Salary Negotiations In The UK

• In Career Advice
• 10 Jun 2022, 05:07 AM
• By Technologist Confidant

Everyone wants to make more money, but many people find it challenging to bring up the subject of pay raises in front of their managers. Only a few people are sure how to proceed. Employers may be turned off if you come across as arrogant while presenting your wage demands. On the other hand, in a salary negotiation, you may not obtain what you want or deserve if you are too accommodating and eager to compromise. As a result, it's critical to plan how you'll approach asking for a raise ahead of time.

When can salary negotiations occur?

In theory, a pay negotiation can happen in two ways: before getting recruited as an applicant or during a performance review. The topic of money will be mentioned during the application process, depending on the extent of the procedure. Of course, there are some occupations where a real compensation negotiation is impossible - management has set an hourly wage, and applicants can accept or decline the post. Because the topic of remunerations has already been contractually decided, negotiating is unnecessary under a collective pay or salary agreement.

Contracts in the United Kingdom are relatively flexible, with only statutory or collectively agreed-upon minimum wages limiting their flexibility. The two contractual partners (employee and employer) agree upon the initial salary. During the first instant of contact, a first approximation to the negotiation may occur. Companies request that applicants mention their expected wage range in many job advertisements. This saves time for both sides because an interview isn't worth holding if it's clear ahead of time that an applicant wants considerably more money than the employer is willing to pay. It's a good beginning point for a salary negotiation if the projected wage and the amount the company is willing to pay are similar.

On the other hand, the term "initial salary" implies that it is only the first rung on the salary ladder. You will almost certainly have the option to negotiate wage raises at different stages of your career in a company. Once a year, it's not uncommon to ask your company to renegotiate your wage. Longer service and, as a result, more experience can be enough to justify a higher salary. You can justify your entitlement to a wage raise if you have taken on more tasks or responsibilities in the last few months than you did at the start of your employment relationship - the same is true if you consistently perform well at work.

Strategise your salary negotiations

When it comes to salary negotiating tactics, it's important to remember that there are always two sides participating in these discussions. To put it another way, tailor your plan to your opponent. Some supervisors prefer assertive, borderline aggressive behaviour, and others necessitate more tact and diplomacy. However, there are some suggestions that you should definitely consider.

• Initial offering




One key drawback during a pay negotiation occurs during the application process; you don't know your negotiation partner yet, so you don't know what kind of pay they're looking for or how they prefer to negotiate. Because it's impossible to learn about these aspects in a matter of days, you should focus your efforts during the application process on developing a reasonable compensation expectation based on industry standards. You should not be too tenacious during the negotiation (this is more deterrent), but you should not treat the salary discussion lightly either: Your compensation may rise in the years ahead, but only in comparison to your starting salary.




• Assessment of the range of salary




It is worthwhile to devote sufficient time to research. There are countless sources on the internet that show average earnings in various sectors and vocational disciplines. In the best-case scenario, you will conduct research on the organisation while preparing for the interview. On the one hand, you should be able to assess the firm's success concerning its competitors, and on the other hand, you should be able to estimate how much the company spends on its people. Employees rate organisations in terms of benefits and salaries on several websites; this information can significantly assist you in your evaluation.




• A “NO” to low offerings




Anyone who cites a low starting wage during an interview runs the danger of not just losing out on a greater pay, but possibly the job itself. If you mention that you expect a very low wage, the employer may become sceptical. You're implying that your work isn't especially valuable and that you've previously been turned down for a number of job interviews, which is why you're offering your services at the cheapest price.




• Don’t expect too high salary




The other side is just as terrible when it comes to paying expectations. Most employers have a pay range in mind that they don't reveal (this would weaken their negotiating position). If you have higher expectations, you have usually already disqualified yourself. Keep in mind that you aren't the only one who is interested. Although wage expectations are not essential in the hiring process, if a rival with equal qualities wants a lower salary, they are quite likely to accept it.




• Do not discuss salary very early




Although a confident demeanour is never a bad thing, career beginners who have recently completed their training or studies may seem too focused on getting a good wage, which can be off-putting to both employees and employers. In general, you don't want the employer to think you're just interested in the job because of the money, so don't bring it up too soon in the interview. In most circumstances, the person you're speaking with will take care of the problem on their own.




