Implementing a clear and organized job leveling matrix is crucial for any company's success.
Having one offers multiple advantages. It helps your team clearly visualize their potential career progression. It supports fair compensation practices. It helps you build a winning company culture. It aids in retaining top talent and aligns individual growth with business objectives.
However, creating and implementing an effective job leveling framework requires careful planning and execution.
This article will give you a step-by-step guide on creating career levels and real-world examples from companies like Carta and Facebook.
When should you roll out a job leveling matrix?
Companies typically start with a basic level framework and gradually evolve to a more sophisticated one as their needs grow. This is especially true for startups and tech companies.
The general rule of thumb is to adopt a more advanced framework with multiple levels as soon as possible. This approach sets the tone for your organization. It demonstrates to your team that you're actively considering their individual growth trajectories and establishes you as a forward-thinking leader.
Based on my experience, a company should implement a leveling framework once it reaches 40-50 employees.
Now, imagine for a second that you haven’t implemented one and continue to run the company without it. These are the imminent threats you’ll face:
- Your people don’t have clarity on career progression and how they can get a promotion
- There are no clear expectations or alignment on individual development, which feels like navigating a new city without Google Maps
- Salary negotiations are unstructured, which leads to unfair compensation. Meaning, you'll inevitably have people with the same responsibilities but not the same salaries. And people talk!
- It’s hard to build a winning culture because things are not transparent enough
- People quit and leave seeking opportunities elsewhere
- You spend more money hiring new people to replace those you already had on the team
- Mistakes occur frequently due to the lack of clear guidelines. This often leads to legal issues
The risks, costs, and headaches of neglecting a proper job leveling system are too significant to ignore.
The question then becomes: how can you create a job level matrix that helps your team visualize their growth trajectory and align it with the company's goals?
What are the best examples you can borrow inspiration from and ultimately build the winning and transparent culture you need to take your company to the next level—without losing your top talent?
That's precisely the deep dive we're going to do in the next two chapters.
How to build career levels in 4 steps
Let’s start from the basics. The ideal scenario is to create a career matrix that can be applied to any department or job family across your company.
Of course, as your company grows and time passes, you might need to additionally tailor levels that are unique to your company and employees.
Step 1: Identify your goals
It's a straightforward step. By defining your goals, you will have a clear idea of what your job leveling framework needs to consist of, and you'll avoid making careless mistakes.
Most commonly goals are:
- Establish clear role distinctions, empowering employees and team members to confidently understand their positions and responsibilities
- Eliminate situations where multiple employees share task reponsibilities
- Give people a clear vision of how their future can look like at your company and what they need to do to reach the next step
- Connect career levels with appropriate salary bands and make it transparent
- Reduce employee turnover by empowering every team member and giving them ownership
Step 2: Create career levels
Next, to create well-structured job levels, you need to analyze your current company structure. Understand all the current roles, their job descriptions, and individual KPIs.
How are the teams and their supervisors organized, as well as what skills and competencies are required for each role?
Ultimately, if you’re ambition is to create a fair job leveling matrix, you will have to clearly outline criteria for each level. For example:
- Level of responsibility → Is this person the key decision-maker on the project or an operational assistant?
- Necessary skills for each role → Are technical and operational skills needed, or would this employee need leadership or decision-making skills as well?
- Impact on company's main goals → Is this person primarily responsible for a specific KPI or not?
- Level of independence → How much coaching does this person need?
- Clear promotion criteria → Define specific requirements for advancing to the next level, including key performance indicators, skill development targets, and expected timelines for progression.
Once you understand all these nuances, it gets easier to illustrate the levels and ranks connected with their responsibility.
- L1: Entry-level/Intern
- L2: Junior/Associate
- L3: Senior
- L4: Lead
- L5: VP/Director/Head
- L7: C-suite
Depending on your organization's size and complexity, each level can include sub-levels. For instance, the Lead level might encompass both Junior and Senior Lead roles.
