I am surprised anytime a friend or colleague tells me they did not negotiate a job offer because they were “lucky” to receive one in the first place. I would not lie that I, too, felt this way about the first job I received after college. The work permit uncertainties, first in the US and then in the Netherlands, combined with a general low self-esteem after multiple rejections made me feel like the offer I finally received was a favor and negotiating the terms would jeopardize it.
Since then, however, I have learned that a job offer is never a favor. The corporate world, for better or worse, does not do favors. You receive an offer because you are a good fit for the job and team. Consequently, you have every right to negotiate the terms of the offer in your interest. Your work is a large part of your life. And your work compensation determines your work satisfaction and sets the groundwork for your long-term financial health.
Anyhow, I have moved three jobs since that first offer. You bet I negotiated each one of them until I felt satisfied with the outcome. In this post, I am sharing the lessons I have learned from my negotiation discussions.
1. Connect and engage with recruiters
Whether or not you are looking for a new opportunity, always pick up that call, accept that LinkedIn connection invite, and reply to that message from a recruiter. This is a critical component of you gathering salary ranges for roles you are interested in. It is also an opportunity to network and build your brand in the recruitment space and learn about emerging new roles in your industry and the skills required for them. Understandably, you will not be interested in all jobs the recruiters send. In that case, when possible, refer someone you think would be a good fit for the role. Recruiters really appreciate such referrals and will remember your favor for when you need one in return!
2. Do the market research on compensation
In any negotiation, solid data gives you leverage, so I cannot emphasize how crucial market research on compensation is. One way is through conversations with friends and colleagues. But you should also stretch your inquiry beyond your closest networks to gather the broadest information possible. Reach out to alums from your alma mater, speak to people you might have volunteered with, ask a friend of a friend, etc. If you are applying for entry-level jobs, your university can also provide data on the salary ranges. Lastly, there are many platforms where you can find salary and compensation data starting from LinkedIn and Glassdoor. My current favorite platform is the Fishbowl app. It provides an unfiltered peek into conversations of professionals in many industries, including compensation insights!
3. Identify your non-negotiables
I often have heard that everything is negotiable, but in my experience I have always benefitted from going into a negotiation knowing my non-negotiables. It could be a certain base salary, travel time, job title, or remote working option. I would also strongly advise to make these known to the recruiter and hiring manager at some point in the recruitment process. If what you need is in their no go zone then it saves both you and them time.
4. A winning mindset goes a long way
We often undervalue the power of a good mindset, but I have found it invaluable in my negotiations. I find the first step to have a winning mindset is to invest time to prepare yourself for each step of the recruitment process. This will boost your confidence in your performance and fit for the role. When you are more confident at each step of your application, you also will naturally manifest that confidence in negotiations when you finally receive an offer. I also encourage practicing the negotiation conversation with a friend beforehand to strengthen your confidence.
5. Likeability is more important than you think
I have learned this over time that if somebody likes you, they are more likely to give you what you want in a negotiation. Luckily, this is not something I personally struggle with, but I know people who do. Forbes has an article with some good tips to become likeable for anyone interested. Make sure to use them in the entire recruitment process. Bonus tip? Leave a hand-written thank you note for your interviewers at the office reception. Many of my interviewers (turned colleagues) told me they were touched by the thoughtfulness and attention to detail. One of the senior partners who interviewed me at my old job told me that (a year after hiring me) she still has the thank you note pinned on her desk because she values the gesture!
6. Don’t give away your current salary
Depending on what you are currently earning, this information could set you back in negotiations. Moreover, the hiring firm does not even need to know your current salary because it is entirely irrelevant. In some countries, it is even illegal for hiring managers to seek this information. That, however, does not always prevent them from asking for current salaries. Luckily, there are many ways to answer this question without actually disclosing your salary. Take a look at advice here.
7. Sharing your salary expectation is not always a misstep
Conventional wisdom for job seekers encourages to never place the first number on the table. In my experience, if you have done the market research and are clear on your salary goal then there is nothing wrong with respectfully sharing your expectation (+20%) when asked. The extra 20% because you will likely be negotiated down. The only time I can imagine this would not work is if you prefer to wait it out and depend on the hiring team to give you a high first number (may not always happen) or you go in unprepared without doing the market research and throw an unreasonable (too low or too high) number. If you are nervous to give the first number though, there are many ways to answer the salary expectation question without actually giving away a number–useful advice here.
8. First offer is not the real offer
In this time and age, most firms expect candidates to negotiate the first offer, so they typically keep it on the lowest end possible. So, no matter how good the first offer looks to you—it will if you did not do the market research– always negotiate. This is especially important if you are a young graduate. You might underestimate the value of starting off at a competitive income to get the right experience, which is okay, but please do not accept the first offer, especially not without doing the market research.