• Constructive argument




Employers will not give you a raise just because you asked politely. Give good arguments and make sure they're ready. Bringing notes to a salary discussion is not a problem, and these can even aid in the factual conduct of the meeting. Make a case for a raise by citing previous accomplishments, noteworthy achievements, and cumulative experience. Years of service with a company can result in a pay raise - after all, loyalty should be rewarded. During a salary discussion, however, private considerations should not be disclosed.




Even if they are sympathetic, it is irrelevant to your supervisor if you require the funds due to a change in circumstances outside of work. It's also a poor idea to make references to other coworkers. Just because someone else has had a wage rise authorised does not mean you are entitled to one. If you've done well at work, that should be enough of an argument in and of itself. If you instead claim that other people have a greater wage despite poor work performance, you will rapidly come out as uncaring, and you will not go any closer to your goal.




• Rhetorics




Negotiation experts suggest a few strategies to employ before or during a compensation negotiation. For example, one language nuance is that you should never ask for a raise. The term "salary adjustment" appears to be a lot less demanding. Choose an exact, odd number as soon as you name your first request. An even number isn't inherently wrong, but the same odd number will make it appear as though you calculate your raise precisely – even if that isn't the case.




You can also use the Benjamin Franklin Effect, which states that if someone has already done you a favour, they are more likely to do it again. So, just before the meeting, set up a scenario where your employer is doing you a basic favour. This could make subsequent negotiations go more smoothly. Similarly, the advice to say yes works. When you convince someone to say yes numerous times, they are more likely to agree soon. These scenarios can be set up during the initial light conversation prior to the salary discussion. If your supervisor says "yes" multiple times, the chances are that they will say "yes" to your demands as well.

Additional tips for salary negotiations

Negotiating a wage can be a difficult topic to broach. Andrew Gordon, Director of jobs.ac.uk, offers these helpful hints for negotiating a better wage.

• Overcoming anxieties




Salary negotiations make a lot of people uncomfortable. They are unable to conceive negotiating for a better deal and will frequently accept the first amount provided. But, like Oliver Twist, you should conquer your fears and ask for more. Salary negotiations are a common occurrence in the workplace. They're not something to be ashamed of. Consider it as building a fair working relationship with your new job.




• Establishing a target salary




This figure should be 10% to 15% more than the lowest wage you'd consider accepting. You may attempt aiming for even higher percentages, perhaps up to 20–25 per cent higher. However, if you set your sights too high, you may find yourself out of work. You'll get lucky now and again. It's possible that the employer genuinely wants you and will offer you a greater salary without haggling! You'll be 'quids in,' as the term goes. If the company starts haggling, your higher target figure will allow you some leeway. Even if you lower your salary, you should still end up with a salary equal to or greater than your minimum wage.




• Make sure of any salary trade-offs




The top-line pay figure should not be used to lull you into a false sense of security. Make sure you make your wage calculations because your new employer may have higher charges. You might, for example, have to travel further to get to your new office or business. Indeed, you have to commute may detract from the job's overall appeal.




There's a chance you'll lose out on additional perks as well. Do you get discounted lunches at a staff restaurant that you won't get at your next job? Will you be working in the city centre, surrounded by shops? Will you join a 'evenings out' office culture or go to the bar for lunch? Will you be required to purchase new clothing, or will you be provided with a uniform or clothing allowance?




Of course, the opposite is also true. Your new income may not be as high as you'd want, but you may be eligible for additional benefits such as a corporate car, free health insurance, gym membership, or other perks. However, keep in mind that this is the wage you'll live on. As a result, the higher your actual pay, the more stable your financial situation.




• Proving your case




You'll need to explain why you're worth more money if you ask for more. You've already accomplished this if you've been offered the job. However, you'll be even more persuasive if you can show how hiring you will result in the company making or saving money. Demonstrate this, and your employer will be more confident in your ability to earn a higher salary.




Keep in mind that a successful negotiation is when both parties walk away with a smile on their faces. Many businesses are willing to work with you to reach an agreement, and they may admire you for having the courage to inquire. Employers will typically agree to pay you more if they can afford it, believe you're worth it and make reasonable requests.