- October 27, 2010
- Posted by: admin
- Categories: Blog, Communication, Human Resource Management, Requirement Analysis
As opportunities in job market are not numerous therefore it creates difficulties for people to acquire reasonable jobs as per their skills set and experience.
As a result, unemployed job seekers in particular face a lot of problems because despite of having prior experience, their present state of unemployment and unavailability of decent opportunities put them in a defensive position during the phase of salary negotiation. Since they are not left with adequate options therefore this situation forces them to work on comparatively lower salary scales against the job responsibilities assigned.
Please provide your valuable suggestions on how can unemployed job seekers do salary negotiations successfully? Moreover, what as per your experience are the dos and don’ts of negotiating salary with the hiring manager?
12 Comments
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Do research and find out salaries in your field and do consider how much experience you have and demand salary according to market value.
Don’t ask for salary you need and don’t tell your interviewer that you have too much expenses that’s why you need big salary.
Try to find out a contact in company and ask about the company budget that how much company is willing to pay for offered post.
These Are General Guidelines for employer when asking for salay during interview. Wether Employed or not should do some reasearch in market about pay-scale of other peoples of same post. And keep in mind that employers hires you for there need.
* Do your research and find out the general and accepted pay scale for the position you are applying for and make sure that you keep your demand within the salary range your demand within the salary range.
* Keep in mind that the employers will offer you a salary package that is definitely less than what you have demanded. So when you demand a pay make sure that you have kept the margin of bargaining.
* Do not have extraordinarily high expectations. You must know you limits when demanding a pay scale. You cannot ask for managerial pay scale at an entry level positions.
* Do not be shy. If you have researched and are sure that you deserve a certain pay scale, then there is no need to be shy. Be confident and put your demands forward. Even if your demands are too high for the employer, he will neither laugh at you nor will he reject you on that basis alone. If you are a worthy candidate, the employer will get in touch with you to negotiate the salary.
* While negotiating the salary do not be too rigid, make some room for the employer’s demand and try to meet somewhere in the middle. You have to remember that once hired, you can performance well to show the employer what you are worth and thus ask for a raise later on.
for full article
http://blog.rozee.pk/2010/05/05/salary-demand-interview/
I think a person get unemployed, should not stay idle. He/she should engage himself in some outsource activities or even volunteer work for someone.
In today’s ever growing market, there are lot of opportunities ranging from technical, writing, virtual assistance, virtual support and data entry jobs available. We can get work over http://www.odesk.com or http://www.elance.com within 2 to 4 weeks in start and then it became easy to get 2nd and so on work.
So, while negotiating for a formal job he/she should be in better position to show him/her off and get good package.
While negotiations, try to get some references within the organization, try to be look skillful and expert in your past field and show your great interest.
These are just my observations & suggestions.
Faisal Basra
Just because the job seeker is unemployed shouldn’t have anything to do with what a company pays someone…
For the unemployed or under-employed job-seeker:
You are going to lose the game, if you act or look depressed, and land up to an under-employment or lower compensation.
You should negotiate on an even ground – like you do not have a job, can join at a short notice; while the job-provider has a vacant position (chair) and their plan or business is adversely affecting for this vacant position.
Being unemployed gives you an opportunity to try and explore new career path and you will use the opportunity to survive. So your likelihood of giving your best, remain on the job for a longer time, joining immediately, and relocate without much expenses – all may work in your favor.
You will also be able to give your acceptance much faster (or on the spot) than another person who need to take a decision on leaving the present job or weighing other options in hand.
Do not buy the idea of “unemployed candidate must accept lower package” formula. If you have been called for an interview, you have fair chances to get the job and almost equal opportunity to negotiate well in your favor as issues are in favor to you. You should place your points assertively.
While in interview, do not quote your figure first, understand the role, get the issues and benefits clarified, and let the employer provide the range.
Remember negotiators on the other side almost always quote the minimum, do not just accept it, if it is lower than your previous package or same or lower than your expectation. Wait for sometime, and let them review your request for a higher compensation. If you are liked, you may get a better package.
For the employment provider:
Getting a person quick enough and negotiating hard to get the person cheap is tempting. This is a win-lose situation and the long-term relationship will not be on a good foundation.
It is necessary to understand the person, reasons for the unemployment, issues related to joining and relocation, checking references, and of course negotiating the compensation at a win-win position.
Here is what I have run up against.
A. Never talk salary. First one to talk salary loses. So let them bring it up first.
B. Your objective is to deliver a product in the interest of the company not yourself. You can deliver a product (bring to the table) for to fulfill a need they have, not what your need is.
C. You want them to know you want the job at the end prior to leaving so let them know despite not knowing anything about salary and benefits.
Here are a couple examples of interviews I went on that might help.
