What term refers to the variation in pay allowed within a specific job grade?

The term that refers to the variation in pay allowed within a specific job grade is "Rate Range." A rate range defines the minimum and maximum pay that an employee can receive within a designated job grade or level. This concept is important in compensation planning as it allows organizations to have flexibility in determining employee salaries based on factors such as experience, performance, and market rates.

While terms like "Pay Tier," "Salary Band," and "Wage Scale" might seem relevant, they do not specifically convey the idea of a defined range of pay within a particular job category. "Pay Tier" often implies a level of payment structure rather than the range itself; "Salary Band" can be considered more broadly in relation to salary structures across various job roles, and "Wage Scale" might suggest more general pay rates used in specific industries or geographic areas rather than the concept of a defined range within a job grade. Understanding "Rate Range" is crucial for maintaining equitable and competitive pay practices within an organization.