{"id":15035,"date":"2022-06-09T06:35:28","date_gmt":"2022-06-09T13:35:28","guid":{"rendered":"https:\/\/www.knowledgecity.com\/blog\/?p=15035"},"modified":"2024-04-02T12:14:23","modified_gmt":"2024-04-02T19:14:23","slug":"6-steps-hr-should-take-for-great-salary-negotiations","status":"publish","type":"post","link":"https:\/\/www.knowledgecity.com\/blog\/6-steps-hr-should-take-for-great-salary-negotiations\/","title":{"rendered":"6 Steps HR Should Take for Great Salary Negotiations"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Regardless of which side of the table you\u2019re on, salary negotiations are tough and can be quite nerve-wracking. As an HR professional, it&#8217;s challenging to be caught in between making sure a qualified candidate gets the offer they want to accept and making sure that your organization is represented well. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">That said, salary negotiations, like any other kind of negotiations, are just another form of building relationships, and you can use your human-centric skills to make the process smooth for all parties involved.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Typically, men are more likely to negotiate salary offers, but many people still choose to <\/span><a href=\"https:\/\/blog.sage.hr\/what-every-hr-should-know-about-salary-negotiations\/\"><span style=\"font-weight: 400;\">forgo the anxiety<\/span><\/a><span style=\"font-weight: 400;\"> of negotiation altogether. Sixty-eight percent of women and 52 percent of men accepted the first offer that was made to them. In this article, we&#8217;ll explore the different factors that lead an individual to negotiation, and how you can use your role as an HR professional to support the candidates as well as your organization through the process.\u00a0<\/span><\/p>\n<p><img loading=\"lazy\" class=\"aligncenter wp-image-15042 size-full\" src=\"https:\/\/www.knowledgecity.com\/blog\/wp-content\/uploads\/2022\/06\/6-Steps-HR-Should-Take-for-Great-Salary-Negotiations.jpg\" alt=\"Close-up of a hiring manager explaining contract details to a candidate in an office.\" width=\"1000\" height=\"667\" srcset=\"https:\/\/www.knowledgecity.com\/blog\/wp-content\/uploads\/2022\/06\/6-Steps-HR-Should-Take-for-Great-Salary-Negotiations.jpg 1000w, https:\/\/www.knowledgecity.com\/blog\/wp-content\/uploads\/2022\/06\/6-Steps-HR-Should-Take-for-Great-Salary-Negotiations-300x200.jpg 300w, https:\/\/www.knowledgecity.com\/blog\/wp-content\/uploads\/2022\/06\/6-Steps-HR-Should-Take-for-Great-Salary-Negotiations-768x512.jpg 768w, https:\/\/www.knowledgecity.com\/blog\/wp-content\/uploads\/2022\/06\/6-Steps-HR-Should-Take-for-Great-Salary-Negotiations-900x600.jpg 900w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><\/p>\n<h3><b>HR\u2019s Role in Salary Negotiations<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">You&#8217;ll play a significant role in the hiring of qualified candidates working in HR, and it\u2019s important to be ready for salary negotiations, even if you\u2019re not sure the candidate will try to negotiate. Many people feel a sense of anxiety around engaging in this process, and that\u2019s completely normal.\u00a0 But there are several things you and your company can do to reduce this anxiety.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Being caught off guard when a candidate brings up compensation could cause hiring delays, which leaves the window open for a jobseeker to receive and accept an offer elsewhere during that time. A great way to get ahead of this from the very beginning of the hiring process is to be transparent about salary in your job ads. Currently, <\/span><a href=\"https:\/\/www.cnbc.com\/2022\/01\/12\/states-and-cities-where-employers-must-share-salary-ranges-when-hiring.html\"><span style=\"font-weight: 400;\">several states and cities<\/span><\/a><span style=\"font-weight: 400;\"> require companies to list a salary range in all job listings. These include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">California<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Colorado<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Connecticut<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Maryland<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Nevada<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Rhode Island<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Washington<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Many major municipalities in other states are following suit on this trend, such as New York City. Leading companies in their industries are already adopting this change whether required by law or not, because this gives jobseekers more leverage on the market. Many applicants are choosing to forgo even applying to jobs that don\u2019t post salaries, lest they waste their time applying and interviewing only to find out the company can\u2019t offer what they\u2019re looking for.