Negotiating salary for new job

By Kate Southam

Negotiating a salary for a potential new job is a task many people dread or feel ill equipped to deal with.

Researching salaries

First, you need to know the current salary range for the role. Salary surveys on recruitment websites or those published by industry or professional associations are good sources. Grads can also check with an alumni association. Be wary of salary surveys where people can enter their own pay details as they're open to abuse.

Salary surveys carried out by established recruitment firms are credible. For example, the Hays Salary Survey on www.careerone.com.au is released once a year and takes months to compile involving interviews with candidates and employers. However, it is compiled once a year so we will publish any new salaries in our Employment News section (link on the left side of the home page) to help you keep up.

If you know someone doing a similar role, ask their advice on what sort of money you should be asking for. Obviously you cannot ask them what they earn. A word of warning here too. Some people are very passive when it comes to negotiating a pay rise. They accept whatever the company gives them each year, which could be zero or just CPI. This means that over a number of years, a person could start falling behind market rates. This is one of the reasons it pays to move jobs every few years even if this is just to a new position within your existing organisation. It's also the reason that negotiating the best possible starting salary is so important.

If your first interview is with a recruitment firm, you can ask the consultant what the salary range is for the job. Keep in mind that the recruiter represents the employer so they don't have to nominate a salary. Also keep in mind that the hiring manager will have a budget for the role, which means there will be a limit he or she cannot go over without seeking sign off from a more senior manager.

When to talk salary

It's better not to be the first person to raise the salary issue. Ideally, you want to see what the employer is willing to pay before you say what you are willing to accept.

The time when you will have the most negotiating power is after you have been offered the job and before you have accepted it but salary often comes up much earlier in the negotiations.

In many cases, you will be asked what sort of salary you are looking for. How you answer is a personal issue. You could stall and say, 'I would need to know a lot more detail about the role before I could answer that'. Let's face it, if the role involves having a desk near a window with a great view or having access to a subsidised gym or positive travel, then maybe you will forgo a few thousand dollars. Or the job might offer a really clear promotion path and being promoted means access to pay negotiations and more money. Pretend you have two jobs to consider. Job A pays $10k more but there is nowhere to go in the organisation so that initial $10k plus soon becomes a minus if you stay a few years as without a promotion, how are you going to justify a decent salary increase? Same goes for subsidised or fully funded training. Gaining further knowledge will add dollars to your professional bottom line.

If you're asked what you currently earn, the advice from Robert Godden of Hudson is to be honest.

"There are two reasons for this. Your salary could be verified later on revealing you as a liar or, more importantly, the salary range on offer could be so far below what you believe you are worth that to go further with the screening process would be a waste of your time," Godden said.

"You don't have to commit to a salary at the interview," Godden said. "You can say 'while I am earning x amount now, this role is more challenging and requires a more unusual combination of skills so is worth a higher salary' without saying what that higher salary should be."

If pressed, it's fine to tell the interviewer that you need time to think about the ideal salary range and then move the conversation along.

Godden warns that if you do commit to a figure at interview then there could be dangers associated with changing that figure after offer.

"You might be the best candidate at $75k but suddenly asking for $85k when offered the role, might then see you compared to a more senior crop of candidates and found wanting," he said.

"Alternatively, the fact you had asked for a specific salary and then upped the ante so much after offer may leave you looking sly or tricky."

"If you accept a job you really like but the money is not quite what you're after then it's a good idea to negotiate a pay review date at the time of offer for three to six months after you start to give you time to prove your worth," Godden said.

Check it out

Lastly, Godden advises checking the offer carefully to ensure you understand how the salary package is structured including whether the figure is base salary plus superannuation or a combination of base and super. Also, as I mentioned before, the ability to be promoted should be a big factor as well as support for education and training.

Other items to look for include mobile phones, car allowance, parking allowance. Also, if it's a sales job then what is the structure. For example, if it involves "On Target Earnings". For example, let's say a job ad mentions a salary package of $60k OTE. Part of that $60k is base salary and part is the bonus paid if a particular sales target is reached. That bonus is the "On Target Earnings" component of the package.

The package could be $40,000 base - known as $40k - and $20k bonus. Or it could be the other way around. The first thing a sales person needs to know about the job is the split between base and bonus.

Other factors include how the employer imagines the target would be met. For example, will the sales person be chasing mostly new business or can he or she also rely on resigning existing clients or selling them extra products or services? What sort of support services does the employer provide to its sales team? The candidate should also find out about the pros and cons of the "territory" they would cover as well as how the potential employer stacks up against its competitors. The candidate then needs to make an assessment of how realistic the target is and how hard it would be to meet.

http://www.careerone.com.au/jobs/job-search/get-that-job/negotiating-salary

Dos and don'ts of job hunting

By Kate Southam

Successful job hunting is a job in itself. And, while most of us find researching jobs, writing resumes and getting through interviews gruelling, even torturous, it has to be done. Strange as it may sound, if you try to enjoy the process you will find it much easier and do a better job.

