Author: Georgina Barrick
As we embark on a new year in the ‘new normal’, many people are changing roles, step changing into new careers or changing the contractual nature of their work, which means successfully navigating new job offer negotiations (which can be daunting at the best of times). For most of us, it’s something that we will do only a handful of times in our careers. Yet, the outcome can have lasting impact on our earnings, career trajectory and overall wellbeing.
It should go without saying that, whether you’re negotiating for your dream job or are juggling multiple attractive offers (some of which you will decline), it’s important to handle all offers professionally. The interactions that you have with a potential employer during the interview and offer negotiation phases of your job search create an impression (on both sides). Our worlds are small and it’s important to conduct yourself in a way that keeps the door open for future opportunities and connections.
At the outset, I’m going to go against conventional negotiating wisdom and say that, if you are truly satisfied with all aspects of the offer that you’ve received, thank your new employer and accept it quickly. Resist the temptation to showcase your negotiating skills. Fighting for more when you don’t really need it can have the opposite of your intended effect and, more importantly, could hinder your ability to negotiate with your employer down the line, when there might be more at stake.
Obviously, if something is important to you, then you should negotiate. However, if you don’t have to, don’t negotiate.
That said, in my experience, many job offers need some negotiation – and understanding how to do this effectively is a valuable skill that can help to ensure that you’re fairly rewarded for the work that you do. These are my 5 guiding principles of job offer negotiation…
1. Consider the Bigger Picture:
To many, ‘negotiating a job offer’ means negotiating the salary offered.
However, salary isn’t the only negotiable on the table and, while money is important, many of us derive more job satisfaction from factors (like location, flexibility, opportunities for growth/ promotion, continuous education or share options) that might be more easily negotiable. As a start, evaluate the package as a whole to determine its full value. You may be able to negotiate additional benefits and accept an offer that, at face value, pays less than you were expecting, because it puts you in a better place now (or in the future).
2. Do Your Homework:
If you’re going to ask for a better deal, you need to be able to demonstrate precisely why you deserve what you’re requesting (and that you’re worth it). Start by researching market-related salaries. Look at similar job listings, explore industry surveys (if you have access) or ask your Recruiter for help as you need to be able to show reliable evidence that the salary on offer is below current market value. Then, evaluate your offering in relation to the role. Do you have additional experience, hard-to-find niche skills or certification that are useful (or could be) to your prospective employer? Put together a thoughtful case to justify your ask. Don’t think only of your own needs. Rather, focus on your employer and how hiring you will benefit them.
And, if you can’t justify an ask, rather consider not making it at all.
3. Identify Your Negotiables (and Non-Negotiables)
Negotiation works best when you focus on mitigating obstacles, rather than digging in on a position. This is the mindset that looks to remove barriers to agreement, making it easier for the other side to change course and agree with you. One of the ways to achieve this is to enter the negotiation with a clear understanding of what you are willing to compromise on (and what you aren’t).
Recently, I came across the idea of creating a Venn diagram, listing your personal and professional goals, as a way of determining what you can compromise on. Any goals that fall into the overlap between the two circles are your non-negotiables – or the personal deal-breakers (like needing flexible working hours so that you can be more available for your children or working close to the office) that you should never compromise on as doing so will make you unhappy and have a negative impact on your productivity, performance and overall wellbeing.
Rather, compromise on the issues that are less important (and fall outside the overlap).
4. Prepare Your Talking Points:
During any negotiation, you’re going to face tough questions that may make you uncomfortable, put you on the defensive or reveal your perceived weaknesses. The only way to handle these questions is to be well-prepared so that you can answer honestly, without losing leverage or looking like an unattractive hiring option. Think about what your tough questions would be and use your research to put together answers. Rehearse with someone that you trust to get input on your delivery and identify areas for improvement. Practice your talking points to build your confidence. Remember that you will be talking about concepts that may make you uncomfortable – like money and your worth – and the more you practice, the more comfortable you’ll be with the conversation – and the less likely you are to be derailed.
5. Know Who You’re Dealing With:
Remember that companies don’t negotiate, people do. It’s important to get to know the person on the other side of the table. Try to get a handle on their position by asking questions, rather than making demands. This should help you to understand their concerns, constraints and the intent behind what they are saying. The goal is to build rapport, find common ground and, ultimately, reach an agreement that works for both of you.
In my experience, job negotiations can be hard. However, if you view the process as an opportunity to start building a foundation of trust and camaraderie, you’re more likely to get the negotiation – and the job – right.
Good luck!
