Negotiating a Salary Increase
Many factors outside of the employees control determine salary increases. Many reputable companies give employees handbooks that vaguely outline pay increases. In an uncertain economy, salary negotiations require preparation and keeping accurate records on the employee’s part. The key to successful salary increase is to convince the employer that the company cannot afford to do without the services the person who is asking for a pay raise is providing. Remember the person is always replaceable. The services that person provides should not be easily replaceable.
The negotiation for a salary increase starts the first day the person starts working the company. Every employee should bring at least one unique contribution to the company that he or she works for. The strategy of these contributions should never be discussed with anyone. Unique contributions always stand out. No one can hide an excellent sales person or customer service representative at any level. Employees who have unique marketable skills cannot be easily copied. Having skills that are an asset to the company eliminates the human resources viable reasons for not giving the employee the salary increase.
Appearance plays a big psychological part in negotiating salary increases. Upper management companies always expect their staff to dress professionally. In entry level positions, the employee’s salary can be determined by dressing better then what is expected. If uniforms are required, dressing up will take a little creativity. Ladies can wear extra jewelry. Gentlemen can go through the extra expense of having their uniforms dry cleaned. In business type atmospheres, manicures for both men and women to psychologically give the impression they are valuable to the company. On the day of salary negotiations and evaluations, dressing better then usual is psychologically effective. Have an exclusive shoe wardrobe.
When it gets to salary negotiations, never volunteer your salary requirements (Goodman 2002). When filling out the job application or submitting a resume, the applicant should never list an amount for salary. On the day of salary negotiations, the human resources know what the employee will accept. Salaries are dependent upon the employees past work history. This is all verifiable by social security numbers. It is to the employee’s advantage to do a background check to verify the information in their records is accurate. If the information the applicant is putting in writing conflicts with what is in the databases, he or she will never be told. Even if the information comes out to be inaccurate, the management already formed a permanent opinion.
Be selective about the company. The financial investors and presidents are uncertain about the future financial status of the company. Do some research to determine what others are earning (Lloyd, no date given). Doing research will be well worth the time when negotiating salaries. Psychologically, an employee feels much more confident when the day comes to negotiate salaries if they feel they are prepared. The employee should keep an accurate, detailed list of all the accomplishments that was valuable to the company.
Remember that salary negotiations start way before the day the arrangements are made. Keep a professional, formal relationship with the management and co-workers. It is a good policy to never have conversations that includes anyone who is not present. The most successful negotiators will feel a lot more confident if they have a plan to compete with the organization or business if turned down for deserved pay raises.
Goodman, P. “Landing a Plump Package in Tough Times” Business Week, com
4 Feb 2002
Lloyd, J “How to Negotiate the Salary You Deserve” Labour Protect.com
No date given