Salary negotiation

Salary Negotiation

AGENDA

• Goal of Salary Negotiation

• Preparation

• Calculating Your Worth

• “The Offer” • Counter Offers

• Conclusion/Q&A

The Goal of Negotiation

• To reach an agreement that will maximize your potential earnings and provide for the

employers needs

• To create a win-win situation with an

employer with whom you can have a long term relationship

Preparation

Preparing for Salary Negotiation

• What you need to know before you begin

salary negotiations

– Know your market value – what are comparable salaries

and positions

– What do similar positions in the industry pay in your

geographic region

– How much do current employees earn.

– Where do you fit in the organization- is this an entry

level, management or an executive position

Preparing for Salary Negotiation

• Factors that impact supply and demand –

THE COMPETITION!

– What is current in the industry - targeting local

and national trends

– Identity employers who compete for the best

candidates and offer top salaries and superior

benefits packages

Calculating Your

Worth

Places to Search for Information

• Professional associations

– membership surveys

• Recruiters and executive

search firms

• Monthly government

labour reviews/ The

Bureau of Labour Statistics

• Forbes, The Wall Street

Journal, Business Week,

Fortune Magazine

Total Compensation Packages

• Bonuses

• Signing bonus

• Flexible schedules

• Profit sharing

• Retirement package

• Insurance

• Timely advancement

• Vacation time

• Education rebates

• Cost of living raises

• Company car

• Cell phone/Blackberry

• Child care

• Maternity leave

• Relocation costs

• Health Care Insurance

Benefits can equal 20%-30% of your total compensation

package. What’s included:

“The Offer”

“The Offer” Things to remember:

• Most companies make fair and realistic salary offers

• It is not in their best interest to make “low ball” offers

• They want to hire the best candidate for the job

• High employee turnover is an added expense to the bottom line for the employer

• Translation = the “Offer” should be good!

“The Offer”

• Anticipate objections to higher salary offers

• Be clear about your own value

• Be confident in your abilities, skills, professional experience and education

• Develop rebuttals to anticipate employers possible “excuses” for not wanting to raise salary levels

Discussing Salary History • Postpone this discussion as long as possible

• Discuss salary in future terms…. – “If I was to stay in my current positions the value

of my compensation package would be…” – “I would consider a salary range of…”

Negotiations

• Remember is not about winning, but about establishing mutual interests and goals

• Know where you can compromise

• Identity your possible competition

• Logically reiterate why you should be compensated at a greater level

Counter Offers

Counter Offers

• Investigate and determine your employer’s motivation

• Is it all about money?

• Will the underlying issues that motivated you to move be changing?

• Know that your loyalty will now be suspect and an attitude of negativity about your choice to leave may be present

• They may feel desperate to finish a project but may not be loyal to you and made the offer

• Do you really want to work for someone who only increased your salary because you were leaving?

• Take this offer as a complement and move on

Counter offers are offers from your current employers to

remain after you have announced intention to leave

Thank You and Good Luck