What You Need to Know About Salary Negotiations
Preparing a resume and going through the interview process are a breeze as compared with salary negotiations after an employer has made you a job offer. Negotiating an acceptable salary is never easy. As a job seeker, you want the highest salary that you can negotiate based on your qualifications, years of experience etc. In contrast, your prospective new employer would like to hire you at a salary that is commensurate with your credentials and also consistent with industry standards and what similar employees earn at the company. After successful salary negotiations, both the employer and employee should be satisfied with the negotiated compromise that they reached (For those of you who have not realized it yet, all negotiations are compromises–neither party ever gets everything that they wanted at the outset).
So, when is it appropriate to discuss salary requirements during the job search process?
From an employer perspective, salary requirements can be raised at any point during the job application, interview or hiring processes. It is not uncommon for employers to ask job candidates to list salary requirements in a cover level or on a job application. Further, human resource representatives frequently ask job candidates about salary expectations and requirements during primary phone screening interviews. Finally, salary requirements are always one of the first things that professional recruiters will ask qualified job candidates before submitting a name for consideration at a client company. The reason why both prospective employers and professional recruiters ask for salary requirements upfront is to determine whether a job candidate’s salary expectations are in the range or consistent with what a hiring manager recruiting for the position has been authorized to offer. If a candidate’s salary requirements are greater that what a company can offer, there is no reason to move forward in the process with that candidate no matter how qualified he/she is for the position.
From a job seeker perspective, you should always try to defer (or deflect) any salary discussions for as long as possible, ideally until a job offer is proffered. This is important because, as a job candidate, you want a prospective employer to be “sold on you” as the right person for the job before any salary discussions are initiated (if you are their top candidate you will be in a better position to negotiate the salary that you want). Also, it is imperative to determine whether the job that is offer is “right” for you before entering into to serious salary negotiations. Accepting a job solely on the basis of salary without considering other factors like benefits, potential for advancement, vacation time, etc is usually a recipe for disaster. That said I offer the following salary negotiation insights and tips:
Salary Negotiation Tips
1. Be prepared to discuss salary at any time
2. Know what others are paid at comparable jobs inside the company and at other companies (visit www.salary.com or www.salaryexpert.com for ideas)
3. When asked about salary requirements, deflect the question by saying:
“I am looking for a salary commensurate with my years of experience and qualifications for the job”
Or
Put the interviewer on the spot by turning the question around and ask what the salary range is for similar positions at the company
4. If asked to state a desired salary, never give a number; always offer a salary range
5. If asked about your current salary, be honest, but provide the company representative with a number that reflects your current total compensations package (base salary, annual increases, bonuses etc)
6. Do not accept a company’s first salary offer (unless it is a fantastic one); always counter offer and try to meet the employer at least half way on subsequent counter offers
Things to Remember:
1. Contrary to popular belief, reputable companies do not set out to underpay their employees
2. Every company uses a formula, which usually includes academic credentials, years of experiences etc. to determine appropriate employee salaries
3. As a job candidate, you should always ask for more money than you expect to finally receive (this leaves ample room for negotiation with the prospective employer). That said, asking for a salary that is at the top end or beyond a company’s salary range for a particular position is likely to keep you from being considered for the job–so be realistic and don’t get too greedy!
4. Salary negotiations should NEVER take place until an offer is made
Hopefully, you will need to us these tips and recommendations in the near future!
Until next time….
Good Luck and Good Job Hunting!!!!!!!!!!!!!!!!!!!
