Negotiating Pay Increases
Negotiating a pay increase can be a challenging but crucial aspect of career development. The data shows (as well as my personal experience) that women struggle to advocate for themselves in this area.
Here are some strategies that can help you negotiate a pay increase for the new year:
Research Salary Benchmarks:
Conduct thorough research to understand the industry standards and salary benchmarks for your role and experience level. This information will provide you with a solid foundation for your negotiation. Salary.com isn’t your best bet. Dig deeper in your research and put in the effort.
Highlight Achievements:
Prepare a list of your achievements, contributions, and any additional responsibilities you've taken on since your last salary review. Clearly articulate how your work has added value to the organization. Grab your job description to ensure you are fulfilling everything outlined in it and what you’re doing above and beyond.
Quantify Your Impact:
Whenever possible, quantify your achievements in terms of revenue generated, cost savings, or improvements in efficiency. This helps make a stronger case for the tangible impact you've had on the company. Reference any old performance reviews for info as well.
Document Skill Development:
If you've acquired new skills or certifications relevant to your role, document them. Highlight how these skills contribute to your ability to excel in your current position.
Consider Market Conditions:
Take into account the current job market conditions and demand for your skills. If there's a talent shortage in your industry, it can strengthen your negotiation position.
Practice and Rehearse:
Rehearse your key points and responses to potential questions or objections. This will help you feel more confident and articulate during the actual negotiation. Make sure you’ve thought through where your leader or organization may have to ponder, and provide information that will help them come to an easier decision.
Choose the Right Timing:
Timing is crucial in negotiations. Choose an appropriate time, preferably after a successful project or accomplishment, or during performance review periods.
Be Confident and Assertive:
Approach the negotiation with confidence and assertiveness. Use a calm and collected demeanor and avoid apologizing for asking for what you deserve.
Frame the Request Professionally:
Frame your request for a pay increase professionally. Focus on the value you bring to the organization rather than personal needs. For example, don’t share how you personally need to make more money because of x, y or z. Not to be cold, but that’s not your employer’s issue. Focus on why you are worth more in your role.
Be Open to Non-Monetary Benefits:
If the company is unable to meet your salary expectations, consider negotiating for other benefits such as additional vacation days, flexible work arrangements, professional development opportunities, or bonuses. There is somewhere in which they can be flexible.
Consider Long-Term Goals:
Discuss your long-term career goals with your leader. Emphasize your commitment to the organization and your interest in growing within the company, which can make the case for a higher salary.
Have a Plan B:
Be prepared for different outcomes. If the company cannot meet your salary expectations, consider what compromises or alternative solutions you may be willing to accept.
Remember that effective negotiation is a skill that improves with practice. By approaching the negotiation process strategically and professionally, you increase your chances of a successful outcome.
This process, on your behalf, takes some self-awareness. Are you performing at a high level? Great – go forward and make the ask. But if you’re not confident of that, press pause. Are you needing regular guidance from your leader to get the job done? Are you doing everything that’s asked of you and then some? Are you timely and reliable and predictable? Are you easy to work with? Do you have any drama around you in the workplace that you’ve been a part of? All of these things are reasons why you may come across tone-deaf if you ask for a raise. And if that’s the case, you run the risk of looking like you aren’t a great fit for the organization.
On the other hand, if you are performing, don’t forget – replacing employees is very difficult and costly. They would be better off giving you a raise instead of having to look for a new person. So go in informed, with confidence, and give it a shot. Sometimes it has worked for me. Sometimes it hasn’t. But it’s always been beneficial because it’s grown my professional muscle in that area which has helped me move more boldly forward.
Want some 1:1 coaching to make a promotion happen for you or to assess if you’re in the right spot? I’m happy to help.
