Negotiating a salary increase can be a daunting task, but it’s an important skill for career advancement.
It will usually require a mix of preparation, strategic communication and confidence.
Here, we take a closer look at how to prepare for a negotiation and what to do on the day.
Before negotiations
Research the current market
Before starting any salary negotiation, it’s worth doing your research to find out the value of your skills in the current market.
“You need to know what the benchmark looks like for your position in your specific industry in your specific geographic location, because all of this can make a difference to what a salary might look like,” says Louise Reed, co-founder and board member at Cayman career service Connect by Nova.
Find out, for example, what’s the national average salary for the position and how much do similar companies in your area pay employees in this position?
Websites like Glassdoor, Payscale, and LinkedIn are useful resources for this, as are any sites advertising jobs in your industry and location (though not all job adverts display pay).
You can also speak to a career adviser at a service like Connect by Nova, which offers free support.
“We work on positions with clients all across Cayman and have a great insight into what the going value for skills is currently and what competitive benefits packages look like.”
Make a ‘brag sheet’
It’s important you’re ready to sell your skills, experience and accomplishments.
“Pull together a brag sheet, or a one-page summary that highlights all of the things you do as an employee that makes you amazing,” says Reed.
“Have some key achievements ready to mention alongside that market research that you found – this will help to back up your findings on a more personalised level and tailor it to how you add continued value to the company.”
List accomplishments, awards, customer or even co-worker testimonials that you’ve received since your last review.
You don’t necessarily need to give your employer the ‘brag sheet’, but by pulling this together, you will have consciously thought about it and feel more prepared and confident when negotiating, says Reed.
Timing
Reed recommends asking for a raise on a Thursday and it’s all down to psychology, she says.
“We tend to be a little less flexible and agreeable at the beginning of the week, probably because we’re wishing it was still the weekend.
“As the week goes on, we become more flexible and accommodating, we stray away from choosing a Friday as often they can be a little hectic trying to wrap up work for the weekend, so Thursday is the perfect choice.
She adds, however, that if you’ve received a job offer and want a higher salary than offered, don’t make your potential new employer wait a whole week to hear this because you’re waiting for a Thursday.
During negotiations
Treat it as a collaboration not a fight
Reed says don’t treat a negotiation as an ultimatum – an either/or – but rather as a “collaborative process and a unique opportunity to create a compensation package that makes sense for both you and them”.
Demonstrate your value
Show your manager or potential new boss your worth by showing what value you have added to the company or could add if it’s a new employer.
This is where you can use what you’ve prepared on your ‘brag sheet’.
Reed says: “The key here is to have proof that you’re indispensable to your organisation.”
Say an exact figure
Don’t use the word “between” when negotiating. If you give a range, it suggests you’re happy with any number on the scale, so it’s likely they’ll go for the smallest number.
If they say no, then you can potentially go lower, but start off with an exact figure.
Don’t get too personal
“While it might feel logical to explain your personal financial situation as your reasoning for needing to earn more money, this can also ruin your salary negotiation,” says Reed.
It’s important to remember they are a business and will more engaged when you focus on your performance and achievements and make it business-related.
Be open to feedback
Listen to your manager’s feedback and be open to their perspective.
They may provide insights into the company’s budget constraints or offer alternative forms of compensation, such as additional benefits or professional development opportunities.
Be prepared to negotiate and find a mutually beneficial agreement.
As well as her role at Connect by Nova, Louise Reed is the managing director at CML Offshore Recruitment, one of the primary partners of Connect by Nova.
Connect by Nova is a charitable organisation that offers a range of career development services for free.
