Why do we do this?
One factor in the evaluation of a job is the size of the organisation containing the job. Here, total annual revenue, or annual expenditure budget for not-for-profit organisations measures size. So that the evaluation for a job does not increase merely through the effects of inflation on the organisation's revenue, a price deflator is applied to maintain the revenue in constant dollar terms. The Jobscore system automatically adjusts the current dollar revenue provided by the user through the application of a factor called a Price Deflator. The price deflator is calculated annually by the NRC following publication of Australian Gross Domestic Product figures by the Australian Bureau of Statistics, Canberra. The deflator is applied by the NRC in September each year to account for the movement in GDP over the immediately preceding financial year (1 July to 30 June). If there is only a small movement in annual GDP for the year then there is only a small likelihood that evaluations will be affected by the application of an updated price deflator. Nevertheless, users should recalculate their evaluations in the last quarter of each year.
A facility to automatically recalculate all evaluations is provided on the Job List screen using the Recalculate Evaluations button.
Jobscore is a registered trademark of National Remuneration Centre, Melbourne, Australia.
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2008 National Remuneration Centre
