Circumstances for Salary Negotiation
It’s easy to find books and websites (maybe friends and relatives) that say, “always negotiate!” But is it true? Having a strong reason for negotiation is the best way to be successful. So, how can you tell?
Once you have an offer–or several, if you’re lucky—start by asking yourself “what do I like about this job offer?” Look at the whole package: is the work interesting? Do you like the company, the location, the co-workers or supervisors you’ve met? Is this a good launching point for your career? What about non-salary aspects, like benefits, vacation, working hours? Review our video on “What to Expect in a Full-time Offer” for additional aspects to consider. Above all, remember one thing: no one can pay you enough to make you happy doing a job you don’t like.
If you have only one offer, keep in mind that your negotiation options are limited. You are comparing that offer to continued unemployment – not to some hypothetical offer, or the offer your friend just received.
So, let’s say that you’ve done your analysis and decided that everything about the job is positive – or you have multiple positive offers with different salaries. Why would you negotiate? Simply wanting more or looking to pay off personal debts are not valid reasons. There are four circumstances for negotiating your first full-time job offer.
1. The offer isn’t at the current market rate.
Check the current salary and wage reports on the ECS Statistics page or utilize the Educate to Career Job Seekers Salary Calculator, with data from multiple campuses broken down by the state you’re seeking employment, region within the state, occupation type, years of relevant experience, and education level. (Caution: the data on salary comparison and cost of living comparison websites like salary.com is not completely reliable. Salary data based on job title doesn’t factor in how long someone held that title. Cost of living sites are heavily influenced by housing prices, which can vary considerably. Rarely do these sites indicate how current their data is or how many data points they used for their average.) Make sure you have your facts straight.
2. You have a comparable yet stronger offer.
If you will be performing a similar role in a similar industry, your offers may be comparable. It is possible that your preferred offer is lower than your second offer, and you could potentially use that second offer to negotiate an increase with your preferred offer. Be prepared to provide documentation if the employer asks you to email your competing offer. The competing offer must be active at the time of negotiation.
3. You have something unique and special to offer.
This can be a tough one and is especially relevant for graduate students. For example, if you have a patent, relevant publications, or have done research that directly relates to that company’s products, then this might apply to you.
4. Cost of living differential.
You have two offers with roughly equal salaries, but one is in a much more expensive place to live. This could be a possible reason to negotiate. However, keep in mind that they already live there and know the cost of living firsthand or they may have staff who specialize in compensation that keep a pretty close eye on this issue to stay competitive.
“Knowledge is a process of piling up facts; wisdom lies in their simplification.” - Martin H. Fischer
