Negotiating a Pay Rise
Talking about and asking for money is something many people dread. There is, however, a lot of research that can help us do it more effectively and confidently. Here is the best advice:
- Arm yourself with information. In salary negotiations, think about what you are worth. This means knowing what those in your position (internally and externally) are paid and thinking about the value you bring in terms of your experience and proven performance.
You also need information about your employer. Is the company (or unit or team) experiencing growth or decline that could affect its ability to give you what you want? What is company policy on pay?
- Consider getting another offer. An outside offer provides a very concrete and undeniable benchmark of your worth.
- Think about all the issues that are important to you. This could include salary, bonus and incentives, training opportunities and the team you work with. Our happiness is not solely defined by money.
- Prepare thoroughly and make the first offer. Consider the minimum you would be willing to accept, as well as your ideal package. Research clearly shows that making the first bid allows you to “anchor” discussions in your favour.
- Think about who to ask and how to ask. Speak to the person who cares most about helping you and the person who can push for things to happen. With luck, this is the same person. Ask politely and find a time that is convenient for the other side.
When it comes to talking about and asking for money, we all get nervous and uncomfortable. But you are not alone and can learn from a fantastic wealth of research. If you don’t ask, you don’t get — a trite but true saying, so prepare thoroughly and ask politely.
Vocabulary:
dread – to feel extremely worried, anxious, or frightened about something that is going to happen, “I absolutely dread giving presentations in front of large crowds.”
Arm yourself with – (idiom) to prepare or equip yourself with the tools, facts, or information you need before facing a situation, “Before going into the difficult exam, you should arm yourself with plenty of practice formulas.”
negotiations – formal discussions between people or groups who are trying to reach an official agreement, “The two companies are in intense negotiations to buy the downtown building.”
proven performance – a demonstrated, clear track record of success or doing a job well in the past, “She was promoted to manager because of her proven performance in organizing events.”
decline – a continuous decrease or drop in amount, quality, strength, or success, “The town noticed a sharp decline in tourism during the rainy season.”
concrete – definite, real, specific, or solid; not vague or just a general idea, “The boss needs concrete numbers showing how much money the new product made.”
undeniable – completely true, certain, and obvious, so that it cannot be argued against, “It is an undeniable fact that regular exercise is good for your health.”
benchmark – a clear standard or example used as a point of reference to judge, test, or measure other things, “Her excellent customer service set a high benchmark for the rest of the staff.”
incentives – extra rewards, bonuses, or benefits offered to encourage someone to work harder or do a specific task, “The store offers cash incentives to employees who sell the most items.”
solely – only, completely, or exclusively; involving absolutely nothing else, “He chose that specific laptop solely because it had a very long battery life.”
thoroughly – completely, very carefully, and with great attention to detail, “Make sure you read the contract thoroughly before signing your name.”
bid – an offer or proposal, especially an offer to pay a specific price for something during a deal, “The construction crew made a competitive bid to fix the broken city bridge.”
anchor – (verb) to fix, secure, or base a discussion or price firmly around a specific starting number or point, “If you state a high salary first, you can anchor the negotiation to a higher range.”
in your favour – (idiom) to your advantage, or in a way that gives you a benefit, success, or a good result, “The heavy rain stopped just before the game, which turned out to be in our favour.”
convenient – easy, useful, or suitable for someone’s specific needs, plans, or schedule without causing trouble, “Please send me the email whenever it is convenient for you.”
wealth of research – (idiom) a large, valuable, and rich amount of studies, data, and information on a topic, “There is a wealth of research showing that reading books improves your vocabulary.”
trite – unoriginal, boring, or overused because it has been said too many times before by others, “Saying ‘don’t worry, be happy’ can sound a bit trite when someone is having a terrible day.”