5 Negotiation Facepalms (#3 Made My Salary Plummet)
If you accept the first salary offer from a company because negotiation makes you uneasy, there is something you will never learn...
What they would have been willing to pay you.
About 52% of employers say that the first offer they give a candidate is lower than they are willing to pay. (CareerBuilder)
Employers leave room for you to negotiate.
That means they expect you to negotiate. So why not do it? An employer who seems shocked or annoyed at negotiation is either playing games or isn't aware of how industry works.
Would you want to work for that employer?
Worst-case scenario, negotiating a salary offer will tip you off to the fact that this is not a place where you should be working.
And that's a good thing.
The best-case scenario is that you get a way better salary offer.
It's a win-win.
But remember that even if the first offer exceeds your expectations, you must still negotiate.
According to Jobvite, 68% of employers increased the starting salary for candidates who negotiated.
This means that if you ask for a higher salary, chances are...
You are going to get it
Now, a lot of PhDs are uncertain – they don’t know how to handle salary negotiations. They make serious mistakes and end up with a low salary.
Here are 5 frustrating mistakes that can tank your salary offer, and how to avoid them.
Mistake#1: No numbers mentioned yet, but you already said "yes."
Throughout the interview process, employers might ask you if a certain salary is acceptable.
They might ask, If I offered you $X right now, would you take it?
These are just negotiating tactics.
You need to be prepared to handle them without committing too early.
You should only start discussing salary once you have a written offer.
When they ask you questions about a possible salary range, you need to deflect.
You can do this by saying, I’m willing to consider all reasonable offers.
You can also deflect by saying something like, I’m not sure what a normal salary is for this position at your company, so I defer to your expertise.
And remember: Don't get annoyed.
Questions are part of the interview process – you need to show you can negotiate calmly.
Don’t get annoyed or frustrated by these questions.
They are a part of the interview process, and you need to show employers that you can handle negotiation calmly.
Mistake #2: Fear is controlling you (more common than you think).
If this is your first time negotiating a salary, you are going to be nervous.
That’s totally okay.
What’s not okay is letting that fear control your decisions.
If you allow fear to control you, you will end up with a lower salary.
That’s what happens when fear takes over – don’t let it.
Instead, be courageous.
Here are a few things that will help with being brave:
- Remember that employers expect you to negotiate.
- Pursue multiple job opportunities to create leverage.
- Do your research and learn the average salary for your target position.
Many PhDs are afraid that if they negotiate, the employer will retract the job offer.
This is pretty unlikely.
Since employers expect negotiation, they probably have a counter offer ready before you even ask.
Remember, you are worth a salary much higher than what you have been paid in academia.
Don’t listen to impostor syndrome.
Face your fear of negotiation and get paid what you are worth.
Mistake #3: "My current salary? Sure, here it is!"
It happened to me, and it will probably happen to you.
The employer is running a business, so they need to cut costs wherever possible.
Your salary is one of the places they will try to cut those costs – it’s nothing personal.
The employer wants you to commit to a specific number and anchor your salary low.
Just as with Mistake #1, you should deflect the question if a recruiter or hiring manager asks about your current pay.
But sometimes, they might be persistent.
They might really want to know your current salary – maybe they will make things uncomfortable with how persistent they are.
The solution to this problem depends on whether this is your first industry position.
If this is your first industry position, you should highlight that your academic pay is not a salary.
You did not make a salary in academia, you received a stipend or were reimbursed via grant.
it’s very important that you make this distinction.
If you are pressed for your salary, you can say,
In my academic position, I didn’t make a salary. I was given a stipend by the university. For this role, I am open to all reasonable offers. I am very excited about the opportunity to work here and will defer to your expertise in the matter of salary.
If you are already working in industry, you need to be more transparent.
Your potential employer can simply call up your current/previous employer and ask about your salary directly.
In this situation, you actually can reveal your current salary.
The important thing to do here is frame your current salary as compensation for a different role.
Quote the average salary of the positions you are applying for, and say that you are looking for a salary improvement to justify leaving (or having already left) your other job.
These strategies will help you maintain a position of power in the negotiation.
Mistake #4: Your "me vs. them" attitude.
You will ruin a negotiation if you can’t keep calm and remain positive through the whole process.
Being defensive or aggressive is unprofessional, and it shows employers that you’re not able to stay level-headed in tough situations.
You must maintain the utmost professionalism at all times.
Remember, you want to make your negotiation a win-win situation because these people are your future colleagues.
No matter what, stay focused on the positives.
Always bring the conversation back to what you will bring to the company.
Never say things like, I can’t live on that or present ultimatums like, I can only accept this position if you meet my salary expectations.
Phrases like that place you and the employer on opposite sides, making the negotiation a competition – or worse, an argument.
When negotiating, use language that conveys you are working together – use the word “we” instead of “I” where possible.
If the salary they offer is too low, say, Thank you for the offer, but I was really hoping for more than that. What can we do?
Hold your ground and remember your value, but be very positive and polite.
Mistake #5: You didn't take it further (this seems logical at first).
So many PhDs think the negotiations end once the salary has been decided.
This seems logical, but it’s wrong.
You are right to negotiate your base salary first.
Base salary is the most important part of your compensation package.
It deserves the most attention, but it is not the only part of a negotiation.
After settling on a base salary, you can focus on the other benefits the company offers.
Choose what is most important for your situation.
For example, if you have a family, negotiating your healthcare package might be a top priority.
If you are moving, your relocation package might be important to negotiate.
In addition to base salary, you might be able to negotiate:
- A signing bonus
- A yearly bonus
- Healthcare
- A relocation package
- A corporate apartment
- Stock options
- Vacation time.
It takes focus and determination to see a negotiation all the way through...
But it will be worth it in the long run.
Are you a PhD?
If so, what are some negotiation strategies that you are practicing?
Tell me in a comment below.
To learn more about transitioning into industry, including how to gain instant access to industry career training videos, case studies, industry insider documents, a complete industry transition plan, and a private online job referral network for PhDs only, get on the waitlist for the Cheeky Scientist Association.
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