The average hourly wage for non-supervisory production employees in the private sector was $20.50 as of February, according to the U.S. Bureau of Labor Statistics. Wages have been stagnant, while productivity has increased across the board. The Economic Policy Institute found between 1973 and 2011, productivity grew by 80 percent across the country, while wages grew only 8 percent in that same time period.
Whether you’re looking for a new job that pays more or leveraging for a raise at your current job, the amount of money you earn will come down to how to ask for it and the data you give to justify the number. Here are several expert salary negotiation tips to guide the way.
Determine Your Value
Resources like Payscale.com and Glassdoor.com give average and median salaries for virtually every occupation in America. Take a look to see what the average pay is for people in similar positions in your region. A salary calculator can determine if the median wage would amount to a raise that satisfies you.
If the raw numbers aren’t enough (the median wage doesn’t amount to a raise for you), compile data about your personal performance during the past year. Make a connection between the company landing new clients and being more profitable to the work you’ve done. Articulate your value by positively correlating your work with the company’s bottom line. Presenting this data to them in an organized, straight-forward fashion shows them you are serious and that you have done your due diligence.
Ask For A Specific Amount
Money is a touchy subject, whether it is between husband and wife, or employee and employer. Author and LinkedIn career expert Nicole Williams recently shared salary negotiation tips, telling ABC News that beating around the bush about your worth won’t be looked at in a positive light. Once you determine your value to the company, ask for that amount. It may feel awkward and uncomfortable, but Williams said managers respect those who know their worth and ask for it. The ball is now in their court.
Listen, Don’t Threaten
Once you have presented your case, give your bosses a chance to reply. Connie Thanasoulis-Cerrachio, of career counseling firm SixFigureStart.com, told Forbes the biggest mistake workers make when asking for more money is insinuating they already have a new position lined up or they’ll quit if not given a raise. Remember, companies all across the U.S.are tightening their belts due to higher taxes and health care costs.
If no action is taken within a month of your meeting, follow-up with an email. Don’t let them sweep the subject under the rug, but continue with a diplomatic, professional attitude. Patience is the key, especially when your boss will likely have to present the case to several others before he or she can make the raise happen. Regardless, never threaten your old boss or sour the relationship in any way. The reference they can give you is far more valuable than pride.
A raise may not be realistic for some companies, but perhaps a one-time bonus can be negotiated. You also want to be honest with yourself and accept that a raise may not be forthcoming after exhausting all your options. It’s at that point you can start applying for new positions. But don’t leave a job strictly for money. Granted a new position might pay more, but overall job satisfaction is crucial.