How do you negotiate a salary?

Ideal08 · #1 08-01-2001, 08:49 AM

Ok, I am faced with something I've never done before, and that's negotiate. My employer has taken away two, well really three, benefits that I had when I was hired. I feel like your benefits are a part of your compensation package, and if they take some away, your salary should increase, or they should give the benefits back.

So my question is, how should I go about this. I already know she's going to try and talk me around it, but she can pretty much forget that. I think they are having financial issues, but that too, is clearly not my issue. I guess that could be one of the reasons that they are canceling stuff, they can't afford to keep it, but dang.

Anyway, for all you HR savvy peeps, hook a sista up. What do I do? This will also help me in negotiating salary and bennies in my next job!

TempleAlum1993 · #2 08-01-2001, 10:29 AM

I am an HR professional, if you email me with specifics (benefits changes) I will try to help you with your negotiations.

Chi_ZETABBW · #3 08-01-2001, 10:31 AM

Wish I could offer more sound advice. But if you feel the company is having financial problems, and they are cutting benefits, my advice is get that resume out there like yesterday. Never quit a job to you have another, IMHO. But realize with what you given us, doesn't look like the company will be around long.

Ideal08 · #4 06-13-2003, 08:31 AM

My question this time is just a little bit different. Have you ever had to negotiate a salary for a new position? This is something I've never done, but I want to know how to do this. If a position is offered to you, and you think you deserve more money, how do you communicate that to the potential employer? What if you already work for the company and are getting a new position, how do you negotiate the new salary?

Eclipse · #5 06-13-2003, 07:03 PM

Quote:

Originally posted by Ideal08
My question this time is just a little bit different. Have you ever had to negotiate a salary for a new position? This is something I've never down, but I want to know how to do this. If a position is offered to you, and you think you deserve more money, how do you communicate that to the potential employer? What if you already work for the company and are getting a new position, how do you negotiate the new salary?

I'll give this a stab as a HR professional and as someone who has negotiated my personal salary. The first offer for most jobs is just that--a first offer. Lots of recruiters will say to the hiring manager, I know we have 80K budgeted for this position, but I think they will take 65K, so let's offer them 62K. Remember, most of these folks are paid bonuses based on how well they manage their $$, and this is all o part of this. When that first number comes in, I was taught to just say "hummmm........" like you are thinking about it (even if it is more than you ever dreamed of). If they don't give you the total comp, ask about that (bonus--annual and signing--, benefits, vacation time, , etc.) Then say, the job sounds great, exactly what you are looking for, etc. etc, but you were expecting more in terms of salary. This is where you need to do your home work. As an HR professional I could give less than a you-know-what about your personal situation, your bills, how much you feel like you need to make, etc. The question is what are you worth and why? What are other people being paid with a similar background. Check out salary.com as a starter or the Department of Labor. Tell the person in round numbers (high 60s, mid 70s, etc.) what you were expecting and why (experience, background, short learning curve--basically what you are bringing to the table) Expect them to say they will get back to you. Some will even say they can't authorize that much, it's out of their budget, etc. Here's where you need to be patient. When they come back, expect something a little higher, but probably not where you would like for it to be. Inquire about a signing bonus if one has not been mention, ask about performance reviews and what you can expect in terms of increases. Shoot, ask for more vacation time, a waiver on the wait to participate in the tuition reimbursement program--what ever. EVERYTHING is up for discussion. Make sure that your tone of voice during this entire process is very pleasent, but firm. If the number is still not where you want it to be you have to ask yourself: how badly do I want this job--and more importantly i thik--how badly do they want me and how rare is my skillset? We just hired someone at my company who had the perfect background we were looking for. We knew, and so did he, that people like him did not come up every day. He negotiated the Heck out of the the recruiter and ended up getting about 15K more than the initial offer, about a 20K bonus spread out over 3 years and guarenteeed increases based on some predetermined goals. Now that does not happen every day, but it can.