Interview #1
A recruiter asked me what my salary expectations are. I indicated A. above and receive this response; I need a range. I told them a similar example in B above, which was a broad range of 30/35K. She immediately told me that is fine that the position start bracket was $20K above my low end and $5K more at my top end. I clearly was in the range the position was budgeted for. So in this example if I would have gave my low end range I would have been out the ballpark at the start and 10K range I would have never even make it to their low range start.
The only thing she told me since I was lacking a bit of experience in one area for what was being asked for and I may be penalized and come in on their low end (beginning of range). That was fine with me considering their low-end range was $20K above my low-end range given. (PS nothing was ever spoke about in regards to benefits)
As an added tip. This is unique because in reality what you bring to the table should have no reflection on what you made in your last job. Some say you are only worth what your last salary was. I do not agree with that synopsis. If your present salary draw is $100K and your knowledge and experience has been broadened by $50K you may not be eligible for $150K, but surely your increase in experience and knowledge has grown and expanded toward your worth so you should be worth more than the last salary range you were collecting especially since most companies will only raise your pay during annual salary reviews of 3% to 5%. I do agree if you are under paid, that is not the new employer’s problem and you should not be seeking the new employer to be penalized for something your previous employer did. However, learning is like bettering a product the more you add the more it will cost.
Interview #2
Principals during an interview where I sat with two board members who asked me what I was looking for in compensation. They said, “What you were making at your last employment?” I replied “at least” and told them A. above. Again, they wanted a salary range. I told them B. with the 30K range between low and high. In addition, I followed up with a little laughter of “I’m not greedy.” They smiled and one said, oh that is fine. The position will pay a very nice salary and you will be eligible for bonuses. Now if you would have told me X amount (which was like 30K less than what I made at my previous gig) I would have been worried, sensing what is wrong with this person.
So in summary both parties knew in each of the interviews I knew what I was worth. One of the positions was filled with another chosen candidate, which I feel was fine since that candidate probably came in with the experience that I did lack. The other one, I am still in the running. Nevertheless, this is how I handled salary. Now in the end when and if I am selected to return and I am offered a position and they throw a number to me of what they are willing to pay. I will then review the number offered and if I am comfortable with it I will say that is fine. I am already prepared to say if offered and I am not in agreement with what is offered, I will know what my +/- are. For instance if they say we are willing to offer you $100K, but knowing I might have had a range of 70K to 110K I might submit a counter offer for $105K or maybe a little lower of $103K with a reasoning, such as and area they have a need in and my willingness to appropriate their need within a given timeframe allowing me to be worth the added amount.
You can always say something to the effect of I was actually looking for a final price of $105K. Can we do this? I will accept the $100K with an agreement to raise me to the $105K upon completion and success of your need for said product by a given timeframe. You can also say, I am willing to accept the $100K if after 6 months we can review my contributions and successes and if we agree I will be able to obtain the $5K addition.
Always get this in writing also.
Remember salary and upper echelon positions, I feel they expect you to negotiate to see how good you are in that arena. If it is an hourly job those typically come with an as is pay per hour, take it or leave it and maybe sometimes they will give you an added quarter based on the experience you are coming in with. It never hurts to ask. They can simply tell you, this is all that is in the budget. However, if you do not ask and by the time you obtain your next salary increase you just so happened to hear about the person who works next to you is receiving $5K more than you, (in which case you “cannot” go to the manager and complain, or you jeopardize your position. You simply have to accept the rumor mill and live with it.) then you simply have lost money. Your next raise will be nothing more than 3% to 5% of what you started with. Not $5K more. If you had negotiated the 5K more then your raise would be 3% or 5% of your negotiated salary.
In addition if they bring up salary during the initial interview and ask you what you were making previously, simply tell them, A. I do not believe my past salary will have any bearing on my future position for what I am bringing to the table, or B. We can discuss this later when an offer for a position is made and we both agree that I am the best candidate for the job.
Also, know, using things as salary.com calculator will give you a national range in salary. As someone told me once, you will have to break it down for the region you are in, the state, etc, and with the economy the way it is, these sights have not taken into consideration the downside of the economics.
The above written is how I handle salary.
Now the time has come, 2nd and 3rd interview they bring up the benefits side of things. They ask you what you expect as compensation. As stated, you have to look at the entire package not just the dollar amount. I also agree never let them know your business such as “I need this amount to survive.” They could care less what your need is. Their need is what is important.
The company always knows what is budgeted for any position. They have to in order to prepare and have it approved for the quarterly/annual budget/fiscal budgets. Here is what I usually say. I have several answers dependent on who I am speaking with and how they come across I will answer one of the following.
A. I am sure whatever the market value is for this position will be a fair compensation based on what I will bring to the table.
(Usually when I give this answer I am always told, that is a wonderful answer but we need a range)
I know rules usually tell you to give a range with in high and low of $10K. I am the type of person who goes against the grain.
