Salary Negotiation

1
Salary Negotiation
2
AGENDA
Salary Negotiation Fall 2006

• Goal of Salary Negotiation
• Preparation
• Calculating Your Worth
• The Offer
• Counter Offers
• Conclusion/QA

3
The Goal of Negotiation
Salary Negotiation Fall 2006

• To reach an agreement that will maximize your
  potential earnings and provide for the employers
  needs
• To create a win-win situation with an employer
  with whom you can have a long term relationship

4
Preparation
Salary Negotiation Fall 2006
5
Preparing for Salary Negotiation
Salary Negotiation Fall 2006

• What you need to know before you begin salary
  negotiations
• Know your market value what are comparable
  salaries and positions
• What do similar positions in the industry pay in
  your geographic region
• How much do current employees earn.
• Where do you fit in the organization- is this an
  entry level, management or an executive position

6
Preparing for Salary Negotiation
Salary Negotiation Fall 2006

• Factors that impact supply and demand
• THE COMPETITION!
• What is current in the industry - targeting local
  and national trends
• Identity employers who compete for the best
  candidates and offer top salaries and superior
  benefits packages

7
Calculating Your Worth
Salary Negotiation Fall 2006
8
Places to Search for Information
Salary Negotiation Fall 2006

• Professional associations membership surveys
• Recruiters and executive search firms
• Monthly government labor reviews/ The Bureau of
  Labor Statistics
• Forbes, The Wall Street Journal, Business Week,
  Fortune Magazine

• Online resources www.salary.com,
  www,careerjournal.com, www.hotjobs.com
• Former and current employees
• Your network friends, colleagues, information
  interviews

9
Total Compensation Packages
Salary Negotiation Fall 2006
Benefits can equal 20-30 of your total
compensation package. Whats included

• Bonuses
• Signing bonus
• Flexible schedules
• Profit sharing
• Retirement package
• Insurance
• Stock options
• Timely advancement
• Vacation time

• Education rebates
• Cost of living raises
• Parking
• Company car
• Cell phone/Blackberry
• Child care
• Maternity leave
• Relocation costs
• Health Care Insurance

10
The Offer
Salary Negotiation Fall 2006
11
The Offer
Salary Negotiation Fall 2006

• Things to remember
• Most companies make fair and realistic salary
  offers
• It is not in their best interest to make low
  ball offers
• They want to hire the best candidate for the job
• High employee turnover is an added expense to the
  bottom line for the employer
• Translation the Offer should be good!

12
The Offer
Salary Negotiation Fall 2006

• Anticipate objections to higher salary offers
• Be clear about your own value
• Be confident in your abilities, skills,
  professional experience and education
• Develop rebuttals to anticipate employers
  possible excuses for not wanting to raise
  salary levels

13
Discussing Salary History
Salary Negotiation Fall 2006

• Postpone this discussion as long as possible
• Discuss salary in future terms.
• If I was to stay in my current positions the
  value of my compensation package would be
• I would consider a salary range of

14
Negotiations
Salary Negotiation Fall 2006

• Remember is not about winning, but about
  establishing mutual interests and goals
• Know where you can compromise
• Identity your possible competition
• Logically reiterate why you should be compensated
  at a greater level

15
Counter Offers
Salary Negotiation Fall 2006
16
Counter Offers
Salary Negotiation Fall 2006
Counter offers are offers from your current
employers to remain after you have announced
intention to leave

• Investigate and determine your employers
  motivation
• Is it all about money?
• Will the underlying issues that motivated you to
  move be changing?
• Know that your loyalty will now be suspect and an
  attitude of negativity about your choice to leave
  may be present

• They may feel desperate to finish a project but
  may not be loyal to you and made the offer
• Do you really want to work for someone who only
  increased your salary because you were leaving?
• Take this offer as a complement and move on

17
Thank You and Good Luck
Salary Negotiation Fall 2006

• Professional Career Services
• [phone]
• www.careerservices.jhu.edu