Common Sense Strategies for Negotiating a Raise


Do you consider yourself to be a good, hard working and dedicated employee, but feel that you are underpaid for all that you do? Has your workload or span of responsibility increased and stayed at that increased level? Perhaps you see the job market improving in your area of expertise, or you simply know others in the same functional job role, being paid more.

What can you do to help yourself? For one thing, you need to speak up.

Hopefully, you are one of those individuals who really likes their job, the company, and the people you work with. And it will be important that this is how others see you. While some of us may not like office politics, it is reality, and it is important that you are perceived as a fully supportive member of “the team.”

It's totally up to you build logical, fact-based business justification to convince your manager that “you” (don’t get too idealistic and start pitching for the entire team) deserve an increase in pay.

So how do you do this?

First, gather supporting information:
You must present a compelling business-based reason that justifies additional compensation. - Document all of your responsibilities and related tasks.
- Gather concrete examples of your contributions.
- Identify how your additional efforts or success have helped the company.
  For example: you may have implemented a new process that shortens order
  processing or improves sales.
- Make sure that your supporting information is clear, structured, and focuses
  on business.

Simultaneously, ensure awareness:
What this means is that your manager may not be fully aware of all the projects or tasks you are involved in. Managers generally have many other things to focus on so to help ensure that your increasing achievements are not overlooked, consider either of the following:
- Provide your manager with a monthly status report summarizing your
  accomplishments.
- Request a weekly or bi-weekly one-on-one meeting to review work
  completed.

Research the job market for your skill set:
Having factual, comparative information is key to your strategy. Do your homework and investigate how much others with similar qualifications in your part of the country are being paid. There are a number of online services and publications that can be used in your research (do not go on interviews . . . that could easily backfire on you!) Start with the U.S. Department of Labor's Occupational Outlook Handbook (http://stats.bls.gov/oco/)

Be careful in presenting this information; you never want to come off as ‘threatening to go elsewhere’ . . . unless of course you are fully prepared to do so!

Timing:
If your company has formal performance reviews, it could be considered by many to be a good time to talk to your manager about the raise. I would suggest however, that by then it is too late in the process. Be prepared with all of the above information well before the performance review. It would be advantageous to arrange to speak with your manager about the issue at least six months before your next evaluation.
 
Decide your timing carefully, you don’t want to select a time when they are likely to be overwhelmed with deadlines or other business issues. Also pay attention to the fortunes of the company within your timeframe. If the company has just announced disappointing financial results or has had to close offices or conduct layoffs . . . it’s probably not a good time.

Always have an alternate plan:
If the pay raise is just not within your employer's budget, there are other potential points of positive negotiation. Here are a few ideas:
- benefits, e.g. more vacation time,
- flexible work schedule (improve your commute time, or family life)
- performance-based bonus
- stock options
- company car

Don’t give up:
If none of the requests are agreed to within your planning horizon, ask your manager to mentor or guide you in positioning yourself for a future raise or promotion. Be positive and optimistic throughout the process. Arrange for follow-up discussions and reviews to discuss your progress. Remember, it's business. Preparation, accuracy and specifics are key to providing a compelling business case. If you are persistent, polite, and professional in your delivery, your chances of getting the salary you feel you deserve improves dramatically.