Remember when we touched on getting that role in your dream company, that beautiful start to your career journey, and we keenly said it does not end with getting a job– well here we are, and we need more money! Life has a way of spicing up situations, furthermore we are guaranteed that the only constant in life is change. The timing for negotiating a salary raise can vary depending on several factors. It could be the cost of living is changing or your role in life, be it family, friends or personal, is taking a turn that requires a boost in your take home income. Here are some situations when it is appropriate to consider initiating a salary negotiation and how to go about the process to ensure you get the most out of it.
When is the right time?
Some would argue that there is never a right time to initiate the awkward salary increase conversation, however it’s important to overlook the awkwardness that comes with it and go head first in to discussions about the amount of compensation you believe is appropriate for the contributions you’re making to your organisation. 2 key steps will lie in the justification and review process, for this reason, the timing of the negotiation will play a crucial role in the success of your request. Here are some ideal and opportune moments to initiate this sensitive conversation.
Performance Review
Companies regularly conduct Performance Evaluations; in most cases this is typically on an annual or biannual basis. These reviews present an opportune moment to discuss your accomplishments, contributions, and the value you bring to the organization. You can use this evaluation as a basis to initiate a salary raise discussion considering your supervisor and HR manager are normally present.
Increased Responsibilities
Taking on additional responsibilities, duties, or roles within your job, substantially anything going beyond your initial job description, may warrant a salary raise (emphasis on ‘may’). Ensure you can clearly articulate how these added responsibilities have contributed to the success of the firm when you decide to base your negotiations on them.
Promotion or Job transition
In the case of a Promotion or Job transfer to a new position within the company, it is justifiable to discuss a salary raise. These moments normally come with significant change in job responsibilities and often carry with them increased expectations, skillsets, and qualifications, which can warrant a higher salary.
Industry/Market Changes
Market trends, Economic conditions, and Industry Shifts are key factors to keep an eye on. A noticeable increase in demand for your skills or a rise in salaries for similar roles, can be a favorable time to negotiate for a raise. Through market research and industry benchmarks you can support your case while negotiating for a salary increment.
Significant milestones and achievements
‘Numbers Never Lie’ – If you recently have achieved significant milestones or accomplished notable results at your workplace, especially instances where you have surpassed targets, completed a major project, or received recognition for outstanding performance, then this could be that chance to negotiate and clinch that raise. Ensure to highlight your achievements and demonstrate how they have positively impacted the company’s goals.
How to Prepare Yourself for the Negotiation Conversations
Negotiations of any kind, where money is involved can bring with them complexities and add an extra layer of awkwardness to the relationship. When it involves a salary raise between you and your current employer, it’s vital to approach the discussion professionally and avoid making comparisons to your colleagues. The discussion carries with it varying Inter-personal Factors such as explaining a low initial offer that you have outgrown, dealing with counteroffers that will come your way, discussing your salary expectation and even that awkward silence and pause before they cave into your request. While this process might seem complex, here are some steps on how to approach the situation for a positive outcome.
Request a Meeting
Remember the key is to go about it professionally, ensure to schedule a meeting with your supervisor or the appropriate decision-maker to discuss your salary. Be clear and state the purpose of the meeting in advance to ensure they are ready and prepared to allocate sufficient time for the conversation to avoid rushing it. This will allow both sides to present their cases and come to an amicable decision.
Make a Compelling Case
Ensure you present your case with confidence and clarity; prior research and preparation should offer you the ammunition to address the decision maker. Remember to remain professional and avoid instances of comparison by focusing on your own value to the firm. Through Effective Communication, highlight your contributions, accomplishments and any additional responsibilities that may have come your way and warrant the raise you are requesting. While responding thoughtfully to the panel, remain respectful and emphasize how your work has positively impacted the company such as saving costs, boosting revenue flow, or improving standard operating processes. You can further showcase any certifications or advanced training you have acquired in the tenure of your employment so far. Apply Soft Skills such as active listening and pay attention to the other party’s feedback, concerns, and counteroffers.
Research and Be Prepared
Gathering information about salary ranges for similar roles in your industry is the first step before getting into any salary negotiations – know where you lie. This takes into account factors such as your experience, skills, and location among others. Websites like Glassdoor, Payscale, or other industry-specific salary surveys provide useful data on the salary ranges in different industries. This research will help you determine a smart, realistic and justifiable salary range to aim for.
Timing is Key
The first part of this article highlights the importance of timing when choosing to engage on that discussion on a salary raise. The company, just like any person, has its moments; When it is favorable to engage on certain matters and when it is easily irate and might not be the moment to bring up money matters. One key factor is being mindful of the Financial Health of the company, as it may impact their ability to grant a raise. The health of a firm financially can be assessed during a departmental performance review, annual budget discussions or even company AGMs. Understanding this will give you an idea on how to drive your discussion, or when to even bring up the talk.
Ask for a salary as per the range, not much more and not much less.
Consider Non-Monetary Remuneration
While it is every employee’s hope that the company agrees to their presented terms, it is not guaranteed that they would be able to meet them. In the case your desired salary increase is not satisfied, you need to be open to exploring Other Ways to Enhance your Overall Compensation Package. These can include flexible working hours, increased vacation time, remote work options, better healthcare benefits, stock options, or opportunities for advancement within the organization.
Asking for a salary raise can be intimidating, but with the right preparation and mindset, it can also be a rewarding and empowering experience. Clearly communicate your desire for a salary raise and explain the reasons why you believe you deserve it based on your performance and achievements. Be open to alternative forms of compensation or professional development opportunities if a salary raise is not immediately possible. Remember that a salary increase is always an ecstatic outcome that employees look out for, and while it may not go the way you expect, make sure to focus on your own contributions, growth, and market value.
Good luck and ensure you get what you rightfully deserve, maybe even a little more, but nothing less!
