It
feels wonderful to get a job offer. This is what you were striving for when you
started your job search. But do not rush
to say “yes”.
When you
receive a job offer, the roles are suddenly reversed. Now you have become the
buyer. The employer is now trying to sell you on the career opportunity,
salary, and benefits. They definitely want you, and in most cases, would like
you to join as soon as possible. You have to decide whether you want them, and
if so, what changes are needed in the job offer before you make a commitment.
Is
this the right job?
Here are some
questions you should try to answer to determine if this is the right job.
•
Are
you sure this job is a good match with your skills?
•
Will
this job put you on the career path you want?
•
Do
you feel you will have a good working relationship with your boss?
•
What
is this company’s reputation in the industry?
•
Do
you have a clear understanding of the job description?
•
Are
you convinced that you will succeed in this job?
•
How
does your family feel about this job?
•
Will
you enjoy working with the people you met during the interview process?
When you
receive a job offer, you have to make a decision that will have a long-range
impact on your career path. Fortunately, most companies give you a few days to
make your decision. You have probably determined, before a job offer is
presented to you, that the company is a good place to work and you are
satisfied with the position and advancement opportunities. If you have any concerns
about the company or the position, this is the time to take another look at
what you may be getting into. No amount of salary or benefits will make up for
a bad career choice. Assuming you are satisfied with the company and the
position, take a close look at the financial aspects.
Job offers are subject to
negotiation. You can negotiate the job responsibilities, base salary, bonuses,
relocation package, benefits, stock compensation, severance terms and anything
else included in the job offer. This is an opportunity for you to define what
you want and what you can get, and then negotiate an employment package
acceptable to you.Timing is a critical factor in negotiating. The ideal time to negotiate is when you have received a verbal offer from the employer, or through an executive search firm. Prepare a logical explanation for every change you want to request. Remember, negotiating is a two-way process, where both you and the employer try to reach an agreement that will be beneficial to both sides.
Preparation is the key to good negotiations
You have to research, consider alternatives, plan and effectively communicate with the employer. You have to know how far you can go, and when to pull back. When the job being offered to you is hard to fill, the employer will be more accommodating. If other candidates are available to fill the position, the employer may be less inclined to negotiate the terms of the job offer. Smaller companies are more willing to negotiate as compared to larger organizations with standard policies and procedures.
There is a big difference in salaries for the same jobs in different parts of the country. You should look up cost of living data when researching salaries.
Here are some websites for your research.
This is a
wonderful resource for help on salary information. It helps you connect to over
300 free online salary surveys. The surveys come from several kinds of sources
including: General periodicals; local newspapers; Trade and professional
journals; Trade and professional associations; and Recruiters or employment
agencies. This website also offers helpful links to other websites for advice
on salary negotiation strategies.
This is a
leading provider of on-demand human resources software to help businesses and
individuals manage pay and performance, and achieve greater results in the
workplace. The website includes quick links to compensation-related
information: Salary Wizard; Benefits Calculator; Executive Pay Wizard; Cost of
Living Calculator; Premium Salary Report; Salary Wizard Canada; Performance
Self-Test; and Salary Negotiation Advice.
This site can
be a valuable resource for determining whether you want to accept a position
and how to negotiate the job offer. This is a leading site where current
employees and former employees can anonymously review companies and their
management and leave salary information.
This website
was launched in 2000 to provide reports on salaries and cost of living. Tools
available on this website help people make informed decisions when planning
careers and searching for jobs. Following career tools are available: Search
Jobs by Salary; Cost of Living Calculator; Education Planning Center; Job
Search; Career Salary Potential Report; and Student Cost of Living Report.
This site is a
market leader in global online compensation data. It has one of the largest
databases of online employee salary data in the world. This website offers
salary reports based on your job title, location, education, skills and
experience.
The
Occupational Outlook Handbook (OOH) issued by the Bureau of Labor Statistics is
revised every two years. It is a nationally recognized source of career
information for hundreds of different types of jobs. For specific occupations,
it tells you: the training and education needed; earnings; expected job
prospects; what workers do on the job; and working conditions. In addition, it
gives you job search tips, and links to job market in each state. Occupational
Outlook Handbook is available online, and you can use the Search box to find
out about a specific occupation or topic. Also you can go to the A-Z Index for
a listing of all occupations in alphabetical order.
JOB
OFFER GUIDELINES
The following guidelines should
help you in job offer negotiations.
