10 signs your organisation needs a career framework

Progress. It’s what civilisation is built on. And while we’ve achieved great things – electricity, democracy, AI – we still aspire to achieve ever more, on both a personal and collective level. On a personal level, success is often measured in terms of our career – have we made a difference or been promoted? On a collective level, success is measured in business outcomes – has the organisation hit targets or expanded? Career frameworks contribute to both of these aims, enabling progress and success for both businesses and employees. 

In this article, we’ll look at the benefits of career frameworks and investigate how to spot the signs that it’s time to implement one in your business. 

A career framework – also called a career progression framework, a career development framework, or a job architecture framework – is a structured system that outlines roles within the business to support career progression and development. 

The framework incorporates responsibilities, competencies, skills, and levels, to provide clarity on potential career paths within the organisation. 

A career development framework can be used in both public and private organisations, although the focus may vary. 

• A public sector career framework is likely to focus on hierarchical progression and competency-based criteria. It should align with the Australian Public Service Job Family Framework. 
• A private sector career framework is often more dynamic and flexible, enabling both lateral and upward movements, and focusing on performance. It should comply with the requirements of the Fair Work Act.

In Australia, careers frameworks are inclusive, legally-compliant documents that are written with a focus on cultural safety and that reflect modern workplace trends such as non-linear careers, hybrid working patterns and technical skills. They are dynamic documents which can be adapted to reflect changing demand for skills and regional differences. 

Both the business and its employees benefit from having a clear career framework in place. Employees have visibility on their options, and are able to identify which roles they could pursue and the skills needed to get there. For businesses, the benefits of a workforce planning framework are more strategic. 

• Employee retention and lower turnover: Employees may leave if they can’t envisage their future within the business. There are significant costs associated with hiring and onboarding, as well as training new hires to make up for the loss of knowledge. With a career framework providing clarity on progression routes, employees are more likely to remain with the company. 

• Transparency and fairness: A clear career framework reduces bias and discrimination by providing a comprehensive outline of each role and the skills needed to succeed. Manager and institutional bias are eliminated, along with the potential for grievances and complaints. 

• Scalability: Replacing ad hoc decisions with a standard career framework brings efficiency and speed to hiring, performance management, and promotion processes, while enabling consistency across multiple sites. 

• Workforce planning: Succession planning and recruitment become more streamlined when there is a career framework in place. It enables managers to quickly identify where gaps are appearing and who is outgrowing their roles, meaning that workforce decisions can be taken proactively, rather than reactively. 

• Performance management: As a performance management tool, career frameworks provide a point of reference for expectations within a role and development requirements for progression. 

• Recruitment: Job applicants can be recruited to the company, rather than just to the role. If there are clear opportunities for movement and progression within a business, applicants are more likely to commit for the long term rather than simply using the role as a stepping stone to another employer. 

Not every business has the same needs. While career frameworks clearly have many benefits, are they right for your organisation? These are some of the key signs that creating a career framework should be on your to-do list:

1. The business is growing

The company used to be small and dynamic. Everyone pitched in, work got done, and there was a buzz around what the team was doing. As the business got more successful, more staff were onboarded, roles became more structured, and a hierarchy was established. Now the business is scaling even further, but it’s still stuck in that small business mindset. 

A career framework is critical at this stage. It can build on the existing momentum and support employee retention, before the chaos that worked so well in the early stages evolves into disengagement and inefficiency. 

2. There are HR KPIs to hit

You know the HR team is working hard, but business leaders and shareholders make decisions based on concrete facts, not vibes. Implementing a career framework can support HR teams in improving their performance around recruitment, retention, and engagement.

3. Morale is dropping

A key reason for low morale is employees stagnating in their roles. They crave change, or a pay rise, but can’t envisage how to achieve that. A career framework makes it easy for employees to visualise their future career, whether that’s a sideways move or a promotion. 

When change is within reach, morale and engagement naturally improve – bringing with them the associated improvements in productivity. 

4. Progression paths are unclear

If your organisation has an unstructured approach to promotions and lateral moves, relying on manager feedback and ad hoc decisions, a career framework is long overdue. Clarity makes decisions easier for both the HR team and the employee, whilst reducing bias and expanding options.

5. There is inconsistency in roles and pay

Inconsistency, particularly in pay, is a fast track to employee disengagement, disputes, and legal challenges. Setting out roles, expectations, and salary bands in a formal, structured document avoids employees being held back by favouritism or simply a reluctance to advocate for themselves. It also ensures that the business complies with the requirements of the Fair Work Act. 

6. Managers lack capability

All too frequently, managers secure promotions based on their knowledge, technical expertise, and tenure, rather than their people skills. That’s not to say they can’t succeed in both aspects of their role, with the right training, but a career framework can help plug the gap. 

When managers can’t explain promotion criteria, aren’t equipped to lead career discussions, or hold personal biases – whether conscious or unconscious – that’s where the career framework steps in. Staff are empowered to take ownership of their careers when they are fully aware of the potential. 

7. Teams are undergoing transformation

When change is in the air, it’s only natural that people get twitchy. Employees may feel they would have more stability elsewhere if they feel their job is at risk. Having a career framework in place not only helps staff to plan an internal move, rather than leaving for a competitor, it also supports redeployment if redundancies are on the cards. 

8. Certain demographics are under-represented

Australia is a diverse country and it is expected that this diversity is reflected within the workforce. Under-representation of First Nations employees, such as Aboriginals and Torres Strait Islanders, as well as women, older workers, religious minorities, and those from the LGBTQIA+ community, can be addressed with a career framework focused on skills and performance, rather than personal traits. 

9. Internal mobility rates are low

If employees aren’t moving within the business, it signals that they’re not aware of the opportunities open to them and are therefore looking elsewhere for their next career move. Internal mobility has more advantages than retaining knowledge – it also improves employee engagement, increases productivity, and reduces hiring costs. 

10. Your HR team is under pressure

When your HR team simply has too much work to do and is feeling under pressure from every side, a career progression framework can help to ease some of the pain. By having roles, responsibilities, levels, and skills clearly laid out, decisions become faster and easier, employees can find information without needing HR input, and emerging gaps can be noted and acted upon before they become larger, more time-consuming problems. 

Is now the right time to develop a career framework for your business? If it’s a small start-up with only 10 employees, it’s probably a bit soon. But if you find yourself in one of these scenarios, it needs to be on your radar sooner rather than later: 

• Attrition is high. 
• Engagement is low.
• The company is growing rapidly.
• There are pay and role discrepancies that leave the business exposed.
• Employees are demanding transparency regarding career progression. 
• The business has been involved in a recent merger or acquisition.
• Managers need support with career discussions.
• HR targets and KPIs need a shot in the arm.
• There’s a need to build trust with employees.
• The business wants to attract top talent invested in a long-term career with the business.

If your business finds itself in any of these situations, it’s time to speak to Careerminds. We’re careers specialists and can support your business in implementing a career framework cost- effectively and at pace. 

A career framework is a detailed outline of all roles within a business. 

• It enables employees to plan their career and gain clarity on the routes open to them.
• It enables employers to retain, motivate, and recruit staff.
• It enables businesses to scale efficiently whilst maintaining compliance and fairness.
• It enables HR teams to hit their KPIs and improve their performance.
• It empowers managers and staff during career discussions.

Careerminds uses a custom AI, a wide selection of templates, and our career architecture platform to enable your team to build a career framework in minutes. Bring clarity to the chaos by booking a demo today!