Skills shortage or not, a slapdash effort will lose you the job. Follow this list of dos and don'ts to avoid having your application discarded.

• Do read the job ad carefully and pick out the key words used in the ad to re-use in your cover letter and resume. However, make sure your claims are genuine or you will come unstuck at the interview.
• Don't create just the one resume or cover letter to send out to every potential employer. Tailor each application to the job you are applying for.
• Do keep a track of all your applications and the people you deal with. A hiring manager or recruiter does not want to hear "Tell me again what job did I apply for?"
• Do keep a track of all your applications and the people you deal with. A hiring manager or recruiter does not want to hear "Tell me again what job did I apply for?"
• Do re-record the messages on your mobile message bank and home answering machine to sound professional even if it is only for the duration of the job hunt. Some people use novelty answer messages or worse, indifferent sounding voice messages. This is a huge turn off for employers.
• Don't spend a lot of time and energy on your cover letter and resume only to revert to email English when sending your application via the internet. This would include not writing proper sentences, using numbers instead of words, and not using capitals letters. For example, "I have attached my cover letter and resume 4 u to take a look at."
• Do proofread emails, cover letters and resumes. If you are keen on the job, check, double check and then ask a friend or family member to triple check your documents.
• Don't save your best behaviour just for the employer. When dealing with a recruiter by phone or at a first interview understand you are being assessed. If you don't impress the recruiter, you will never meet the employer.
• Do find out prior to interview who you will be meeting with, and the person's title. If you are being interviewed by more than one person, answer questions individually but make eye contact with the whole panel.
• Don't bring up salary at the first interview. In fact, the best time to discuss salary is after you have been offered the job and before you have accepted it. That is the time when you have the most power.
• Do prepare to be asked about salary. If you are asked a direct question about salary, make sure you have done your research on market rates for your role and industry so you can answer it honestly.
• Don't tell a recruiter one salary and then change it when talking to an employer. The recruiter represents the employer and will have passed on the information prior to your discussion with the employer.

http://www.careerone.com.au/jobs/job-search/get-that-job/dos-and-donts-of-job-hunting

References and Referees (Priming referees)

By Kate Southam

Keeping in touch

You should always let your referees know when you are going for a new job. Not only is it courteous to do so, but it also gives you an opportunity to prime your referee about the job you are going for. You want to make sure they have a clear memory of who you are. You don't want your referee to sound surprised, vague or irritated when a potential employer telephones him or her to start asking questions about you.
When you are after a role, leave no stone unturned. Don't provide a list of referees and just hope for the best. It could be a couple of years since you have spoken to this person so you need a brief conversation at the very least.

First up, make sure your referee is still contactable on the number once provided. Many reference checkers do not want to call a mobile phone number, as the person could be anyone. Going through a company switchboard is the preferred option as the reference checker can verify the referee's name and title before speaking to him or her. Even if you have the referee's direct line and permission to provide it to a potential employer or recruitment consultant, still list the company switchboard number.

You should also make sure your referee is not about to go on holiday. Not knowing this detail makes you look sloppy and just irritates the reference checker when they call up only to find out the person is away. It could even cost you the job.

Finally brief your referees. Tell each person what you have been doing since you worked for them or with them. Tell your referees about the role you're going for and how your work history with them is relevant to this new job. Don't instruct your referee on what to say. However, remind your referee, if need be, of awards, projects and special achievements you earned while you worked with them. You worked hard for such recognition so don't be shy. You are really doing everyone a favour by being thorough, so go for it.

Keep a track of your referees

I've had quite a few emails from readers who can't find their referees. When you're in a job, keeping track of your referees isn't a priority. However, when the time comes to move on, losing touch proves cause for regret.
Most people can't ask their current manager for a reference so they must rely on past managers.

For those who haven't yet lost touch with your referees, my advice is "don't". Ask your referee to let you know if he or she is moving on. However, it's more than likely your referee will be too busy to think about such things so you need to call or email every six months just to "touch base" as they say.

Don't rely on written references. These days most companies don't accept written references preferring a list of referees and their contact details so they can make their own inquiries.

It's perfectly acceptable to say to your referee that you are just keeping your resume up-to-date and checking as to their willingness to remain a referee as well as their preferred contact details.

If you've lost touch, make every effort to find the person. If they have moved on from their company, ask if he or she left a forwarding address. If you know where the person lives, look them up in the phone book and phone the person. If you feel awkward about that, then write to the person. Writing a letter is less intrusive and gives the person time to phone you or email you - or even ignore you - sorry, just a little reality check.

If you know your referee is a member of a professional association or club, write to him or her care of that organisation. Be sure and mention something like, "I remember you were an active member of the such and such association, so I hope you don't mind me writing to you this way." Also explain why your need to contact them is so important.

http://www.careerone.com.au/jobs/job-search/get-that-job/ask-kate/ask-kate-archive/op/edit/pid/171