Answer to Question 1
Studies have shown that job rankings were similar regardless of the type of evaluation used, thereby suggesting that organizations should use the method that is the most advantageous from a practical standpoint. However, pay grade classification has been found to be very much affected by the method of evaluation used. This would tend to support using the most accurate method in terms of job worth scores (the point method). Regardless of which method is used, fairness is an important issue. Evaluators must be seen as impartial and objective. Usually, job analysts are hired from outside the organization.
Answer to Question 2
The advantages and disadvantages of using peers as raters include:
Advantages: Peers are in an excellent position to assess the employee's contribution toward the team (teamwork).
Disadvantages: Peers may be influenced by context effects, possible friendship bias, and they may be less discriminating.
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