acquisition strategies to attract, engage, and hire the best candidates. Learn how to build a strong talent pipeline, enhance your employer branding, and implement effective recruitment methods. Stay competitive by securing top talent that drives long-term business success.

    Learn more

  • Social Recruiting

    The landscape of recruitment is evolving, and social media has become a game-changer in the search for top talent. Social recruiting is not just a trend - it's a strategic approach to finding, engaging, and hiring the right candidates. Learn how to leverage the power social media to scale your recruitment efforts.

    Learn more

  • HR Software

    Let HR technology make your work life easier! Streamline your HR processes, from payroll and benefits to talent management and recruitment, with powerful HR software. Save time, reduce manual tasks, and focus on strategic initiatives by working smarter, not harder.

    Learn more

  • Recruitment Process

    You are here to improve and optimize your recruitment process and that is exactly what we'll do for you. Sit back and dive into the best strategies, practices and tips to attract and hire candidates in the most streamlined and efficient way.

    Learn more

Simple and affordable recruitment software

Schedule a Demo Start Free Trial