You're faced with candidates from diverse salary expectations. How do you navigate negotiations effectively?
When faced with candidates having varied salary expectations, you need a strategic approach to ensure fairness and satisfaction. Here's how you can navigate these discussions:
What strategies have worked for you in salary negotiations?
You're faced with candidates from diverse salary expectations. How do you navigate negotiations effectively?
When faced with candidates having varied salary expectations, you need a strategic approach to ensure fairness and satisfaction. Here's how you can navigate these discussions:
What strategies have worked for you in salary negotiations?
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Reassure candidates that you’re their advocate Show the candidate how your company culture supports their life Research market salary to establish a fair salary range Understand what’s important to your candidate Consider other benefits besides cash Communicate effectively Look beyond the resume Explore compensation alternatives Mention career advancement Know when to walk away
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Before starting the negotiation, it’s important to have a clear understanding of the budget and flexibility for the position. Know the salary range you can offer, and where there might be wiggle room for negotiation, whether that's in bonuses, benefits, or other perks. During initial discussions, ask candidates what their salary expectations are. This helps avoid wasting time with candidates who are far outside your budget. If a candidate's expectations exceed your budget, be upfront about it. For example, you could say, "I understand that your expectation is above what we can offer at this time, would you be open to discussing other elements of the compensation package, such as a signing bonus or extra vacation days?"
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I like to start by asking why the candidate has their expectations. Are they thinking about the market, their needs, or their career goals? Once I know that, I can match it with what the company can offer. It’s not always just about money. Things like career growth, flexible hours, or extra perks can make a big difference. The goal is to put together an offer that works for the candidate and the company.
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It is very important that candidates are well informed with the offer details and that we need to be transparent and honest to them about what the company can offer and/or up to what extent can we negotiate. Of course, effective negotiations can be done effectively if we do it in a professional and not biased manner.
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Navigating salary negotiations requires a balance of transparency & flexibility. Start by knowing your budget & role’s salary range, then understand candidate’s expectations & why they have them. Be upfront about salary early in process to avoid mismatched expectations. Highlight full compensation package-bonuses, benefits, & career growth opportunities to show the complete value of the offer. If there's a gap between your budget & their expectations, consider creative solutions like a performance-based review or a signing bonus. Maintain an empathetic, respectful tone throughout, listening to the candidate’s needs & motivations, & aim for a collaborative outcome. Even if you can’t meet all their demands, leave room for future discussions.
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