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11.2.2026

Mikko Kivelä

How to create a job leveling framework for a small & medium sized company (+Free Template)

A practical guide to building a scalable job leveling framework for 50–250 person organizations, including a free template and guidance on seniority levels, IC and manager tracks, and performance reviews.

How to create a job leveling framework for a small or medium sized company (+Free Template)

TL;DR

  • Companies with 50–250 people need job leveling to maintain consistency across teams and managers.
  • Five seniority levels provide a good balance between clarity and flexibility.
  • Parallel IC and manager tracks help prevent people from being forced into the wrong roles.
  • Performance attributes make reviews more objective and coaching more effective.
  • The free template provides a practical starting point for growing organizations.


How to create a great job leveling framework for a growing company (50–250 people) (+Free Template)

Once a company grows beyond 50 people, job leveling stops being a “nice to have” and becomes part of the operating system. Roles specialize, teams multiply, and decisions about scope, promotion, and pay begin to carry real weight.

A great job-leveling framework at this stage creates consistency across teams, supports fair growth decisions, and provides managers with a shared standard for evaluating performance. This guide explains how to build one for a 50–250-person organization, what changes to expect compared to early-stage startups, and includes a free, ready-to-use template designed for this size of company.



Why does job leveling become critical at 50–250 employees?

Job leveling becomes critical at this stage because informal alignment no longer scales. As managers, teams, and functions multiply, expectations begin to drift, even when everyone has good intentions.

Without a shared framework, performance reviews become subjective, promotions feel inconsistent, and employee engagement erodes over time. A clear job leveling framework gives HR departments and leaders a common language for expectations and growth, making decisions more transparent and defensible as complexity increases.



What changes in job leveling when a company grows beyond 50 people?

The biggest change is specialization. Roles become deeper, responsibilities narrow, and success looks different across functions. At the same time, leadership layers begin to form, introducing new expectations around people management and organizational impact.

Compared to early-stage startups, job leveling at this stage needs clearer seniority distinctions, stronger cross-team consistency, and tighter integration with performance reviews and analytics. The goal is no longer just clarity; it’s sustained fairness at scale.



How should a 50–250-person company structure job levels?

Most companies at this stage benefit from a five-level seniority model. This provides enough range to reflect meaningful growth while remaining understandable and usable in day-to-day management.

A typical structure includes Junior, Mid-level, Senior, Lead, and Director levels. Each level should be defined by scope, complexity, autonomy, and impact, not tenure. This makes the framework usable across roles and helps keep performance expectations consistent even as teams evolve.



How do individual contributor and manager tracks fit into job leveling?

As companies grow, not all senior roles should lead to people management. Strong individual contributors often create the most value through deep expertise, while effective managers require a different skill set entirely.

Many organizations introduce parallel tracks at the top levels, allowing employees to grow either as senior individual contributors or as people leaders. These tracks don’t need to be complex. In tools like Taito.ai, teams can easily model IC and manager tracks within the same leveling framework and use them consistently in goal-setting, performance reviews, and feedback, without maintaining separate systems.



How do roles, skills, and performance attributes work together?

At this stage, job leveling works best when roles, skills, and performance attributes are explicitly connected. Roles define areas of responsibility, while performance attributes describe what good performance looks like regardless of function.

Common deliverable attributes include complexity, quality, and speed. These are combined with role-specific skills such as software engineering, product strategy, customer success management, or team leadership. Together, they create a structure that supports objective evaluation while respecting functional differences.



How should performance attributes be used in performance reviews?

Performance attributes turn job leveling from theory into practice. Instead of relying on vague impressions, managers assess employees against clearly defined expectations tied to their level and role.

For example, a skill like UX design can be evaluated across increasing levels of proficiency, from basic execution to strategic, organization-wide influence. This makes reviews more objective, feedback more actionable, and coaching conversations more productive, especially when supported by coaching and performance analytics tools.



How do you build a job-leveling framework step-by-step?

A strong job-leveling framework for a growing company is structured, explicit, and usable in everyday management. For groups of 50–250 people, the goal is consistency across teams and managers, not overly complex career architecture.

Start by defining the roles that exist today and the core skill attributes for each role. This creates a shared baseline for expectations and makes it easier to apply levels consistently across functions.

NameDescriptionSkill attributes
EngineerBuilds and maintains the SaaS productAI Engineering, Software Engineering, Security
Product managerResponsible for defining the product vision and strategyProduct strategy, UX Design
DesignerResponsible for designing the user interface and user experience of the SaaS productUX Design
Sales representativeResponsible for selling the SaaS product and acquiring new customersLead generation, sales automation
Customer success managerEnsures customer satisfaction and drives product adoptionCustomer success management
Engineering managerLeads engineering teams and drives technical excellence while managing people and processesTeam management, software engineering, Product strategy
Marketing managerDevelops and executes marketing strategies to drive brand awareness and customer acquisitionTeam management, Marketing strategy, Data analysis
Support specialistProvides technical support and resolves customer issues to ensure excellent customer experienceTechnical support, Customer success management
People partnerManages HR processes and employee relations to foster a positive workplace culturePeople operations, Team management
Finance managerManages financial operations and provides strategic financial guidance to support business decisionsFinancial management, Data analysis
Data scientistAnalyzes data to derive insights and builds predictive models that drive business decisionsData analysis, Software Engineering
DevOps engineerManages infrastructure and deployment processes to ensure reliable and scalable software operationsInfrastructure management, Software engineering, Security


How should levels be designed as companies scale?

