How to negotiate a raise

Asking for more pay is always awkward, but it does not have to be.
Have you ever seen the program Gordon Ramsey's kitchen nightmares? Have you ever noticed how many times the person keeping the restaurant from completely going under is rarely the arrogant Head Chef/Owner or the extroverted front of house with a talent for talking but not managing?

Often the employee who is holding things together and who is signalled out by Ramsey as the most competent is a previously overlooked supporting staff member. The humble sous chef who simply gets things done and who, without Ramsey’s expertise, would have continued to go unnoticed.

The corporate world, like most environments, tends to favour those who are not afraid of a little self- promotion. So if you find yourself in the role of the quietly, competent sous chef at risk of being undervalued this article is for you in particular.

Knowledge is power

Never before has it been harder for employers to keep their employees in the dark about their true worth. The internet is awash with sites to help you accurately estimate your market value so use them. Wage transparency has been a crucial part of the website Glassdoor’s success and this page will bring you directly to their salary comparison tool. Linkedin also provides a wealth of market-value information relevant to position, industry and geographical location.

Make the case

So can this be summarised as a case of the squeaky wheel always getting the grease?

No. The word ‘squeaky’ conjures up images of shrill, annoying complaining when what we want to be is empowered, calm and reasonable. To do this we need to prepare the case that we will present to the decision makers. Therefore…

Keep a record of your achievements

A simple word document is enough. From day one in a new job note down your accomplishments and successes. Not only will this serve as a powerful tool to help you negotiate a raise but regularly reminding yourself of the successes you are bringing to your workplace will encourage you to adopt a positive outlook towards it.

Can you quantify your contribution?

The phrase to ´add value to a company´ is by now a regular in the business speak world. Now, like it or loathe it, these phrases stick around if they express a concept accurately. So if ´how will you add value to this company´ is by now an interview staple then it holds to reason that ´how have you added value to this company?´ is a very reasonable question to ask someone who is looking for an improvement in their conditions.

Now, while you may well have a knack for raising morale, and you might even be the worker who always has a smile on their face on a Monday, your strongest argument will be made with facts: numbers based evidence of how your work has improved the company’s financial position.

So if you are handling a company’s social media account the onus is on you to use Google analytics to demonstrate how your contribution has improved the company’s conversion rate and resulted in SALES.

If you are a salesperson the bottom line is the bottom line.

Nuts and bolts, numbers and figures because if you can make an evidenced based argument that the decision makers are better off with you and that you are worth the extra money it will be very hard for them to say no.

For more on viewing a raise negotiation from the point of view of the employer have a look at this excellent article by, no less than, the illustrious James Caan CBE.

How much will it cost to replace you?

Part of knowing your worth in the market place is knowing how much it would cost to replace you.

Now I am not suggesting you should land a job in which the company is obliged to train you and as soon as they have done this you should immediately use this as leverage to gain a higher wage. That type of Machiavellianism will only harm your long term prospects at a company. However if you have been with a company for a period, you have performed and added value to that company and you think you are not getting what your worth then it may be time to think in these terms.

One fool proof way of doing it is to apply for another position with increased benefits and be truly willing to leave if you don’t get what you believe you should. It is a very strong position from which to enter negotiations and in some cases will be the necessary wake-up call to your company for how much they stand to lose.

“It’s not personal. It’s strictly business Sonny” (The Godfather)

Okay, I am being a little dramatic quoting Michael Corleone’s famous line to his older brother Sonny about his intentions to murder his father’s rival and the corrupt policeman who works for him (just a little). However outside the context of the classic film there is wisdom in this phrase. So many of us identify so strongly with our work and how much we are paid that we can enter into a pay rise negotiation from a highly emotional perspective.

Remember it’s not you versus them. See this instead as an opportunity for you to show your employers how much you are worth in the marketplace. If you personalise the issue too much and confuse it with your own estimations of self-worth you run the risk of saying things which might negatively affect your relationship with your employers.

The reality is that if you are worth what you think you are someone else will pay it if your own company refuse to. Remember ‘it’s not personal. It’s strictly business’ and here is a clip of Al Pacino in his iconic role to remind you.

Enjoy the silence

To continue the theatrical theme a little longer. Every actor knows that Silence is more powerful than noise. So don’t be too quick to fill those silences. If an offer is made listen intently. Take your time to consider it. If you are making an offer to them say it plainly and clearly. Don’t be too quick to follow it up with further commentary explaining why you feel that figure is reasonable. If they want that information they will ask.

Timing is key

It’s human nature to be more open to requests when things are going well. So think about your timing. Just after you’ve won a new contract for the company. Just after you have been instrumental in helping a deal come together under time pressure. Both good times. You get the picture.

Don’t give ultimatums

Ultimatums are not your friend in a negotiation situation. Particularly ultimatums you are not prepared to carry out. They make people feel anxious and they personalise a request. Even if your ultimatum is successful and you do get the pay rise you wanted the chances are you may damage your reputation with your hardball techniques. Instead of saying if you don’t pay me this I will leave try the previously mentioned technique of applying elsewhere and if possible receiving an offer which matches your evaluation. In that case your company really can’t deny what the market is willing to pay you.

Focus on the positive

The reality may be that you are doing two people’s jobs or that you are constantly having to solve last minute problems due to your colleagues ineptitude but don’t phrase it like that. A little wordplay can put a positive spin on any situation so spin, spin, spin and accentuate the positive.

Finally, prepare well. Know your worth but be realistic about it too. Be calm and open to offers but persistent in looking for what you deserve.

You’re not a squeaky wheel but calm, cool and collected in presenting your convincing argument.

Leave any emotional baggage at the door. Remember, like Michael says, “it’s strictly business.”

Written for CareerJunction by Mark Dempsey.

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