Do Job Titles Really Matter?

Some companies give job titles little thought, while others try to come up with creative titles to boost their employees' confidence. Knowing the value of a relevant, descriptive job title is an important aspect of a company's dynamics. Here are a few reasons why job titles really do matter.

Job Titles as Guideposts

When you have an accurate job title, coworkers and customers know what to expect from you. For example, anyone who comes in contact with a digital marketing manager understands that this professional manages all forms of the company's marketing via the internet, mobile phones and other digital media. On the other hand, a social media marketing manager is restricted to platforms such as Facebook and Instagram, so this employee wouldn't be the person to ask about Google ads. This also applies to job titles with "junior" or "senior" in the name, allowing workers to understand their rank in relation to their colleagues.

The Effect of Job Titles on Pay

Businesses should set competitive pay rates that are on par with other companies with similar job positions. Business leaders who simply choose their own titles and pay rate risk cultivating distrust, or worse yet, losing employees to the competition. Online sources such as Glassdoor, along with salary surveys and other job-related research, can help managers find the market rate for a particular position.

Job Titles as Part of a Whole

Receiving a new job title is exciting, but if it doesn't come with a shift in responsibilities, a bonus or a salary increase, a fancy title is nothing more than a quick ego boost. Job titles should always come as part of a whole. On a similar note, team members in smaller businesses may need to take on multiple roles, and each role should be listed separately rather than jumbled into a single, unclear job title.

Hiring and Job Titles

When a hiring manager uses an unclear job title, he may end up attracting the wrong talent, which wastes everyone's time. Job seekers should stick to solid job descriptions with a recognizable title to find the best match for their skills and experience. Vague job titles can be a red flag that the organization either doesn't know what it's looking for or is afraid to share important details regarding what the position really entails. Standard job titles also allow job seekers to quickly and easily search for relevant openings on aggregate sites.

In the professional world, your title is more than just a name. It's an identifier to help you more efficiently work with others, find the right openings, and determine whether your pay is just. Have you ever suffered the effects of a misleading or unclear job title?

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