Salary negotiation and interview process

Salary negotiation is an art that is highly time dependent; put it out too early and you may lose out to the competition, put it out a little late and you might get a raw deal.

In general, loyalty, while revered and appreciated by most employers, is not rewarded very well. Existing ‘loyal’ employees often find themselves struggling to match the salaries given to new hires, let alone being rewarded for staying with the organization. Not surprisingly, salary ranks second among the reasons for attrition, after working with bad managers.

For all working people, even if it is not the reason for the job change, salary is a crucial factor that could decide the fate of the job application. It is this anxiety that pushes many job seekers to put salary negotiation aside, which is not the right approach.

Here are the key points to remember:

When

The best negotiators are those who can think from the other person’s point of view. Understand that in order for the employer to make you a smart offer, they will first need to assess your competition and fit. Asking for a salary number before testing your value proposition will not return an exact number.

Employers understand the importance of a good paycheck, and once you’ve proven that you’re the best fit for the job, they may automatically be willing to negotiate in your favor. Standing out at the job interview is the best way to prove yourself, so save your salary for after that meeting.

Who

The interview process features many names and faces, but not all of them have the power to decide, or even discuss, their enumeration. Be especially careful at the job interview where the interviewer’s goal is to assess you, not talk about money. If it’s not on the agenda, you can only hurt the final numbers by bringing up the topic.

It is safest to assume that the HR contact is the person with whom you should start the compensation conversation.

How

Do your homework

Employees want the maximum salary possible while employers want to restrict; Salary negotiation is a discussion that reaches a mutually acceptable agreement between these two objectives.

Intelligent discussions are based on facts and a perspective of your “market value” is definitely helpful. While it can be difficult to get precise numbers, try to get a range from peers, seniors, or even recruiting agents.

Some things to consider should include the cost of living, fixed and variable components, vacations, and other non-monetary benefits.

Haste equals waste

Time is the bread and butter of the true negotiator. You will most likely be asked “How long are you waiting?” or “What number do you have in mind?”. Respond diplomatically with “I know you are a great employer and I hope you value me properly.”

An astonishing fact is that many of us undercut ourselves and by quoting a number first, the negotiation starts at a lower level than the employer would have started.

Once you’ve done your research and know your minimum, stick with it. You may really want the job, but employers also really want good employees.

Your bargaining power

Employers want good candidates and while they may try to reach an agreement, it is important that you highlight your key strengths to substantiate your negotiation.

Here are helpful building tips:

1. Key achievements
2. Relevant professional skills
3. Ability to take more responsibility
4. Soft skills such as communication and teamwork.
5. Flexibility to travel or work shifts
6. Long-term perspective (loyalty)

DO NOT DO –

1. act desperate
2. Show nonchalance (you have to show enthusiasm)
3. Make up fake offers with inflated salaries

Remember

Opportunity Weight vs. Paycheck

Many job seekers err on the side of judging a job based solely on take-home pay. The job should be viewed as a long-term commitment, and before deciding on the offer, consider factors such as the job profile, the organization’s work culture, growth and travel prospects, and learning opportunities.

get it in print

A job offer is a contract, and like any other agreement, you must ensure that the promised terms and conditions are fully reflected in writing. People and situations can change quickly, and ambiguity will rarely work in your favor.

don’t burn bridges

Know what you want and go for it; in case things don’t work out, act gracefully. There are many considerations that determine a candidate’s designation and several do not control the job applicant. The candidate cannot influence factors such as budget cuts and changes in management strategy.

If the decision is not in your favor, thank the team and reiterate your enthusiasm for the organization. Good candidates who are not selected are often considered for future positions.

Negotiating salary isn’t just about getting a higher number, it’s about making sure you take advantage of a great opportunity and are well rewarded while turning the opportunity into success.