When accepting a new job or promotion, have you ever discussed your salary or benefits? Or do you always accept what is offered to you (even if you are entitled to more)?
What's more, guess what? So much can be said about negotiation! Did you know that entire university programs are devoted to teaching these skills? Yeah… There are several skill sets.
We don't know how much negotiation we conduct in our daily lives...
JOB INTERVIEW
From purchasing a car, selling our home, establishing our income (supposedly only 50% of American jobseekers negotiate their compensation rather than accepting the first offer), to when your adolescent attempts to extend their Friday night curfew, or your toddler refuses to sample their Russel sprouts...
Not only do we endeavor to meet our own wants and interests, but we also try to meet the needs and interests of others.
So, I'm limited in terms of what I can teach you about negotiating in one sitting.
But here are a few of the most crucial elements...
First and foremost, when it comes to negotiating employment terms (particularly salary), it's better to wait until after the company has given you a job offer.
They may bring up pay expectations during the interview process, but I'd be cautious about what you say until you've been offered the job.
Negotiations, according to Adam Grant, an organizational psychologist, and researcher at Wharton's school of business, are all about two things: results and relationships. [*] If you are truly interested in a position but are concerned that you will not be able to live on the pay, you should convey this, but you also don't want to come out like a bulldozer to your potential future boss.
Getting what you need is an art form.
What you must realize is that employment negotiation is a "game," and if you are unwilling to master the tactics, you will lose over the course of your career. According to research, you may expect to earn roughly $750,000 throughout the course of your career. [*]
So, what exactly are the guidelines?
What irritates me about this subject is that it has everything to do with your line of work. It also has to do with the country you're in and any gender bias or potential discrimination that might exist in your culture. I'm afraid I won't be able to address everyone's individual issue today...
For a moment, let's try to explain it from the "other" perspective. Being a boss (which I have been for several years) has taught me that a business has expenditures and that in order to not only breakeven but really make a profit (and the aim has always been to earn a GOOD PROFIT), I must be competitive and strategic in my compensation decisions. I don't believe in overpaying people, but I also don't believe in giving them a bad deal by severely undercutting them.
So it helps if someone who is interviewing for a job already understands their worth and has done their homework on what they should be making (and can politely demand) in the present employment market.
Remember how I asked you to EVALUATE and DEFINE what you're searching for in your next job at the start of this Better Career Challenge month?
I wanted you to remember that more money isn't the only thing you're looking for (lower pay can often mean a better business culture, more autonomy, remote work, and a better work/life balance, which all add up to a happier you).
Now you'll take these worksheets and use them as a guide for what you want to negotiate. Keep in mind that you should be aware of the employer's values and interests. If you can define (during the interview process) what they need from the person who will do the job, and you can confidently assure them that you can put your experiences and skills to work for them, adding the value they need at their company, they will be more than happy to negotiate your employment terms (seriously. Employers EXPECT you to want to work out a deal with them).
A word about compensation: because we all know why we work, right? It is first and foremost to meet one's basic demands for survival.
As a result, you must have completed your due research by determining what compensation range is appropriate for the position, the organization, and your geographic area (if it is 100 percent remote work, clearly you can negotiate the salary differently because you are not necessarily bound to the limits of what other competing companies pay within the same city).
Here are a handful of the many resources available to assist you to determine your "value" in a specific professional role:
The Occupational Outlook Handbook from the Bureau of Labor Statistics offers you a solid indication of how in-demand your job is now and will be in the future.
A good location to start looking for salary information for specific job titles in your area.
Some websites from Glassdoor allow you to look up salaries for specific job titles at companies in your area.
This is a fantastic site that tells you about the salaries of workers in the United States on work visas at various companies.
A great resource for IT salaries.
You'll want to come up with two figures based on the information you gather and what you came up with on the DEFINE worksheet (as in - a salary range).
Okay, so you should have learned how much money the organization pays people who are already fulfilling the job title throughout your study...
You are aware of your own level of experience and accomplishments, as well as what you could bring to their team that no one else could...
Based on all of this, the bottom (low) end of your salary range must not only be within these constraints, but also be a value for which you would honestly do the work.
Realistically, you never want to tell them how little you'd be willing to work for (even if it's your ideal job!); instead, you want to give them a price that's in the ballpark of what they actually pay individuals who perform the job and is a pay raise from where you're presently employed.
The figure should be plausible.
The second number (the top end of your range) may seem a little high (which is fine), but it should still be within the regular range of what someone with your experience level makes in the same job capacity at a company that can afford to pay more.
Because so much of this advice is dependent on the industry and role you want to pursue, it's difficult to predict how close these two figures should be! You must conduct research, which should involve speaking with others who perform the function and learning about their experiences (even if it feels awkward to bring it up, it will help in the long run).
OFFICE BOSS ANGRY
Now, here's the thing: there are occasions when you should give them your range first, and other times when you should get a range from the first.
In compensation negotiations, for example, women are commonly undercut. (This is the terrible reality of our current world[*][*]). So, if you're a woman who knows her worth as an employee, there will be moments when you need to demand it so that they don't undervalue you right from the start of the bargaining process. This counsel, however, is just speculative.
When it comes to sharing income information, I want you to be aware that different countries and states have different regulations. It's critical that you understand them. I strongly advise you to read the following article: Is it legal for employers to inquire about your current or previous salary? They can in most places of the United States, but it's best not to divulge the information.
Okay, so you've figured out what kind of pay you want/need. Now you must devote some time to answering the following questions for yourself: What are your thoughts on their working hours and expectations? Do you want to try to work out a flexible work schedule that allows you to work from home sometimes? Do they provide stock or interest in the company? Do you think their PTO is reasonable?
If sick leave, maternity leave, 401K matching, bonuses, commissions, and other benefits are vital to you, find out what they provide and make sure it meets your and your family's demands.
MEETING CONFERENCE
Let's conclude this up with a few quick pointers:
Tip 1: You might request the time to consider an offer. You can go home and discuss it with your partner.
You can also respond with a counteroffer, a solid figure that feels like a win-win (because the truth is, they typically have already budgeted that if they really want you, they are going to pay you above what your low number was).
According to Columbia University research, you should present a hard (extremely exact) number when counter offering, such as $95,750 vs. $95,000, because it prompts people to assume you have done more research on your market value. [*]
Tip 2: Before entering a negotiation, think about some tougher questions they might ask you and practice responding to them.
Tip 3: Negotiation, like any other skill, is something you should practice!!! Nervousness is quite normal. Practicing will help you feel less worried! Practice saying things like As I've done my research about this particular role, and what individuals with similar levels of experience to mine are being paid for it, I believe some amount of money would be a realistic and acceptable amount of compensation for me to accept this position and put my best efforts towards helping your organization," and "As I've done my research about this particular role, and what individuals with similar levels of experience to mine are being paid for it, I believe some amount of money would be a realistic and acceptable amount of compensation
Tip 4: If they regretfully inform you that they are unable to meet your salary expectations, be respectful and determine whether you can afford what they say they can pay and whether other aspects of the benefits package, such as retirement, schedule flexibility, and so on, outweigh your desire for a specific level of compensation.
We all employ negotiation skills on a daily basis, whether we recognize it or not. It's critical to have the appropriate information, so you can ask for what you deserve in your profession with confidence. We hope that this post has provided you with some insight into pay negotiating and how to make the most of it. Do you feel more at ease when it comes to discussing your salary?
You must be logged in to post a comment.