Negotiating <<Back | |
There are many factors (in addition to
compensation) to consider when weighing an
offer. This Compensation
& Benefits Checklist is intended to help you consider your
offer(s), compare multiple offers and prepare to negotiate.
Prior to receiving a formal offer, make sure that you have covered each
of the following:
Upon receiving an offer, express enthusiasm but no commitment. Get
details on the start date, salary, bonus, incentives, relocation and
equity and ask for the employee handbook and company benefit literature.
Agree on a time frame (several days to two weeks) to review the offer
and come back with questions and your answer.
If you need to "buy" time, here are several delaying tactics that may
provide 2-3 weeks before giving a decision:
Here are some more detailed guidelines and tips on maximizing your
negotiation:
Whenever possible, negotiate directly with your hiring manager, but use
HR to answer questions and provide guidance on company policies. You
will only get one chance to negotiate the final offer, so you must
review all of your requests during this session. Develop a list and
prioritize it - know what is essential and what is optional. Be willing
to give up certain items (add a few extra for this purpose if you feel
the need). Be reasonable and
polite. At the end of this process you need to have developed a strong
working relationship!
In negotiating the terms of
employment your goal is to get what you want in terms of job content,
compensation and control while maintaining your values and self-esteem.
To accomplish this you should reduce ambiguity, manage your own anxiety
and understand that you are developing a reputation that will stay with
you after the negotiation.
Values / Worth / Self-Esteem
·
Keep perspective - the job is the goal, not specific dollar amounts.
·
In the interview process, establish your worth and value to the
organization in each statement.
·
Appear as someone who is evaluating information in order to make a
decision about the position.
Reduce Ambiguity
·
Research the market to discover the
appropriate range for you.
·
Assess your competitive position – how badly do they want you and what,
if any, are their alternatives to determine your leverage in this
negotiation.
·
Assess the internal landscape – understanding the company’s policies and
compensation structure will uncover the negotiable aspects of the
package.
·
Determine your own priorities your “must haves” and where you’re willing
to be flexible. Use the
Compensation and Benefit Checklist
to help.
Manage Anxiety
·
Get the offer, then negotiate.
·
Ask about the company’s timeline and urgency.
·
Treat this as a business transaction – leave your personal baggage out
of the conversation.
·
Evaluate different scenarios – determine acceptable possibilities and
tradeoffs before the discussion.
Set the Tone
·
Aim at a dialogue about the criteria and your potential contributions.
·
Keep it positive and professional.
·
Exercise patience – there may be unknown factors that cause delays.
·
Negotiating doesn’t need to be negative; you should look for a win-win
situation. If you are happy you will be a more productive employee. If
you sell yourself short and are not content with the compensation
package it could lead to frustration with your employer.
Contract Elements (when applicable) –
while most employment in the US is on an “Employment At Will Basis,”
there are situations where a contract is negotiated. In those instances,
you should consider the following:
·
Term - usually 3-5 years.
·
Duties - should be general.
·
Compensation – strive to include a minimum without upside limitations.
·
Benefits – consider sign-on, bonuses, relocation, expense accounts,
health.
·
Termination - conduction of and terms of justification.
·
Severance – include the monetary remuneration, outplacement and
continuance of benefits. One of the most difficult questions to answer is
"what am I worth". There are limited public resources available to
answer this question accurately. Click
here for Sites that primarily focus on salary data. |
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