What a levels document is and how to build one

Executive overview

Most organisations struggle to communicate pay, expectations, and progression consistently. A levels document combines three sub-documents — scope, skills, and salary — into a single framework that makes job expectations and pay transparent.

Used together, the three documents align performance evaluation, career development, and compensation under one coherent structure.

A levels document only works when all three components — scope, skills, and salary — are defined together.

The three components

• Scope document — defines what the employee works on and how far their impact reaches
• Narrow scope: team-level tasks, proven projects
• Expanding scope: cross-functional work, new initiatives that push role boundaries
• Used for performance evaluation and goal-setting
• Skills document — outlines technical and soft skills required for each role
• Drives employee training and development
• Makes expectations explicit so employees know how to grow
• Salary document — sets pay ranges and the criteria that determine where someone falls
• Factors include education, experience, performance, and market conditions
• Requires regular review to stay current with market rates and inflation

Benefits

• Clearer job expectations reduce ambiguity and improve focus
• Consistent criteria for performance reviews and promotions
• Transparent pay practices increase trust and motivation
• Employees can see a direct path from current performance to career advancement

How to build a levels document

1. Identify all key roles and establish a clear position hierarchy — each role needs its own document
2. Define performance expectations per role: productivity, quality, teamwork, communication, scope
3. List required competencies: technical skills, certifications, training, courses, conferences
4. Set salary levels tied to market data; document how levels will be reviewed and adjusted over time
5. Involve C-suite, managers, and HR to ensure the document is comprehensive and accurate