For groups of 50–250 people, levels should be simple enough to be applied consistently but detailed enough to reflect real differences in scope and impact. A five-level system usually works well because it supports specialization and depth of leadership without turning leveling into bureaucracy.

Use the seniority levels below as your baseline, then tailor role-specific expectations on top of them (for example, what “Senior” means in Engineering vs Customer Success).

LevelDisplay nameDescription
L1JuniorEarly-career contributor with foundational skills; requires close guidance, focuses on executing well-defined tasks, and is learning best practices in SaaS product development and operations.
L2Mid-levelCompetent individual contributor who can own medium-complexity tasks, work independently with some oversight, and contribute to planning and problem-solving within a focused scope.
L3SeniorHighly skilled professional who consistently delivers high-quality work, leads complex initiatives, mentors others, and drives improvements across processes, tools, or product areas.
L4LeadTechnical or functional leader who drives strategic initiatives, provides technical direction across multiple teams, and influences organizational standards and practices.
L5DirectorSenior leader who manages multiple teams or functions, sets strategic direction for their area, and drives significant organizational impact through people leadership and strategic planning.


How do individual contributor and manager tracks work within the same levels?

As companies grow past 50 people, senior roles naturally diverge. Some employees create the most value through deep individual expertise, while others create impact by leading people and teams. A good job-leveling framework supports both paths without forcing everyone into management.

The key is to maintain the same seniority levels while allowing the top levels to split into two tracks: an Individual Contributor (IC) track and a Manager track. Both tracks are equally senior; they simply represent different ways of creating impact. This approach builds directly on the seniority model shown above and is commonly used in organizations with 50–250 people.

LevelIC track (Individual contributor)Manager track
L3Senior IC who leads complex work, mentors peers informally, and raises quality standards through expertiseSenior contributor who may begin supporting others but is not yet a people manager
L4Lead / Staff IC who drives high-impact initiatives, sets technical or functional standards, and influences multiple teams without formal people managementManager who leads a team of contributors, sets goals, coaches performance, and owns delivery through others
L5Principal / Expert IC who shapes strategy through deep domain expertise and influences direction across the organizationDirector who leads multiple teams or a function, sets strategic direction, and develops managers and leaders

In practice, employees typically choose their path around the Senior (L3) level, based on strengths and motivation. Importantly, moving into the manager track should never be the only way to progress; both tracks represent meaningful, respected growth.

In tools like Taito.ai, these parallel tracks can be modeled directly within the same leveling framework, making it easy to apply them consistently in goal-setting, performance reviews, and ongoing feedback without maintaining separate systems.



What is included in the free job leveling template for companies with 50–250 employees?

The free template is designed for small and medium-sized organizations that have outgrown early-stage frameworks. It includes defined seniority levels, role descriptions, performance attributes, and examples of how to evaluate skills at each level.

The framework reflects real-world usage in growing companies and is built to support multiple teams and structured review cycles. It’s meant to be adapted to your context, not followed rigidly. For example, this template does not distinguish between individual contributors and manager track roles.


Download the template

What are the benefits of using AI for job leveling in mid-sized organizations?

The main benefit of AI at this stage is its scalability and consistency. AI helps reduce recency bias, supports fair comparisons across teams, and ensures that job levels are determined by evidence rather than proximity or intuition.

For employees, this builds trust. For leaders, it reduces surprises during promotion and compensation discussions. Over time, this consistency becomes a key driver of employee engagement and retention.



What does effective job leveling look like in a 50–250 person organization?

Effective job leveling at this stage balances structure with flexibility. It’s detailed enough to support fair decisions, but adaptable enough to evolve as roles and teams change.

AreaWithout structured job levelingWith a scalable framework
Seniority definitionsInconsistent across teamsStandardized across roles
Performance reviewsSubjective and manager-specificAttribute-based and objective
PromotionsHard to justify and compareTransparent and evidence-driven
Employee engagementTrust erodes over timeTrust increases with clarity


What should you read next if you want to go deeper?

If you want to explore how job leveling fits into a broader performance system, these articles expand on related topics:



How does Taito support job leveling at 50–250 people?

At this stage, job leveling only works if it’s embedded in everyday management, not stored as documentation. Taito helps teams operationalize job levels across goal-setting, performance reviews, and continuous feedback.

Teams can customize leveling frameworks, align expectations across managers, and use AI support to maintain consistency as the organization scales.

Try Taito for free


FAQ

Q1: When should companies introduce manager and IC tracks?

Once senior roles emerge, not all high performers want to manage people. This often happens naturally as companies grow past 50 employees.


Q2: How many job levels work best at this stage?

Five levels are usually sufficient to reflect meaningful growth without overcomplicating the framework.


Q3: How does job leveling improve performance reviews?

It anchors feedback in clear expectations and observable outcomes rather than subjective impressions.


Q4: Can job leveling evolve as roles change?

Yes. Frameworks should be reviewed regularly and updated as teams, roles, and strategy evolve.


Q5: Should job leveling be tied directly to compensation?

Levels often inform compensation bands, but they should be combined with performance, market data, and company context rather than used in isolation.