Step 3: Assign salary bands
I mentioned this aspect earlier, but it deserves its own step. Let's discuss how to assign appropriate salary bands and promotion opportunities to each job level, and how to create growth pathways across departments for your employees.
The target is clear—compensation has to match the employee's level of responsibility and impact on key KPIs.
Naturally, salary depends on several factors, including company size, revenue, working models, and location.
In general, these are the best practices:
- Establish pay ranges for different positions. Referring back to the example job leveling matrix above, L1—Entry Level might have a salary range of $30,000–$40,000, L2—Junior might range from $40,000–$50,000, and so on.
- Define incentives for each level. How does the bonus structure vary across levels? What additional benefits or perks are available at different job levels?
Remember, there's no worse scenario than losing your top talent to competitors solely due to salary issues. This is especially true if you've left your "A players" feeling undercompensated relative to their responsibilities.
Vuk, ex-Head of Growth at lemlist and our growth consultant, shared an interesting observation with me.
"Once lemlist started growing exponentially and people started noticing us, the top marketers in my team, including myself, had several job offers a month. I'm pretty sure 50% of them included a higher salary. But nobody left because they enjoyed the company and the opportunities they had internally. This was communicated transparently in the marketing team.
Step 4: Communicate it with your team
After you've ironed out all the details and you're ready to share it with your team, I once received wise advice that I followed across all the companies I worked for.
- Share the framework draft with your key people, such as the leadership team. Seek their feedback, especially regarding potential loopholes or overlooked aspects. Encourage in-depth, detailed input—it's crucial for refining the framework.
- Next, thoroughly educate and coach all your team leaders. They should understand how to guide their team members' progression, answer questions, distinguish between different levels within their team, evaluate objectively, and create optimal conditions for their people to succeed.
- Finally, work on your communication game plan. Meaning, how do you want to communicate it to the entire company? Depending on various factors, you might need detailed written documentation, Q&A sessions, training to explain the matrix in detail, ongoing support, etc.
Rest assured that all communication around the new job leveling framework will be significantly more effective if your leadership team is fully aligned with your vision. This alignment enables them to effectively address any questions their respective teams may have.
Tactics worth remembering
Before diving into job leveling templates from Canva and Facebook, let's recap the key points to remember when creating job levels in your company:
- Establish a single, consistent level framework for the entire company to ensure transparency
- Clearly define how levels differ in terms of skills, responsibilities, autonomy, and business impact
- Specify the progression path between levels and align salary bands accordingly
- Present the final proposal to your leadership team, encouraging thorough feedback. It's crucial that managers fully understand and support the new leveling framework
- Develop a comprehensive plan to communicate the new job leveling matrix to the entire organization, including strategies to help employees grasp its workings
Facebook job leveling template
Without any further ado, let’s jump into Facebook’s job leveling framework example. This is the one that breaks down Engineering and Management career levels at Facebook.
Engineering track:
Software Engineer Level I
Up to 2 years of experience, BCs degree, expected to write code for production and conduct tests under minimal supervision; well-versed with software testing tools, source control, and code review technologies
Software Engineer Level II
2-4 years of experience, basic knowledge of software application design, responsible for making minor design decisions independently and work towards understanding and developing system applications without supervision
Software Engineer Level III
More than 5 years of experience, in-depth domain knowledge, problem-solving abilities and be well-versed in system design and architecture to function as a technical architect, budgetary responsibilities, web and mobile development skills
Software Engineer Level IV
More than 10 years of experience, expected to lead large teams of Software Engineers while working autonomously
Software Engineer Level V
Expected to conduct market research and stay updated with the latest trends to drive best engineering practices and contribute to higher revenue
Software Engineer Level VI
General Requirements: acting as progressive visionarie in the field of engineering and working towards large-scale and competitive business growth
Management track:
1. Entry-level Software Engineering Manager
Mentoring junior-level Software Engineers, training juniors towards technical excellence, conducting timely performance evaluations, ensuring resource allocation if necessary
2. Software Engineering Manager I
Facilitating coordination between different teams as well as recruiting and hiring new Software Engineers to accomplish goals, identifying individual strengths, fostering team growth
3. Software Engineering Manager II
Leading cross-functional teams through technical and non-technical strategic planning
4. Director
Improving company culture, devising policies, launching large-scale projects, incorporating evolving technological practices
Btw, this template is available in Kadar, which means you can use it and modify it in a few clicks.
