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According to the Iranian Labour Law Prepared by: RRC HR Consulting Group 1

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Presentation on theme: "According to the Iranian Labour Law Prepared by: RRC HR Consulting Group 1"— Presentation transcript:

1 According to the Iranian Labour Law Prepared by: RRC HR Consulting Group 1

2 According to labour law, Employers who has employed more than 50 employees, must apply job classification system. It must be done just after issuing startup certificate. 2

3 1- Organization formal design and finalizing job titles & hierarchy and organizational relations 2- Creating Job profile which includes job purpose and definitions in line with strategy, Job requirements and competencies. 3

4 The project usually starts with a formal contract and needs to be approved by ministry of labour. The contract defines critical points which companies together with a certified consultant should inform the progress and achievements to the ministry (like finalized Org. chart, draft of salary calculations and etc) After business management and ministry approvals, employer have to apply this in to the remuneration. 4

5 Then he/ she will allocate scores to every single job with a closed cooperation of internal team. 5

6 3-1- Skills (Qualification & Experience) 3-2- Responsibilities (Supervising, HSE responsibilities, Materials and products, Equipment, Relations, financial & Forms) 3-3- Nature of work (Mental & Physical) 3-4- Working Situations (Unpleasant working environment and Dangers involved in positions 6

7 After clarifying the score of the job, the equivalent grade will be allocated base on grade table (Between 1 to 20). 7

8 Up to 70 => 1 71 – 85 => 2 86 – 100 => – 115 => – 130 => – 150 => – 170 => – 190 => – 215 => – 240 => – 270 => – 300 => – 330 => – 370 => – 410 => – 450 => – 500 => – 550 => – 610 => – 670 => 20 8

9 There must be an agreement from management for acceptable cost increase An agreement on scores and grades of the job is required Current salary of employees also affects 9

10 There is an option for adding supervision allowance to the Job classification system. It is base on business management decision and approval 10

11 Coupon Allowance Food Allowance Housing allowance Child allowance 11

12 Increase cost is base on management team decision If some bodys new calculated salary came down, then employer should continue to pay current salary but freeze the salary up to the time when he/she is eligible for salary increases 12

13 Two of them must be representatives of employer Two of them must be representatives of employees One of them must be representative of supervisor 13

14 Mentioned committees duty is cleared by ministry in the regulations. They will decide about effective and relevant experiences, and also prepare employees for changes in the system if required and also recommend the required changes to the management team. 14

15 Companies Usually use a mix of methods to be in line with legal requirements, and also international standards and satisfy their employees as well as planned required performance. Rayan Rahbord Chabok is a team of experts who are skillful in different methods and can implement a suitable job evaluation and remuneration system for international businesses active in Iran. 15

16 16 We wish success for your business

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