•
Do not immediately accept what you are
offered: Always ask for
some time to consider an offer. Most employers are willing to give you up a few
days to consider and respond to a job offer. It is a mistake to jump at an
offer, and accept it right away. Talk to your family members and some
professionals to determine whether it is a fair offer before you accept it.
Accepting something less than what you are worth will not only give you less
income now, but also set you back in terms of future income as raises are a
percentage of what you are earning. Be wary of companies that won’t give you at
least a couple of days to make a decision.
•
Do not reject the offer quickly: Some candidates make the mistake of
rejecting an offer too quickly because the salary offered is below their
expectations. Always look at the total package rather than just the salary
component. Some companies offer larger bonuses, stock options, and benefits.
You may still find that the total package does not meet your expectations, but
do take the time to review it carefully and see if you can negotiate some
aspects of it to make it acceptable.
•
Do not tell the employer what you will
accept: It is a mistake
for a candidate to bring up the subject of salary during job interviews. You
should leave it to the employer to initiate this discussion. Employers may ask
for your salary history, and you should give accurate information. They may
also ask for your salary expectation, and you should give that in a broad range
pointing out that it would depend upon the total package such as bonus and
benefits.
•
Do not tell the employer what you need
for living expenses:
You will get what you are worth in the eyes of the employer, and nothing more.
You have to focus on the value you bring to the employer. Never tell an
employer the amount of money you need for living expenses. That has no
relevance to the employer.
•
Know your market value: Many candidates start thinking about
their market value only after getting a job offer. You should do that before
you interview for jobs. There are many resources available on the Internet such
as www.salary.com
and www.salaryexpert.com. Also, you should talk to some
professionals in the employment industry. They can usually tell the salary
range you can expect based on your education and experience level.
•
Focus on one or two changes in the
offer: While employers
may be willing to make one or two changes in the offer, most of them will not
negotiate the entire package. You should focus on one or two elements that are
most critical to you. If the salary is too low, ask for a change. If the
employer will not change the salary, try to get more in terms of bonus, stock
options or benefits.
•
Never burn your bridges behind you: Negotiating a job offer is the
beginning of the working relationship with an employer, and it is essential to
conduct the negotiation in a professional and respectful manner even if you and
the employer do not see eye to eye. If you decide to decline an offer, do so in
a professional way so that there may be a future opportunity for you to connect
with this employer.
•
Always get the job offer in writing: Any good employer would be willing to
state the offer in writing. If an employer is not willing to do so, re-consider
whether you want to work at that company. Whatever special arrangements you are
able to negotiate should be documented in writing. If you are able to get a
special bonus arrangement, additional vacation time, earlier salary review, get
it all in writing. It is possible that the person who negotiated special
arrangements with you could move on to another assignment. You want to make
sure that you are able to get whatever was agreed. Sometimes you may just have
to spell out the special arrangements in a letter to the hiring manager, get
the manager to acknowledge it and put it in your personnel file.
•
Evaluate the benefits package: Employers offer a wide variety of
benefits to attract and retain employees. You should consider the benefits
package before accepting or declining a job offer. The benefits offered by
employers may include medical insurance, dental insurance, eye care insurance,
life insurance, accidental death insurance, disability insurance, business
travel insurance, group legal plans, vacation, holidays, sick/personal days,
retirement plans, profit sharing, stock options, tuition reimbursement,
membership in health clubs, on-site child care facilities, parking
reimbursement, transportation to and from work, company car, and mobile phone.
•
Understand the entire offer: Make sure you understand all aspects of
the job offer, including salary, bonus, stock option plan, non-competition
agreement, performance review plan, paid time off policy, and benefits package.
If you don’t understand any aspect of the job offer, don’t hesitate to ask the
employer. Your first day on the job is not the time to find out about your
compensation package and the company policies.
•
Review all employment documents: Ask for copies of all documents you
will be required to sign upon accepting the position. This will often include
an employment letter, a non-disclosure agreement, and may include a non-compete
agreement. Review these documents carefully and seek the assistance of an
attorney if there are terms of employment you do not understand. These
agreements will not only govern during your employment, but may define certain
obligations for a period of time after you terminate employment.
Money is not the most important
thing in a new job. The financial package should be reviewed in terms of other
considerations such as job responsibilities and growth opportunities.
Narinder
Mehta (@Narinderm) was President of an executive search firm for ten years. He
is the author of three books on job search and career development. His recent
book Ace Your Job Search in Five Steps
(June 2016) reveals a step-by-step pathway for finding a dream job. He welcomes
all requests to connect on LinkedIn: www.linkedin.com/in/NarinderMehta.