✅ Take action: Steal and adapt Facebook's template for your company in Kadar. Start for free, no card required
I can additionally modify anything I need. For example, say that I want to change the names and add salary bands.
Once the job leveling matrix is in place, I can assign the appropriate career level to each team member and create individual Action Plans. These plans will outline the key steps employees need to complete to reach the next level.
For example, here’s a profile of my imaginary dev.
Amanda and me as her manager can also see the current career level Amanda is on, and what’s the next step.
Now, the most important step here, in my opinion, is to create a customized Action Plan consisting of key deliverables Amanda needs to complete to move to the next level. The beauty of this process is that Amanda and I, as her manager, can collaborate on the Action Plan and clearly outline key deliverables.
After which I can create 1:1 meeting routines, tailored assessment surveys, and anything I need to ensure Amanda has all the support and feedback she needs to succeed.
Carta job leveling template
Carta has two tracks: Individual Contributor Track and Manager Track.
Individual Contributor Track:
1. Intern
Global title and role description: University Student/Co-op Participant
Job complexity: Completes narrowly focused tasks or projects. Complements academic studies with on-the-job experience and incorporates learnings into coursework
Autonomy and scope: Receives specific direction and guidance on a defined set of problems over a pre-determined window of time
2. Entry
Global title and role description: Acquires job skills and learns company policies and procedures to complete routine tasks
Job complexity: Works on assignments that are routine in nature, requiring limited judgment
Autonomy and scope: Normally receives detailed instructions on all work. Requires supervision over both routine and non-routine work
3. Mid 1 (Developing)
Global title and role description: Learns to use professional concepts. Applies team procedures to solve routine problems
Job complexity: Works on problems of limited scope. Follows standard practices and procedures to solve problems. Builds stable working relationships internally to further problem-solving
Autonomy and scope: Normally receives detailed instructions on all work. Requires supervision over non-routine work
4. Mid 2 (Proficient)
Global title and role description: Developing professional expertise, applying company policies and procedures to resolve a variety of issues
Job complexity: Works on problems of moderate scope and calls upon multiple known practices and procedures to solve problems. Exercises judgment within defined procedures and practices to resolve day-to-day problems. Builds productive internal/external working relationships
Autonomy and scope: Normally receives general instructions on routine work and detailed instructions on new projects or assignments
5. Senior (Skilled)
Global title and role description: A seasoned, experienced professional with a full understanding of the area of specialization; resolves a wide range of issues in creative ways
Job complexity: Works on problems of diverse scope and has a developed sense of how to solve problems when in unknown territory. Demonstrates good judgment in selecting methods and techniques for obtaining solutions and escalating issues. Networks with senior internal and external personnel in their own area of expertise
Autonomy and scope: Normally receives minimal instruction on day-to-day work. Seeks general instructions on new assignments
Leadership: Has some influence in planning and timelines. Gives actionable feedback that drives improvement. Coaches and mentors less experienced team members
6. Lead (Advanced)
Global title and role description: Having wide-ranging experience, uses professional concepts and company objectives to resolve complex issues in creative and effective ways
Job complexity: Works on complex issues where analysis of situations or data requires an in-depth evaluation of variable factors. Exercises judgment in selecting methods, techniques, and evaluation criteria for obtaining results. Networks with key experts outside their own area of expertise
Autonomy and scope: Requires little oversight and reviewed only for technical integrity. Determines methods and procedures on new assignments and may coordinate activities of other personnel
Leadership: Helps others to learn and grow. Creates an environment to support a successful team. Coaches and mentors others within an immediate team
7. Staff (Expert)
Global title and role description: Having broad expertise or specialized knowledge, uses skills to contribute to the development of company objectives and principles and to achieve goals in creative and effective ways
Job complexity: Works on significant and unique issues where analysis of situations or data requires an evaluation of intangibles. Exercises independent judgment in methods, techniques, and evaluation criteria for obtaining results. Creates formal networks involving coordination among groups
Autonomy and scope: Acts independently to determine methods and procedures on new or special assignments. May supervise the activities of others
