In this tough economy those changing jobs are often stumped when it comes to their salary. In many companies employees have not received their annual salary increases. In some cases their salaries have even been cut by as much as 20% during the last downturn. In many cases promotions have been held in abeyance indefinitely, which has exacerbated the reasons for people to leave their existing place of employment, looking for greener pastures.
During the early employment conversations with the recruiters, salary is one of the first items that comes up before candidates are waived on through to see the hiring team. This is where most people make a mistake of not disclosing the right information. There is a tendency to inflate the salary at this stage, with the hope that you will be eligible for a higher number based on what you disclosed to the screening recruiter. This is often a misguided notion.
Why?
In the initial screening the recruiters are merely trying to assess if your current salary range qualifies you to be a candidate for the open position. If you salary is too low you may be perceived as under qualified, and if it is too high then you may be too expensive for the company. Recruiters are merely trying to protect their role when screening for this information. In either case you want to make sure that you get what you deserve regardless of either numbers. So, what is the strategy to get what you deserve? Here are some strategies that have worked, even in today’s job market:
- The recruiter is screening merely to assess if you fit the criteria that they have established for stepping you through the recruitment cycle. If the number you disclose for your salary is outside this range then you may get disqualified from moving ahead. Also, remember that whatever salary you disclose at this point, you may need to substantiate it later with a W-2 or something that supports your claim. So, if you think that your salary is on the lower side (because you have not received a raise lately) disclose the salary range (for your current position) instead of your salary. If the recruiter insists on a number, then give them your actual salary and tell them that you have not received a raise for the past three years and are due for a promotion (if that is the case).
- During the interview with the hiring team—particularly with the hiring manager and their boss—clearly establish your value and how you will make an exceptional candidate for the open position. Once you have established this key fact, your final salary will be driven by how compelling this value proposition is to the decision makers.
- Regardless of what you have told the recruiter, when it comes to the salary discussion with the hiring manager, first ask what position they are considering as appropriate for you. Do NOT assume that they will consider you only for the applied position. If you have established your value proposition in a compelling way they may consider you appropriate for the next level. Here you may need to emphasize that you are awaiting a promotion at your current place of work (if it is true).
- Once they tell you your fit for the position they are considering, ask them the salary range for that position. Once you know that range tell them that you have been a top performer, and expect to be compensated accordingly. At this point, without mentioning a number, the hiring manager is likely to consider you bringing in at about the mid-point of that range. Once that number is disclosed in the discussion, consider that a starting point.
- Negotiate the entire package after considering all other factors, including any monies that you may be leaving on the table when you quit your current job. In many recent cases when my clients told the hiring manager the value of their stock options that they could not exercise as result of having to leave their employer, they were given sign-on bonuses to offset those losses.
As an object lesson, one client last week was able to land an offer, which bumped him from making $131K (same salary for the past two years) to making $177K annually in total comp using these strategies. These numbers are not that unusual!
Bottom line: Do not hold your current (or past) salary hostage to your future salary that you deserve. Sell yourself to the prospect employer based on your value, and not on your current (or past) salary!
Good luck!