Eight Open Secrets for Salary Negotiation You Might Have Missed
Mindless Salary Negotiations, Baseless Overconfidence — Enough is Enough
In today’s rapidly evolving job market, which is shifting towards a focus on experienced workers, changing jobs is no longer an unusual phenomenon. Changing jobs inevitably brings about the issue of negotiating a new salary. This is a critical task that each individual must address strategically. In fact, many cite salary as the top reason for considering a career change.
Several years ago, I conducted salary negotiations with a final candidate for a managerial position. The candidate demanded an excessively high salary increase, seemingly as if they had planned it. However, their abilities did not demonstrate a competitive edge during the recruitment process. Despite some reservations, the candidate was chosen as the best among the pool. Yet, the candidate declared, “I won’t take a single step unless my salary expectation is guaranteed.” The HR team and everyone involved in the discussions felt the candidate was simply trying to seize an opportunity to “cash in.”
Ultimately, the negotiations fell through as we concluded that hiring this candidate at all costs was unnecessary. The story doesn’t end here, though. A couple of months later, the same candidate reached out to us, inquiring whether the position had been filled. When told it was still in progress, they expressed willingness to lower their salary demands. However, the situation had already ended long ago, and we had firmly decided not to hire the candidate after reviewing the entire negotiation process.
Eight Open Secrets for Securing a Salary Increase You’ve Missed
In the market for experienced professionals, headhunters at search firms sometimes mediate and coordinate these situations. Nevertheless, individuals must maintain control over their circumstances. What should you focus on to secure a better salary contract? While there are numerous tips and tricks, these eight principles are particularly important to remember:
Salary negotiations start at your current job.
This may be the most crucial point. Lay the groundwork while you are still in your current position. Remember, your current workplace serves as the springboard for your next successful salary negotiation. Achieving clear results and recognition both inside and outside your company now will make future negotiations smoother and more confident.Prepare an effective resume.
While personal salary negotiations don’t involve formal exchange of extensive documents, a well-crafted resume serves as your primary negotiation material. A resume that is concise yet focuses on outcomes, achievements, and contributions will make you stand out. Concrete and quantifiable results in your resume can enhance your appeal.Ace the interview.
If the resume is a non-face-to-face negotiation tool, the interview marks the beginning of face-to-face negotiations. An invitation to an interview signals that your submitted documents are satisfactory and have piqued interest. Prepare to meet these expectations. Deliver your story compellingly, using logical points and presentation skills that align with your well-organized resume.Begin the negotiation with your BATNA.
Once you’ve successfully completed the interview, the discussion may progress to specific salary numbers. What is your BATNA (Best Alternative to a Negotiated Agreement)? This represents your fallback plan if negotiations fail. It could be a stable position at your current company or a pending offer from another organization. Knowing your BATNA strengthens your negotiation position and prevents you from being swayed.Understand the market and your value.
To gain leverage, you must know the market value of similar roles, the structure of the new position, and the comprehensive compensation package. Gathering and analyzing such data, often through personal networks, is essential. This preparation will allow you to navigate negotiation discussions effectively.Think win-win.
Negotiation is not about trampling the other party. While it’s important to achieve your desired outcome, collaboration is key since you’ll likely be working with these people. Show professionalism, actively listen, and seek mutually beneficial solutions.Leverage mediators when necessary.
If the process becomes stuck or challenging, experienced mediators, such as headhunters or intermediaries, can facilitate smoother discussions. Identifying the decision-makers on the other side can also help you navigate effectively.Stay focused until the end.
Maintain focus and professionalism through the final stages of negotiation. Even if the salary terms have already been finalized, leaving a positive impression during the closing stages can lead to unexpected benefits, such as additional perks or bonuses. For instance, I once secured an unplanned signing bonus of 20 million KRW during a brief final online meeting.
Conclusion: Prepare, Negotiate, and Close Effectively
Thorough preparation is essential, including understanding both the market and the other party. Clearly outline and present your value objectively, leveraging market reputation, publications, or conference presentations. Maintain professionalism and insight throughout the negotiation process, and finish strongly. Even if the final salary doesn’t fully meet your expectations, a message of gratitude and determination can leave a lasting impression. Careful preparation and clear communication will undoubtedly contribute to success.
Written by
- Advisor for K-labor law firm