Leadership: Influences others to achieve team goals. Coaches and mentors others within immediate and peer teams. Supports a culture that is positive, inclusive, and engaging
8. Senior Staff (Advisor)
Global title and role description: As an expert in the field, uses professional concepts in developing resolutions to critical issues and broad design matters
Job complexity: Works on issues that directly impact current and future business success. Creates formal networks with key decision makers and serves as external spokesperson for the organization
Autonomy and scope: Exercises wide latitude in determining objectives and approaches to critical assignments
Leadership: Leads by example in modeling the company's operating principles and identity traits and holds others accountable for doing the same. Delegates effectively and empowers others to execute tasks with accountability
9. Principal (Strategist)
Global title and role description: A distinguished technical professional who guides a specialized and/or strategic functional/product roadmap; viewed as an expert in their field
Job complexity: Generally oversees creative research or advanced development in areas such as new technologies, product innovation, engineering materials, or next-generation processes. (Some organizations only allow individual contributors at this level in the engineering area, but others allow it anywhere in the company
Autonomy and scope: Directs and coordinates activities necessary to complete major projects, requiring a wide variety of technical skills. Consults with and provides guidance to senior management and a number of departments on advanced technical issues
Leadership: A role model for the company's operating principles and identity traits. Builds community across functional and product lines
10. Distinguished (Thought Leader)
Global title and role description: Top individual contributor technical position in the organization who brings domain expertise and impact equivalent to that of a VP; a known expert in their field
Job complexity: Oversees applied research or advanced engineering in the development of new products, materials, or processes
Autonomy and scope: Directs and coordinates activities necessary to complete major projects, requiring a wide variety of technical skills. Consults with and provides guidance to senior management and a number of departments on advanced technical issues
Leadership: Champions the company's operating principles and identity traits and holds leaders accountable to demonstrate them. Sets an inspiring vision and strategic direction that's in line with the company mission
Manager Track:
1. Team Lead
Global title and role description: Provides supervision to individual contributors (ICs), primarily in terms of work output and ability to meet team/role objectives. Acts as advisor to unit or sub-units and may become actively involved, as required, to meet schedules and resolve problems
Job complexity: Works on issues within a defined team/procedural framework. Exercises judgment within defined procedures to determine appropriate action
Autonomy and scope: Receives defined objectives and processes by which to meet goals. Provides direction to employees according to established policies and management guidance. Management reviews work to measure the meeting of objectives
2. Manager
Global title and role description: Manages, perhaps through other Team Leads, the coordination of the activities of a section or department with responsibility for results
Job complexity: Works on issues of diverse scope and is familiar with current business trends. Follows processes and operational frameworks to solve problems. Acts as advisor to reports to meet goals and resolve problems. Develops and administers goals, schedules, and performance requirements; may have budget responsibilities
Autonomy and scope: Receives objectives and determines how to use resources to meet goals. Provides guidance to reports in alignment with team frameworks. Recommends changes to frameworks and establishes procedures that affect immediate organization(s)
Leadership: Guides individual goal-setting aligned to team objectives. Manages hiring and performance of direct reports. Develops a high-functioning and successful team
3. Senior Manager
Global title and role description: Manages the work and teams of two or more departments. Oversees costs, strategies, and staffing. May have managers reporting to them depending on team size/need
Job complexity: Works on issues that require in-depth knowledge of organizational objectives. Establishes and assures adherence to budgets, schedules, work plans, and performance expectations
Autonomy and scope: Establishes operational objectives and work plans and assigns work to the appropriate reports. Senior management reviews objectives to determine success. Involved in developing, modifying, and executing work that affects immediate operations and may also have a company-wide effect
Leadership: Leads team goal-setting and defines deliverables and timelines. Responsible for hiring and overall performance of direct and skip-level reports
4. Director