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Job ads that <\/span><a href=\"https:\/\/www.watchthisspace.uk\/show-the-salary-why-you-need-to-stop-advertising-jobs-without-salaries\/\"><span style=\"font-weight: 400;\">don&#8217;t list a salary<\/span><\/a><span style=\"font-weight: 400;\"> are 25-35 percent less likely to receive applications from qualified candidates. Furthermore, 81.6 percent of people view the salary as the most important aspect when considering whether to apply for a position. Listing the salary from the start and remaining transparent also helps to improve diversity and reduce gender, ethnicity, or ability-related pay gaps.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">As an HR professional, you can contribute to building a sense of clarity, transparency, and honesty with candidates when you help craft the job ad, when you do phone screenings, and any salary negotiation email communications you engage in with candidates. This will help to reduce anxiety on both sides of the table and will likely lead to more positive and mutually satisfactory outcomes for all parties involved. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Remember, your job is to attract high-quality candidates, keep them engaged throughout the entire hiring process, and offer them reasonable and competitive salary and benefits.\u00a0<\/span><\/p>\n<p><a href=\"https:\/\/www.knowledgecity.com\/en\/resources\/whitepapers\/how-to-implement-a-successful-employee-training-program\"><img loading=\"lazy\" class=\"aligncenter size-full wp-image-14968\" src=\"https:\/\/www.knowledgecity.com\/blog\/wp-content\/uploads\/2022\/06\/How-to-Implement-a-Successful-Employee-Training-Program.jpg\" alt=\"\" width=\"1201\" height=\"351\" srcset=\"https:\/\/www.knowledgecity.com\/blog\/wp-content\/uploads\/2022\/06\/How-to-Implement-a-Successful-Employee-Training-Program.jpg 1201w, https:\/\/www.knowledgecity.com\/blog\/wp-content\/uploads\/2022\/06\/How-to-Implement-a-Successful-Employee-Training-Program-300x88.jpg 300w, https:\/\/www.knowledgecity.com\/blog\/wp-content\/uploads\/2022\/06\/How-to-Implement-a-Successful-Employee-Training-Program-1024x299.jpg 1024w, https:\/\/www.knowledgecity.com\/blog\/wp-content\/uploads\/2022\/06\/How-to-Implement-a-Successful-Employee-Training-Program-768x224.jpg 768w\" sizes=\"(max-width: 1201px) 100vw, 1201px\" \/><\/a><\/p>\n<h3><b>6 Steps HR Should Take for Great Salary Negotiations<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">There are several salary negotiation tips that will be sure to give you the confidence you need to feel like a pro:<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><strong>Collect as much data as possible:<\/strong> You can trust that qualified candidates are <\/span><a href=\"https:\/\/www.glassdoor.com\/blog\/words-phrases-to-use-salary-negotiations\/\"><span style=\"font-weight: 400;\">doing their own research<\/span><\/a><span style=\"font-weight: 400;\"> about industry and market standards, so you should be prepared to discuss that with them. The more information you have about what&#8217;s competitive in today\u2019s market, the less time you\u2019ll waste in negotiations, as you\u2019ll be more likely to offer a strong salary right away.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><strong>Assess organizational and team standards:<\/strong> Data from the market isn\u2019t the only important factor to making strong choices regarding salary negotiations. You need to also be prepared to have a firm limit and to be able to speak to why you have that limit. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Be prepared to use notes from the interview process to amplify why the employee <\/span><a href=\"https:\/\/www.uschamber.com\/co\/run\/human-resources\/attracting-employees-to-your-business\"><span style=\"font-weight: 400;\">wants to work for you<\/span><\/a><span style=\"font-weight: 400;\">\u2014do you offer a strong culture that originally attracted this candidate? Can you bring some value to the candidate\u2019s professional development that others can\u2019t? What makes your organization and teams stand out from the rest, and how can you use that to offer a sense of compromise to your applicants who are looking for a higher concrete salary number than you\u2019re able to offer?<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><strong>Open negotiation with a competitive, respectable offer:<\/strong> Honor the experience and background of your candidates by offering them a salary that conveys a sense of respect for all that they\u2019ve accomplished so far. After all, they&#8217;re being advised to do the <\/span><a href=\"https:\/\/hbr.org\/2014\/04\/15-rules-for-negotiating-a-job-offer\"><span style=\"font-weight: 400;\">same thing with you<\/span><\/a><span style=\"font-weight: 400;\">. Absolutely leave room for a counteroffer from the candidate, but don\u2019t low-ball them, either. If they&#8217;re prepared to negotiate, they&#8217;re also prepared to recognize a disrespectful offer right away.