Strictly Business: Q&A with Karen Banks, Bakersfield manager for Robert Half International
| Friday, May 06 2011 12:00 PM
Last Updated Friday, May 06 2011 12:52 PM
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Karen Banks
With Kern County's unemployment rate at 17.5 percent and county per capita income well below state and national averages, it's an employer's job market. That makes negotiating salary and benefits difficult, to say the least. We sat down with an expert to find out how best to go about settling on a compensation package.
NAME: Karen Banks
TITLE/OCCUPATION: Branch Manager, Bakersfield Office - Robert Half International.
AGE: 40
Question: So, you've got a job offer. You've overcome the first hurdle. In this economy, should you accept whatever pay the employer is offering or is there room to maneuver up?
Answer: One of the biggest mistakes job seekers make when negotiating their salary is thinking they can't say no. Many people fear asking for a better offer because they think it could damage their relationship with the new employer. In fact, most hiring managers understand -- even expect -- professionals to negotiate compensation and benefits with them when offered a new position. Professionals have the greatest leverage when they receive the initial job offer.
Q: It's hard to objectively determine your worth, particularly if you're changing fields. How can you research the going rate for the particular job you've been offered?
A: Job seekers can begin by reviewing sources such as trade publications and industry reports like the Salary Guides from Robert Half and the Occupational Outlook Handbook from the U.S. Department of Labor's Bureau of Labor Statistics. They also can speak with colleagues or a recruiter to get their insights.
Q: How common is it for prospective employers to request a salary history along with a job application?
A: It is fairly common for employers to request salary history during the application process. Employers will request salary histories and/or requirements to help them determine if there is a fit financially.
Q: If you've jumped around a lot in pay over the course of a career, rather than having the gradual increase over time that is ideal, does that give recruiters leverage? How do you overcome that?
A: Job seekers should remember that companies want to hire the best person for the job and likely will be willing to offer a competitive salary once they find that person. One way professionals can overcome this challenge is by doing their homework. Conduct research on current compensation trends and tap professional networks to help determine salary ranges for similar positions in other organizations, keeping in mind the size of the company, industry it operates in and location. This will help job candidates determine their bargaining power and overall market value.
Q: Often the starting point in negotiations is your current salary, or the salary you earned when you were last employed if you're out of work. Is it ever a good idea to lie about your salary?
A: Job seekers should always be honest with potential employers when discussing their salary history. Lying about salary can not only affect your relationship with the employer in the short term, but chances are likely that they will find out what you earned previously. Salary information can easily be verified through your references.
There are plenty of ways for job seekers to get the salary they deserve without having to lie. They should be open and honest in their communication with potential employers and focus on demonstrating how the company's investment in them will pay off in the long run by providing quantitative examples of their contributions at previous organizations.
Q: With health care costs rising, it may be worth it for some employees to make salary concessions in order to get a better health insurance package. How often are employers willing to deviate from the contract they've negotiated with providers and insurers to accommodate one individual who wants something different from what everyone else gets?
A: Even if employers are locked into specific offerings, there may be other areas where they have more flexibility. For example, if the health insurance a company provides cannot be changed, job seekers may be able to ask for a higher salary or different perks, such as a gym membership.
Q: How much paid vacation time off per year is typical, and how do you make the case for more?
A: Paid time off policies tend to vary per company. Job seekers can negotiate for extra benefits or perks, such as additional vacation time, but should be prepared to give in on those issues that are less critical. It's important that professionals carefully consider what items are most important to them before beginning negotiations with an employer.
Q: How important is it to get a job offer in writing?
A: Once the terms of employment have been determined by both parties, it's important that the candidate asks the employer to draw up a letter outlining the specifics of the offer, such as the salary and any special arrangements that resulted from the negotiations. Having everything in writing will help prevent any misunderstandings down the line.
Q: Often people are afraid to ask for more pay because they don't want to risk having the offer rescinded. Is that a realistic fear? How often does that actually happen?
A: Talking about compensation with a potential employer can be a nerve-racking experience, especially in a tight job market. But we're finding that today's professionals aren't shy about asking companies for higher pay. A recent survey conducted by Robert Half found that 81 percent of workers interviewed said they're comfortable negotiating a higher salary or better benefits, 44 percent of which indicated that they were very comfortable with negotiations.
Q: Do you have any resume tips that will make candidates appear worthy of higher pay?
A: One of the deciding factors for employers in determining whether to hire a candidate is the potential value that candidate can bring to the team. It's important that job seekers emphasize the value they've contributed at previous organizations. Before sending the resume to a potential employer, candidates should ask themselves, "Does my resume cite quantifiable examples or contributions to previous employers' bottom lines?" "Does it clearly illustrate how I can help the organization?"
