Grading of employees is a key process in personnel management, which allows you to structure career growth, define clear criteria for assessing competencies and establish a fair remuneration system.
In this article we will talk about the advantages of the grade system for candidates and IT recruiters, and compare the grades of different companies – Google, Amazon and Meta. We will also focus on how an engineer or developer can assess their level.
Grades in IT are a term used to divide specialists according to their levels of skills, experience and responsibility. In practice, each company itself determines what to expect from a Senior and a Newcomer. In addition, even within the same organization, technical leads of different teams may have their own ideas about the division of levels in IT.
The grading system ensures the effective functioning of the team, allowing you to distribute tasks among specialists in accordance with their skill level and complexity of the tasks. Also, grades influence the salary range of a specialist.
Grading arose as part of a broader practice – human resource management and the structuring of organizational hierarchies. The origins of the use of grades for job evaluation can be traced back even to early labor management and compensation practices, which sought to standardize job evaluation and ensure fair distribution of salaries.
The grading system in its modern form emerged in the United States in the early 20th century, when organizations were looking for ways to streamline and standardize the management of large numbers of employees. This issue became especially relevant in the framework of the development of international cooperation – it was necessary to create a standardized system for managing a large number of employees, their career growth and wages.
It was a time when industrial growth and the development of corporate structures required new approaches to human resource management.
Grades in IT are usually structured to reflect differences in levels of experience, responsibility and complexity of work. While each company may have its own unique grading system, there is a generally accepted framework that is often used throughout the industry. Here are examples of typical grades in IT:
You can learn about C-level positions in our article “2024 C-Suites: CEO, COO, CTO, CMO”.
Each grade in this hierarchy reflects increasing complexity, work autonomy and level of responsibility. Companies may have additional or modified titles and levels depending on their needs, corporate culture and industry characteristics.
The main difference between Senior and Lead is the level of responsibility and focus of work. Senior specializes in technical implementation and solving complex problems, while Lead is responsible for team coordination, project management and overall technical direction. Lead can also mentor and develop the skills of team members.
In some organizations, there may be overlap between these roles, especially in small teams and startups where people may perform multiple functions at once. However, in large companies and in structured development departments the differences are usually clearly defined.
Google uses a fairly detailed grading system for its technical employees, ranging from “Software Engineer” to “Senior Fellow/VP.” The system includes the following levels:
Microsoft also has a tiered system for its employees, indicated by numbers from 59 to 80:
Amazon uses a level system from L4 to L12, with each level representing different roles and responsibilities:
Facebook (now Meta) uses levels E3 to E9 for technical roles:
As you may have noticed, each company has its own level conventions and even the wording of job titles varies slightly. When looking for a job, it is of paramount importance to understand your competencies, possible areas of responsibility and, of course, your technology stack and the amount of commercial experience.