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Salary Negotiations: How to Do It in Today's Economy


With so many people looking for work and unemployment so high, you may think you should not try to negotiate salary with a new employer.It is true that today's employers are often beginning with a low ball salary offer, but many hiring managers do make the 2nd offerif a candidate seems unwilling to accept the first one on the table.

Here's a key career management fact to keep in mind: the biggest salary increases almost always come from changing jobs and moving on to a new company. Some of my clients have secured 20%, 30%, even up to 50% higher than the old job by using savvy negotiation techniques. Even in this tougher economy, employers are open to negotiating salaries and paying more than ever. Many hiring managers say they must pay more to get the right talent and many are doing just that. The employer sees a lot of applicants but many aren't qualified to do the job. They worry that a wrong hire will cost them a great deal in lost production, recruiting costs, salaries wasted, etc.


  • If you are currently job hunting, you are likely concerned about HOW to go about asking for more salary and better perks, such as a signing bonus or more vacation. Here are some important steps to follow:

Know what your skills are worth.

Don't guess, KNOW! This is a big mistake. Sometimes you were underpaid at your current or last job). This often happens when you have been with the same employer over several years and mostly got cost of living raises. Go to: robinryan.com/tools and click on salary resources to learn what employers are paying for your level of experience and skills. You can also check with your professional association -- almost all publish salary ranges based on job title and experience level. If relocation is a necessary part of your career path, use the tools at robinryan.com/tools to compare housing costs, comparison of earnings levels in different regions, etc.

Whoever mentions money first loses

To preserve your negotiations power it's critical to never reveal what your salary is (or was.). Plan for these salary questions and arm yourself with appropriate answers to keep an employer guessing. Laura, an ambitious woman was too open in interview and told the hiring manager her true salary, which was low because promises of raises had never materialized at her current job. The HR recruiter later informed her that, once the hiring manager heard the low figure her current employer paid her, he changed his opinion of her and downgraded all of her achievements and abilities (the new job paid twice her salary.) In her interview coaching session we worked on how to effectively handle salary questions and armed with effective strategies she landed the job adding a $32,000 pay increase over the job she left. Instead of revealing your salary when asked by a hiring manager or HR person, try dodging the question asking the employer what is the range this job will pay.

TRY

The critical mistake people make is they never even try to negotiate at all. Women are particularly unskilled and most just accept the 1st offer which is a key factor in why women who are still paid 23% less than me! Too many people today simply accept the offer as given. Prepare in advance what you'll say ONCE the offer has been made. Knowing what the average salary is for your job level should allow you to have a realistic idea of what range you are in. Asking for a bit more and then offering 4-5 good reasons why they need your talents, will help convince the employer that you would be a valuable addition to their team and the extra dollars are worth paying.

  • Negotiate to Get the Money Up Front Promises of future bonuses, raises, stock options, and reviews in a few months -- all have a way of never happening down the line. Negotiate every dollar you want into the salary base now when the employer is most amenable. Cover the whole package. Evaluate the value a company's benefits offer and make an informed decision knowing exactly what that company's medical plan offers, your deductible and out of pocket costs for your family. This is a good area to secure more salary when the offered plan is not very good.
  • Get An Employment Letter Promises are quickly forgotten once you start the job. Get the details in writing so there are no misunderstandings later by requesting an employment letter from the employer.

Robin Ryan has appeared on Oprah and Dr. Phil is considered America's top career coach. Robin has a busy career counseling practice providing individual career coaching, resume writing services, interview preparation, salary negotiations, and outplacement, to clients nationwide. She is the best-selling author of:60 Seconds & You're Hired!; Soaring On Your Strengths; What to Do with the Rest of Your Life; Winning Resumes ; and Winning Cover Letters . A dynamic national speaker, Robin has spoken to over 1200 audiences sharing her insights on how to improve their lives and obtain greater success. Contact Robin at: 425.226.0414, or email: RobinRyan@aol.com, or visit her website: www.robinryan.com

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