You ask, “What’s your salary expectation for this role?” I respond, “What salary range are you offering for the position?” Money talk is always tricky for both the candidate and the recruiter during interviews. Read on to get salary negotiation tips from both sides.
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A couple of weeks ago, a post surfaced on Twitter highlighting two different types of recruiters in salary negotiation scenarios. In one of the posts, a recruiter said she offered a candidate a lower amount than what was budgeted for the role because that is what she asked for. She felt that since the candidate did negotiate for a higher amount, there was no need to pay her more than what she deserved. At least, that is the tone it gave off, and she came under fire on social media for her comments.
In the other post, recruiter number 2 said she would be offering a candidate much more than what she had negotiated for as the company believes in paying people what they are worth.
Source: Twitter
Personally, this came as a shock. It had never occurred to me that an employer could simply offer you a competitive salary amount regardless of your asking for a lower amount. This begs the question; do employers expect you to negotiate? We have always been told to ask and hopefully, we shall receive when it comes to salary negotiation. The uncertainty of it all makes most people dread this part of the hiring process. If you take what the employer offers, you might leave money on the table. If you overshoot your shot, you might lose the opportunity.
Salary negotiation tips from the employer’s point of view
According to Salary.com, 84% of employers expect applicants to negotiate salary during interviews. Actually, there’s a chance that the hiring manager is also a bit nervous that the candidate might not accept their best offer. Imagine spending all that time and effort trying to find the ideal candidate for a role and they decide to walk away because they do not feel the amount offered was what they deserve.
Here are the three things an employer might be thinking about during the salary negotiation process.
- ‘Can we pay this candidate enough?’
Most employers will do their best to offer a successful candidate a fair salary from the start. If you negotiate and they have the wiggle room to accommodate your figures, then hopefully both parties will walk away happy.
There’s always a chance that you might lose this candidate to a competitor simply because they offered more money. Unfortunately, once you’ve hit your budget ceiling during a salary negotiation, there’s nothing much you can do but wait for the applicant to decide.
- ‘I’m nervous the candidate is already considering other offers’
Employers will not want to hear that their chosen candidate is considering job offers from other companies or competitors. However, this can happen and the employer expects you to compare all the offers on your table. It also means they have to be ready for any questions the applicant has about salary.
- ‘I hope we can both come to a middle ground’
Employers don’t just send out job offers to anybody. By the time you get that email, they are probably waiting with bated breath for you to say yes because they will be excited to have you on the team. This means even though they hope you accept, they still expect you to negotiate for a higher salary. So when you tell them your counteroffer, both of you are actually hoping the negotiation works in your favor.
Salary negotiation is also tricky for employers, but with tact and preparation, you can find a resolution that works for you as the recruiter. Here are a few tips to keep in mind before talking numbers with your star candidate:
Research
It always works to determine a salary range for the role before recruitment so you also have to do your research. Go through relevant resources such as Glassdoor to find out the market value for the position with respect to skill set, location, experience, and education level. This gives you a budget range to work with during the hiring process. In the same spirit, know your ceiling when negotiating a salary for this position with a candidate. Consider your budget, what the candidate can do for the company, and the needs of the hiring department.
Negotiate with your target candidate
If the candidate has asked for a higher salary than you had offered, consider how badly you want them. You will have three options at this point; stay firm, make a counteroffer or agree to theirs. Before making your decision, think about the value they’d bring to the company and whether you are willing to look for someone else with the same skill set.
Offer other benefits
If you’re unable to match the applicant’s figure, consider adding other perks to the compensation package. You never know, this might be equally compelling to them.
Salary Negotiation tips from the job seeker’s point of view
Now let’s talk applicant to applicant.
Most candidates fail to overcome the salary negotiation hurdle and end up settling for the initial offer so they don’t lose the job. The truth is you’re in your strongest position yet. We all know how even the smallest salary increase can influence your earning potential yet most of us still ask for less than we deserve.
Take this example:
Source: Twitter
In this case, the candidate asked for less but the employer saw her potential and decided to invest in her value instead of lowballing her just to save a few extra coins.
Regardless of the type of employer, you encounter during the interview, you still need to have these salary negotiation tips in your back pocket to help you get more from the offer.
Get out of your head
Many qualified candidates will stand in their own way during salary negotiation and I am sure most of you are guilty of this (myself included). You might focus on your weaknesses and draw your own conclusions before the negotiation, which sets you up for failure.
If you don’t ask, you won’t know if you would have gotten the figure you wanted. You’re the only one who knows what value you bring to the table and if you settle for less, you may never forgive yourself.
Have the facts at your fingertips
Before negotiating a salary, it is important to research the market value of someone with your skillset, education level, and experience in such a position. Once you establish a range that represents that, you should be able to make a case for yourself by citing your accomplishments and potential value to the company.
Find out whether the company is well-established or a start-up as this could mean you’d have to edit your figures a bit. Depending on the situation, you can ask if it is possible to supplement the salary with other benefits in the compensation package.
Change up your negotiation style
There are different negotiating styles that can influence what you achieve from the salary negotiation process. They include:
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Avoiding: You do not negotiate altogether
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Compromising: You and the other person try to reach a middle ground
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Accommodating: One party puts the other person’s needs first
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Competing: You are trying to get what you want without considering the other party’s concerns
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Collaborating: You try to solve a problem so both sides achieve a positive outcome
Have you used any of these salary negotiation tips before? Obviously, some of these methods do not work in your best interest while others do. It’s safe to say that assertive negotiation will pay off when discussing salary with an employer while the ‘avoiding’ strategy might not help you at all.
Conclusion
Salary negotiation is a healthy and necessary discussion that lets you know the type of employee, employer, and the company you are getting into bed with. Every potential employee wants to work in a company that values them and rewards their efforts accordingly. When employers also give candidates the space to negotiate their starting pay, it can help to create a productive and more satisfied workforce.