Global title and role description: Leads a broad functional area through several department managers within the company. Has overall control of planning, staffing, budgeting, managing expense priorities, and recommending and implementing changes to methods
Job complexity: Works on complex issues that require an in-depth knowledge of the company. Participates in company creation of methods, techniques, and evaluation criteria for projects, programs, and people. Ensures budgets and schedules meet company requirements
Autonomy and scope: Participates with other senior managers to establish strategic plans and objectives. Makes final decisions on administrative or operational matters and ensures effective achievement of objectives
Leadership: Coaches and mentors others, including employees who do not directly report to them. Responsible for hiring senior talent and reducing the occurrence of single sources of knowledge within the team
5. Senior Director
Global title and role description: Leads one or more functional areas, product groups, or service areas through senior managers who have overall responsibility for the successful operation of those assigned areas
Job complexity: Consistently works with abstract ideas or situations across functional areas of the business. Through assessment of intangible variables, identifies, and evaluates fundamental issues, providing strategy and direction for major functional areas. Requires in-depth knowledge of the functional area, business strategies, and the company’s goals
Autonomy and scope: Develops company and/or organizational policies and oversees their implementation. Detailed knowledge of the company allows for innovative concepts and promoting new ideas. Provides direction to senior managers in various areas, groups, and/or operations
Leadership: Drives and supports talent and succession planning within the department
6. VP
Global title and role description: Leads a complete functional area through multiple levels of management within the company. Has overall control of planning, staffing, budgeting, and approving changes to strategies and practices. Manages a team of directors and/or high-level individual contributors
Job complexity: Develops strategic plans to ensure achievement of objectives across one or more functional areas. Requires in-depth knowledge of the company, competitive environment, technology and products, and economic or social implications of company activities. Participates in the development of company strategies, priorities, and evaluation criteria for projects, programs, and people. Approves budgets and plans
Autonomy and scope: Sets vision, direction, and resource allocation for a significant organization or business unit. Responsible for multiple functions, products, departments, and/or geographies. Develops and implements strategic plans and objectives for the organization in alignment with company strategy; oversees the direction and approves administrative, operational, and budgetary decisions to ensure the achievement of objectives
Leadership: Makes strategic decisions for hiring, departure, growth, and compensation in close partnership with the People Team
7. Senior VP
Global title and role description: Lead more than one functional area or product group through vice president level executive leaders who have overall operational responsibility for their assigned functions, geographic regions, and businesses
Job complexity: Consistently works with abstract ideas or situations across functional areas of the business. Through assessment of intangible variables, identifies and evaluates core issues, providing strategy and direction for major functional areas. Requires in-depth knowledge of the function, business strategies, and the company’s goals as well as external factors affecting the governance of company activities
Autonomy and scope: Sets vision and direction through resource allocation decisions for multiple significant organizations or business units where each is typically led by an executive. Develops corporate and/or organizational strategies and authorizes their implementation. Provides vision and direction to senior managers in various groups, and/or operations
Leadership: Shapes a people-first culture that exemplifies kindness, promotes helpfulness and assumes positive intent. Builds a strong leadership pipeline with a future focus. Inspires teams to work toward a shared vision and common goals
8. C-Suite
- Autonomy and scope: Develops company-wide vision and the strategy to achieve the highest company priorities
- Leadership: Shapes a people-first culture that exemplifies kindness, promotes helpfulness and assumes positive intent. Holds senior leadership accountable for living out the company culture defined by its identity traits and operating principles. Inspires business units to work toward a shared vision and common goals
✅ Take action: Steal and adapt Carta’s template for your company in Kadar. Start for free, no card required
Wrapping up
That’s a wrap on best practices and examples when it comes to job leveling frameworks. I hope you find the article actionable and useful.
Remember, as soon as you cross the 40-50 employee threshold, make sure to start building career levels and communicate them transparently with your team. Set the tone and lead by example early on.
