One of the key stages of the hiring process is the starting salary negotiation. It is a hurdle that needs to be overcome if you are to close the deal on your dream candidate. While there is no magic formula for handling a salary negotiation—as it can be impacted by many external factors beyond your control—there are several tactics to follow that can help you to engage in a mutually beneficial and ultimately successful salary negotiation.
Rahul Krishna, Manager – Talent Acquisition Group Espire Infolabs advices on the subject in the first part of this two-part series.
1. Put the salary range in the job description
There is a general reluctance for employers to include salary details in the job description, but by failing to do this, you are making salary negotiations harder as you are not setting the candidate expectations correctly and you may attract candidates who are off the scale. Where possible, include a range, even if it is broad, and make it clear that the candidate’s actual pay will be dependent on their experience and likely contribution to the business. This way you will filter out those candidates who are out of the ball park and where salary negotiations are likely to be fruitless — and a potential waste of both party’s time.
2. Check whether you are in the same ball park
There can be a tendency for the candidate and hiring manager to negotiate according to poker rules and not show their hand early, which means salary expectations, may not be revealed until late in the process. This can lead to salary negotiation issues if the candidate and employer salary expectations prove to be wide apart or not in the same ball park. At the very least, ask the candidate to confirm their current salary and package, so you can check you are on the same page and save wasting each other’s time.
3. Give additional reasons to join you, other than just money
Don’t allow the candidate to become too fixated on salary; give them other reasons to join you by constantly promoting all the other positive perks and aspects of working at the business, be that: culture, training, challenging work, location, benefits, flexible working, etc. The candidate will factor in all these perks and may be prepared to accept a lower salary in the knowledge that he/she will be receiving all these great perks.
4. Make the offer face-to-face
Where possible, try handing over the offer letter face-to-face and then talk them through it, rather than by post or email. It’s much easier to reject or query an offer that has come via email, or letter as it is quite impersonal. So, personalize and make the offer face-to-face and this should give you the upper hand. Of course, the candidate should still be given a few days to make up his/her mind, if need be.
Wait for the next set of guidelines in my next post.
- Dr. Tracey Wilen-Daugenti: Women and Salary Negotiations (huffingtonpost.com)
- Mastering Salary Negotiations (skinnyonhrrecruitment.com)
- Negotiating Your Salary Before Joining a Company (hongkiat.com)
- 5 Tips for Hiring the Right Office Manager (smallbizbee.com)