5 Best Tips for Salary Negotiation
Salary negotiation is a skill every jobseeker should learn before they enter their first job. It should justify the responsibility they are going to deliver. it should be fair and as per industry standards.
1. Discuss the salary at the end of interview process: The first secret of salary negotiation
Never discuss salary until the end of the whole interview process at the organization. Yes, you should do your research if the company has the budget to hire you.
The end of the interview process is a stage where the employer decides that you are the person whom they want to hire. But incase this question comes early in the interview few tactful answers could be
"I would be able to answer this question, but could you first help me understand what this role involves
Secondly " you can tell them a range, I am open for a salary based on my KRA in this range"
Or in case you are in desperate need of the job, Ask them what their range they have in mind and make a decision. Of course ask for some time before you decide.
2. Get to know the employer’s salary range for the position: The second secret of salary negotiation
The second secret of Salary negotiation is to uncover the most that an employer is willing to pay. There are very few employers who fix the salary for a job and offer the same on selection. Most employers have a range and they use the bidding method . They want to hire somebody at, let's say in the range of 10-15 LPA, they would want the person to come on 10 LPA and you as a job seeker should try to bring the maximum cash home. Nothing is wrong either at the employer or the job hunter side, this is all a game of negotiation. Once you know the lower limit of the Salary, you can easily take it 10-20% up with little effort. Keep a strong justification ready, why you deserve this Salary.
3. Don’t disclose your expectation at first: The third secret of salary negotiation
During Salary discussion, never be the first one to mention a salary figure. Inexperienced recruiters often make the mistake of telling the budget to the jobseekers and that makes the employer lose the game. Its thumb rule, whosoever shared their salary range, have lost too much in salary negotiation. So a recruiter may ask you - What kind of Salary are you looking for?
And you can make a counter move by saying, "well you created the position, so you must have some figure in mind" and I'd be interested to first hear what that figure is.
But this is not the end, experienced recruiters know a lot of ways to hide the information, and they may coax you to blurt out your expectations.
4. Do research on salaries for your position & organization: The fourth secret of salary negotiations
Before you get to the interview, do some careful research on typical salaries for your field and in that organisation. Research online on platforms like Glassdoor, Ambition box, speak to people who have worked in the same role in other companies. If the employer you are interviewing with has multiple people in a similar role, you can try to extract information. Try to understand the market standard, match it with your experience and skill sets and keep a range ready in your mind. Having realistic expectations is necessary to negotiate well. There are so many novice job seekers who want a certain package because some ABC colleague or friend of theirs has got such a package. It never works in your favor, if your reason for salary hike is based on somebody's else's package. While it may hurt your ego, but there could be a possibility you are not as skilled as that friend of yours. And apart from that there are various parameters on which a salary is decided, so keep your reasonings strong.
5. Discuss the salary structure & other benefits: Fifth secret of salary negotiation
Salary discussion with this employer is not finished until you've addressed more than salary. You should discuss the salary structure, other benefits you might be getting. Companies go to a good extent if they like anyone for the role, and they see the potential in that hire. There have been times when jobseekers have got much more perks than the actual salary.
Once all is done, you have liked the employer, the employer has decided to hire you, and Salary and other benefits have been decided. Ask for the offer in writing. go through it well and maybe you would want the offer to be vetted by somebody before you accept the offer. Ensure there is no discrepancy in what you are offered and what comes in writing.
Negotiation in itself is an art, where psychology to economy to business sense everything comes into play mixed with your own experience. And a good negotiation is such, where both parties feel they won. While you negotiate there is a thin line between acting greedy and asking for a fair package. Never cross that line, else the same employer who wanted to hire you, will double check their intention to take you onboard. A Job is not only about Salary, there should be something more which attracts you to the job. Evaluate any such reason too while you negotiate.