B. Since you need a range, (example only) $60K to 95K. Some will argue never give such a broad range. Because if I want the job and it happens to fall on the low end of what I am stating, I am clearly within. If their salary is budgeted for example $100K then I am not that far off and appropriate discussions can easily clarify this and adjustments can be made. However if it falls just under $95K I am still on the high end of what they have budgeted.
1] Trust your self
[2] Sell your self
[3] Believing your self
[4] Challenging your self in to the next level
[5] Trying to differentiate from other people
Salima, I’ve answered a similar question and I’ve attached a link, but I was not unemployed during the transition. I believe the same should hold true for the unemployed. Being unemployed should not be as big of a taboo because with all the outsourcing, mergers creating redundancies, bankruptcies, the unemployed got to that phase with no fault of their own. Job insecurity is the new normal.
Links:
* http://www.linkedin.com/answers/hiring-human-resources/compensation-benefit…
Negotiation really will only happen in a seller’s market. When an employer knows full well that they can get someone for the salary they feel like paying, it’s hard to bring anything to the table to bargain with.
You can bargain up for one thing at the expense of something else, perhaps. More vacation for lower rate of pay, Better pay for a guaranteed time frame you’ll remain. But the sad reality is that that company knows it has 40 other resumes where yours came from and probably will be less inclined to negotiate.
There is a myth about salary negotiation. All jobs or positions have a small range that the employer is willing to pay for the position, depending upon experience and the qualifications of the applicant and it is usually between $5000 to $10,000 dollars depending on the position and level of the job. Only when you get into high level senior management or VP status is there any real negotiations that take place.
In today’s market, one is asked to do more in a position that previously, as everyone employed knows how demanding jobs are now with cut backs and smaller departments. This has nothing to do with being unemployed. Job descriptions are what they are to give you full knowledge of what is expected or required of you if you agree to accept the job offer for the agreed upon salary.
Salaries are competitive within the industry within a slight margin. The better companies will always offer a lower salary because it is a privilege to work for them and your future jobs are secured with that company’s name on your resumes. Less favorable companies offer higher salaries as they are usually dead end jobs that while they pay more, these jobs are not stepping stones to better jobs in better companies. The most you can expect is a lateral move out of them.
Know what you’re worth within a certain range. I’ve had candidates disappointed over a $2000 difference in expectations. Always give a range you can live with when negotiating, don’t go lower than what you can live on reasonably or realistically. Don’t ask for the moon. And don’t forget that your benefits package, sick days, holidays, personal days, health benefits, 401 K plans or profit sharing and bonuses are also a part of your salary package.
Being unemployed should make no difference in the salary negotiations. It is all about what you bring to the table, your skills and qualifications and experience. Too many people think that they can make a $15,000 increase in their next job. Ain’t going to happen. Be realistic, and remember in this market, there anywhere from 500 to 2000 applicants for every job. Be thankful they are considering you.
Everyone likes a high salary, and these days a lot of employers let you negotiate your salary. In other words, you are asked to put a price tag on your skills. This is very hard for most people to do. When you are asked to negotiate your salary, here are some things you can do:
Critically analyze your skills: Most people think highly of themselves, and think that they are the most precious assets that the company can have. Having positive attitude is excellent, but asking for a salary that is too high will only result in a low salary. You are supposed to put a price on your skills that you will offer to the company. Therefore, it is your responsibility that you are aware of your skills, and the your advantages. Once you have critically analyzed your skills, you need to consider qualifications.
Know the averages- If you are in the business world, you will most likely have a job title that most companies have. Therefore, you will be able to compare salaries of different companies. When negotiating salaries, this is a crucial point. You cannot ask for a million dollar salary when you are just unemployed . Search for some current job salary averages for the title that you are applying for, and then negotiating will become easier.
Analyze the situation from both sides- You must not only think about yourself. You need to also consider the position of the company. If the company has just started out, then it us unlikely that they will pay more than the average. However, there is potential to get higher salaries in a few years, once the company gets off the ground. So, when negotiating salaries, make sure you are aware of the company’s financial position.
Don’t settle for anything less than you deserve- Often, employees settle for something less than they think they are worth. If you honestly believe, that you are worth more, then don’t accept the offer. Show the company that you are not intimidated by their small salary offers, and are willing to reject the job offer with a low salary. If you are asked to give an offer, start with a high salary. If you say a number that is too low, then the company will agree to it. Don’t be the nice guy when it comes to business. If you deserve more, you will get more. However, if you don’t ask for more, then you won’t get anything.
Analyze your needs- If you are someone who likes to take a vacation once a year, then you can manage with a lower salary with vacation benefits. Make sure that you make the employer aware of your needs. You need to tell the employer about your needs, and what exactly you are looking for. Some companies prefer giving vacation packages, than higher salaries because they are able to get discounts. This is mostly true for larger companies. They can get you some fantastic deals for a lower salary. So, this something that you definitely want to consider.
Regards
Fuwad Junaidi
Fairly! Stick to your guns, and if the company is not playing fair don’t work for them! 😉