How to Negotiate Salary

Description
This is a presentation describes on the issues and tricks to negotiate salary.

Negotiating Job/Salary
Some Issues Click to edit Master subtitle style

Issues unique to Job Negotiation
? Relationship: you are likely to work together. It is

necessary to preserve relationships at all costs. ? Power: Both sides have power. Altho it is skewed in favour of the recruiter. But if you have done internship or if you have got an offer, then gross imbalance is corrected. ? Transforming distributive to integrative outcomes ? Trust between participants: untainted view may get marred because of misrepresentation and/or overdemand by the aspirants gone earlier than you. ? Contingent contracts especially salary bonuses reduces risks of agreements.

Issues…
? Is salary negotiable: Yes. If company says no,

then use it as a concession to the company. But you must give it a shot. ? What other things are negotiable: practically everything ? Justify your demands: the basis should be reasonable and not vague like “…this is what an MBA gets…”. ? Therefore research pay levels for similar positions at companies of similar size in your industry (sources: placement offices, friends, public documents, alumni etc). And add extra value for

Issues…
?Know your priorities: Rank order, put a value.
?Bundle them into one package. State upfront ?Companies most likely to give those that will not

skew ?Consider pay for performance ?Beware of being self serving ?Prepare to log roll
?Cultivate Alternatives:

?Do not ask for extension when the deadline for

taking your decision is about to end

Issues…
?Develop rapport: your conduct communicates

a message: appear accommodating

?Preserve the integrity of the relationship at all

times ?Avoid unreasonable demands (know there is a ceiling) and don’t frame things in ultimatum (If I don’t get X, I will not accept) ?It is best to wait until you receive an offer to negotiate salary. This way your leverage is more

Suppose you are asked what salary are you looking for and you are afraid of pricing yourself out… then
? Determine whether the person is making an offer or collecting

information ? Delay if you can (eg. money is really no. 3 or 4 on my list; or its important I have job stability and l like the corporate culture or right now I am looking for challenges and future potential) ? Give a Vague answer of industry salary average ? Give a range where the lower end fits into their target or atleast your target ? Ask for a written agreement or write before them and go over each and every word loudly and get their consent. This will protect you if you renege ? Never appear desperate

Issues
?Be willing to walk away: in short term

asking for time to consider and time to respond ?Also the treatment that you receive during negotiation will be similar to the treatment you will receive when you join the organization

Best of Luck
Click to edit Master subtitle style



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