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SALARY NEGOTIATION PROCESS

 

SALARY NEGOTIATION PROCESS:

Salary negotiation process consists of offers from one party and counter offers from another party. By the end of this process, both the parties may arrive at a mutually agreed settlement. The use of word may indicates that it is not necessary that both the parties may arrive at a mutually acceptable settlement. You may adopt the following guidelines during the salary negotiation process:


    1. Before involving in salary negotiation process, set your target and resistance points realistically taking all the factors discussed above.
    2. A far as possible, do not disclose your target and resistance points to the organization. If the interviewers ask you a question which is very common, ask for what the organization would like to offer.
    3. If the interviewers   quote a salary package, ask for the components of the package. This will help you know your take home salary which is very important, at least, at the initial stage.
    4. If the salary package offered by the interviewer falls below your target point or resistance point, treat this merely a point of departure as many organizations make initial offer much below the target point or even the resistance point.
    5. At this stage, make your counter offer near to or at your target point and justify this offer by explaining the rationale of this based on your skills and overall suitability to the organization.
    6. There is a possibility that the interviewers say, “ If we meet your offer, it may create anamoly in our organization.” If this is the situation, ask for the anamoly likely to be created. In a few cases, there may be genuine anamoly but in most of the cases, such kind of trick is played by the interviewers, specially by those coming from human resource department or finance department who are most concerned with keeping employee cost as low as possible.

      If the explanation offered by the interviewers is not justified, you may ask them to consider your offer favorably. If this explanation appears to be justified, you may offer a little lower package but not below your resistance point. If the interviewers say that they will take a decision after consulting their organization, leave the option to them as many organizations have a policy that a salary package beyond a certain limit requires the approval of a person who is not the member of the interview panel.

During the salary negotiation process, observe the following points at all stages:

    1. Be polite in listening to the initial offer or counter offers made by the interviewers. If you show a rude behavior on any issue that may annoy them, it will reduce your chance for selection.

    2. Never say no to any offer however low it may be. Once you say no, it is likely to stop the salary negotiation process.
At no stage of the salary negotiation process, do not show you need the job desperately either by words or by your body language even though you might be in need of the job desperately.

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