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Pay grades [1] are used by the eight structurally organized uniformed services of the United States [2] (Army, Marine Corps, Navy, Air Force, Space Force, Coast Guard, Public Health Service Commissioned Corps, and NOAA Commissioned Officer Corps), as well as the Maritime Service, to determine wages and benefits based on the corresponding military rank of a member of the services.
Associated with the enlisted pay grades is a numbering system from the most junior enlisted sailor ("E-1") to the most senior enlisted sailor ("E-9"). This enlisted numbering system is the same across all six branches of the U.S. military. All E-1s through E-3s are known as seaman, fireman, airman, constructionman, or hospitalman.
A pay grade is a unit in systems of monetary compensation for employment. It is commonly used in public service, both civil and military , but also for companies of the private sector. Pay grades facilitate the employment process by providing a fixed framework of salary ranges, as opposed to a free negotiation.
The pay scale was originally created with the purpose of keeping federal salaries in line with equivalent private sector jobs. Although never the intent, the GS pay scale does a good job of ensuring equal pay for equal work by reducing pay gaps between men, women, and minorities, in accordance with another, separate law, the Equal Pay Act of 1963.
The numbers in the system broadly correspond to the U.S. uniformed services pay grades, with OR-x replacing E-x. The main difference is in the commissioned officer ranks, where the US system recognizes two grades at OF-1 level (O-1 and O-2), meaning that all O-x numbers after O-1 are one point higher on the US scale than they are on the NATO ...
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NATO Ranks and Grades—Official NATO Ranks / Pay Grades Table; STANAG 2116 (Edition 5) History of NATO – the Atlantic Alliance—UK Government site; NATO codes for grades of military personnel from STANAG 2116; Nato Army/Navy/AirForce Enlisted Ranks Archived 2023-12-01 at the Wayback Machine from visualinformation.info