9. Focus on what you are negotiating for
Asking for more can make us feel ungrateful and selfish. To avoid that feeling, keep the focus on exactly what it is that you will achieve through your negotiations. If you are asking for more money, focus on the why. It could be to pay off your student loan, support your family, buy a home, etc. Similarly, if you are asking for progression, think about how that will benefit your long-term career growth. If you are asking for remote work, keep in mind all the time you will save on your commute and instead allocate to something joyful. And so on and so forth. Use these reasons to fuel your negotiation!
10. Base salary is not the only negotiable
While it is good to have a number you want to make at the back of your mind, there also are other factors to negotiate in a job offer. To speak from personal experience, one time I negotiated a 120% increase on my current gross salary. However, another time I negotiated a higher rank at a better brand name without pressing for more base salary because progression was more important to me at that time. In another case, in addition to higher pay and rank, I also negotiated the fee for an intensive full-time Dutch course. Have a think about what is important to you in your life and career at a certain time and work your ask around that.
11. Understand the firm’s rewards policy and program
After you receive an offer, either over email or call, clarify the specifics of the firm’s rewards policy and program. Specifics include when you will be eligible for a salary increase, how the salary increase will be calculated, the stakeholders who will influence the calculation, etc. This will help you understand the firm’s commitment to fairly rewarding its employees in the long run. It also will give you an indication of what you can expect to make in the coming years. This can be game-changing info in your negotiation, particularly on base salary and rank.
12. Negotiate multiple aspects of the offer simultaneously not serially
Take your time to think through the initial offer and brainstorm all the points you would like to negotiate. Then, put them on the negotiation table all at once. You test the hiring team’s patience when you ask for x, and when they agree to x, you ask for y, and so on and so forth. Not to forget that this weakens your credibility and trustworthiness and decreases your likeability too. Be upfront from the get go–save your image and everyone’s time!
13. Back up your ask with reason and evidence
As much as likeability is important, it is not enough. You have to make the hiring team understand why you are worth what you are asking for. In doing this, honestly (please do not lie in a negotiation) share relevant achievements and market insights you have gathered. Frame your argument in a way that is not standoffish. While you do this, make sure you first reinstate you are interested in the team and work! To stay at the negotiation table, the hiring team has to feel that they can get you.
14. Understand who you are negotiating with and their limitations
There are always limitations to what a recruiter and hiring manager can offer you. Look for signs to identify these constraints during interviews and later through questions after receiving the offer. Essentially, you have to clarify the parts of the offer which the hiring team is flexible on and parts which they are not. In my experience in the Netherlands, bigger firms have iron-clad salary caps and ranks. But, they are open to negotiate other terms of the offer for e.g. learning budget. At smaller firms with less structure, you have a better chance of negotiating the base salary. There are always exceptions to these rules as I was able to negotiate a higher rank in the big four space twice (you can read about my journey into big four here). Stay at the negotiation table and ask questions to understand the other side!
15. Beware of cultural sensitivities and negotiation norms
As someone who has worked in some capacity in the US, UK, and the Netherlands, I can tell you that the cultural nuances around money are more important in a job offer negotiation than you might think. For e.g., you do not have the same room for negotiation in the Netherlands as you do in the US because of the way the Dutch legal system and social attitude towards money works. If you are interested in learning more, give this a read. In a negotiation, beware of cultural nuances and sensitivities of the country, industry, and profession. It will take you a long way!
Closing thoughts
In addition to the abovementioned tips, I am sure there exist a host of other negotiation hacks. For e.g., some people swear by going into negotiations with multiple job offers, putting one firm against the other. This is not something I have ever pulled off, nor do I want to. I prefer to fight tooth to nail to get the best package at the firm I am confident about than make two firms–both of which I am mildly enthusiastic about–compete for me. However, I can see the value in this exercise if someone is unsure about what that they want to do. Perhaps then, it is worth the hassle to receive and negotiate all potential offers in the same timeframe.
Sometimes negotiations can be lengthy. Stay calm and patient. Prepare to answer tough questions from the hiring team and recharge after longwinded negotiation discussions. Do your research and always reach out to your network for support and advice. Never ever lie in a negotiation or leave the negotiation table on an unprofessional note. We live in a small world and you may not anticipate it, but it can bite you in the arse later. Additionally, always consider every offer in the larger scheme of your life and career. Be considerate of aspects like strong and supportive manager and growth opportunities in your negotiation decisions.
Lastly, if you need more support and hand-holding, I can highly recommend to work with a negotiation coach. if you are Netherlands based, Wies Bratby is a great resource.
Hope this post is useful! Share any tips of your own in the comments.