It's also important to know when to back off. If the recruiter says their is nothing I can do, no one I can talk to, etc. you might want to leave it alone. For instance, vacation time is something my company has decided not to change. My BIL, on the other hand, negotiated 2 additional weeks of vacation when he started with his new company a year or so ago.

Negotiating for a new job in the same company can be a bit trickier, but more of the information is on the table (how much you make for one), but can still be done. Don't expected, however, to get the same size raise for a new job with the same company that you can get going to a new company.

Whew! I know I said a mouthful. TempleAlum, chime in with your thoughts. I'd love to hear them! I am by no means a recruiting or comp expert!

lovelyivy84 · #6 06-14-2003, 12:29 AM

I have a similar question - how do you know when it is appropriate to negotiate? I am being considered for a really good job that I DESPERATELY want right now, but the salary is ridiculously low (granted they will pay overtime but as working hours are 9:30 am to 6:30 pm getting overtime would involve me returning home from the subway at night for my hour long ride at like 10:00 every night). It's an entry-level position in a field that has notoriously low paychecks though so I don't feel that I have any leverage to negotiate here and so I haven't.

They haven't made me an offer yet, should I try to squeeze more money out of the company? It's small but verrry profitable- one of the few that in the present economic climate is actually expanding.

Eclipse · #7 06-14-2003, 10:36 PM

Quote:

Originally posted by lovelyivy84
I have a similar question - how do you know when it is appropriate to negotiate?

It's always appropriate to negotiate. If they say no, tell them you'll have to call them back, then call back in 5 minutes and say YES!!

ladygreek · #8 06-16-2003, 04:15 PM

While I agree that you should always negotiate the initial offer, I would offer a word of caution during this time in the economy. With the amount of layoffs that are occuring, the job market is tight. So unless you are in a very specialized area, or have skills way above the fold, you need to be careful that you don't negotiatie your way out of an offer or a promotion.

Eclipse · #9 06-17-2003, 08:45 AM

Quote:

Originally posted by ladygreek
While I agree that you should always negotiate the initial offer, I would offer a word of caution during this time in the economy. With the amount of layoffs that are occuring, the job market is tight. So unless you are in a very specialized area, or have skills way above the fold, you need to be careful that you don't negotiatie your way out of an offer or a promotion.

I agree! That's exactly why I said it's important to know when to back off. I have seen someone loose an offer because they would not budge on one area. I think it is important to know your worth, but to not be seen as inflexible either. I still say you should ALWAYS negotiate the initial offer. When you do, the company has three alternatives: say that's the best they can do, come back with a different (read better) offer, or recind the offer. If they do the first option, nothing gained nothing lost. Option 2 is certainly a WIN! Option 3....well, I'm not sure I would want to work for a company that was so arrogant that they would recind an offer after one attempt to negotiate a better deal.

Just my 2 cents, but lady greek has a good point.

snuggles12 · #10 06-17-2003, 10:20 AM

I agree with Ladygreek about negotiating. I work as a financial analyst, so I see everyone's salary. A position was available in our department and a young lady wanted a $1,000 more. Well, the VP of Finance said sorry and gave the job to another person. The job market is very tight. When a company offers someone a position, they usually have 2 to 3 candidates in the wings (meaning, if you are inflexible, they will offer the job to candidate #2 or #3).

FYI-ask to get a performance review 6 months after being hired. That way you can negotiate a salary increase if you performing above par.

Another item is vacation especially if you are a salaried employee. Ask for 2 weeks in the first year. Most companies won't give a new employee 2 weeks until the first anniversary.

Quote:

Originally posted by Eclipse
I agree! That's exactly why I said it's important to know when to back off. I have seen someone loose an offer because they would not budge on one area. I think it is important to know your worth, but to not be seen as inflexible either. I still say you should ALWAYS negotiate the initial offer. When you do, the company has three alternatives: say that's the best they can do, come back with a different (read better) offer, or recind the offer. If they do the first option, nothing gained nothing lost. Option 2 is certainly a WIN! Option 3....well, I'm not sure I would want to work for a company that was so arrogant that they would recind an offer after one attempt to negotiate a better deal.

Just my 2 cents, but lady greek has a good point.