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Expert Offers Salary Negotiation Tips

6 Ways To Get A Better Offer

POSTED: Tuesday, November 3, 2009
UPDATED: 7:48 am EST November 11, 2009

Even in this tough economy, many employers are willing to negotiate salary with new employees, but a corporate recruiter said many women are missing out by not asking for a higher wage.

VIDEO: Negotiation Tips
FULL INTERVIEWS: Kim | Joan | Chad

Tami Mann of Navigator Executive Advisors said 70 percent of employers will negotiate salary.

"(Women) are just nervous about asking. They do not feel comfortable, they are tied up in knots because they are – they do not think they are worthy and they are," Mann said.

Mann said men take a different approach, and look at the negotiation as a game.

"They know they can play it. They are good at it. They have done it all their lives, that is how they were raised," Mann said.

Three different candidates participated in a role-playing exercise to see who could negotiate the most efficiently.

Kim interviewed for an office management job, Joan is looking for a sales management job and Chad wants to manage a restaurant in Los Angeles.

Mann took notes on how well each of the three negotiated while they discussed salary with Navigator Executive Advisors CEO Matt Durfee.

When Durfee asked Kim about her salary expectations, she said she hadn't thought it through very well, and then asked if it could be higher than six figures

Mann said Kim broke the first rule of negotiation by not knowing what she wanted, and as a result, she was offered $8,000 less.

Kim said she has a hard time asking specifically for a certain amount of money.

"I feel intimidated. I'm non-confrontational and asking for something that's not being offered to me, it's pushing it for me," Kim said.

Mann said it is best to learn more about the entire compensation package being offered before even talking money.

When asked about her expected salary, Joan took a different approach.

"I'd really like to learn more about what this position would entail and I'm sure we could come to agreement about what the compensation would be," Joan said.

After learning about the proposed salary and a 5 percent bonus, Joan asked for more money.

"Well, I just wanted to know if there would be a graded amount. Maybe, start at 5 percent and then it would go up," Joan said.

Mann said Joan still missed out on a big opportunity for a larger base salary. She said most employers will low-ball their first offer by 10-25 percent.

Chad gave concrete numbers when asked about his salary expectations.

"Currently, my base salary is 100,000 a year. Moving out to California, with that cost of living increase, it would be between 130 and 150, so that would be my expectation," Chad said.

When offered $110,000 and a bonus, Chad continues his negotiation, treating it like a game.

"Its about winning, and I'm not going to let him win. That's where I need to be, if you can't find our way there, then you got the wrong guy," Chad said.

"Women want to be relational. They don't want conflict. They don't look at getting a job as a game," Joan said. "I think it's one of those things that you have to practice and work on your self-confidence."

"Just sitting in a position with someone who has a little power over me makes it a little more difficult," Kim said.

Mann put together a list of six ways for women to become better negotiators.

1. Research and prepare. Gather all of the Information you can in order to have a well thought out discussion. Depending on where the candidate is in the interview process, some of this may not yet be known.
  • What is the current demand for your position/skills/knowledge/abilities?
  • What is the scope and responsibilities of the job? If you haven’t interviewed yet, compare to the job posting and similar positions with other companies.
  • Who would you report to?
  • What are the prospects for career advancement?
  • What are the working conditions like? (hours per week, autonomy, travel involved, location, etc.)
  • How many people will work for you?
  • What is the going salary for this type of position? Conduct a competitive compensation survey.
  • What is the insurance plan like? Who pays and how much? If you have not interviewed yet, compare to similar postings.
  • What provisions are there, if any, in the event of a layoff or termination?
  • What are the people and the culture like?
2. Know what is important to you. Maybe it is advancement opportunities, educational benefits, relocation assistance, flexibility in your schedule, health benefits or travel. Whatever those things are, make a list with your “must haves” and your “nice to haves." Decide what amount you will be willing to accept ahead of time. You have to know what the bottom line is for you.

3. Be confident and professional and come across as educated. For example, if asked to discuss compensation expectations early in the process, delay for more pay. You probably don’t know enough about the scope and demands of the job to give an educated response yet. One delay tactic is to reverse the inquiry by asking, “Would you first be able to give me the range for the position?” or, “It really depends on the responsibilities and scope of the position, can you tell me more about it?”

4. Always be positive and respectful. Be excited and reiterate your desire to create a win-win. Keep them liking you and wanting you.

5. Let them know you have other irons in the fire. Even if you aren’t expecting another offer, just the fact that you have applied or even inquired about other opportunities legitimately qualifies you for having other options. This is important because if an employer fears they could lose you to a competing offer, they may be less likely to toss out the “low ball” offer to you. For the same reason, they may also expedite the interviewing process versus dragging it out at their convenience.

6. Practice, practice, practice! You can practice at home or through other interviews. You should also continue to interview, even if they are for jobs that you may not really be interested in. The practice of interviewing makes us better and the practice of negotiation will do the same.
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