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><strong>Listen to your candidate:<\/strong> Start things off right by communicating often and openly with your top applicants. Ask questions to get to know what\u2019s most important to them so that you can bring this into consideration if you decide to make an offer. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">You may learn that your favorite applicant is looking less for a huge increase in salary from their last position and more for a healthy, collaborative team environment. Finding out what drives them and taking the time to respectfully consider what\u2019s most important to them will help you not only attract but retain strong talent. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Be <\/span><a href=\"https:\/\/www.shrm.org\/resourcesandtools\/hr-topics\/talent-acquisition\/pages\/best-practices-building-relationships-people-you-don%E2%80%99t-hire.aspx\"><span style=\"font-weight: 400;\">honest with your candidates<\/span><\/a><span style=\"font-weight: 400;\">, and they&#8217;ll be honest with you in return. Even if you can\u2019t move forward with hiring your top choices, they&#8217;ll remember the experience and share that with their peers.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><strong>Communicate effectively:<\/strong> If you fear you may be reaching an <\/span><a href=\"https:\/\/www.hrlineup.com\/ways-hr-can-success-negotiations\/\"><span style=\"font-weight: 400;\">impasse with your top choice<\/span><\/a><span style=\"font-weight: 400;\">, be willing to embody a sense of humility in your communications. If there are constraints to what you can offer that you can share, do so. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">It\u2019s also wise to highlight the other intangible benefits of the job, such as remote or hybrid work options, professional development opportunities, and other employee initiatives. You can also speak to what your company does well, such as keeping retention rates high. Furthermore, offering your top choices the opportunity to speak with current employees can help them envision themselves working for you and will build rapport and respect. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Essentially, you want to <\/span><a href=\"https:\/\/www.shrm.org\/resourcesandtools\/hr-topics\/talent-acquisition\/pages\/best-practices-building-relationships-people-you-don%E2%80%99t-hire.aspx\"><span style=\"font-weight: 400;\">humanize the process<\/span><\/a><span style=\"font-weight: 400;\"> as much as possible, rather than coming off as a cold and domineering authority figure who doesn\u2019t care about the applicants\u2019 needs.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><strong>Be transparent:<\/strong> There&#8217;s an <\/span><a href=\"https:\/\/www.cnbc.com\/2022\/01\/28\/companies-that-arent-transparent-about-pay-will-be-under-fire-says-salary-expert.html\"><span style=\"font-weight: 400;\">increased demand<\/span><\/a><span style=\"font-weight: 400;\"> for salary transparency on the job market lately, so refusing to keep up with this trend will only diminish the returns you get from the hiring process. It\u2019s an applicant\u2019s market, and they\u2019re making demands for increased pay transparency. As HR professionals, it\u2019s our responsibility to answer this in a way that supports our company\u2019s needs.\u00a0<\/span><\/p>\n<h3><b>Further Resources<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Regardless of the research you do and the time you spend preparing for inevitable salary negotiations during the hiring process, you may still feel a sense of dread or anxiety around the subject. This is a positive thing, because it shows that you care about doing what\u2019s best for all parties\u2014you don\u2019t want to alienate candidates, and you want your organization to be fairly represented to those who are applying for your open positions.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Take your learning journey one step at a time with KnowledgeCity\u2019s resources for recruiting and hiring. \u201c<\/span><a href=\"https:\/\/www.knowledgecity.com\/en\/library\/BUS1579M3\/developing-and-writing-procedures-for-human-resources-professionals\/\"><span style=\"font-weight: 400;\">Developing and Writing Procedures for Human Resources Professionals<\/span><\/a><span style=\"font-weight: 400;\">,\u201d is a course that will help you develop a cohesive structure for your entire team to use, ensuring that everyone appropriately represents your company well and feels united around the same goals. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">From there, check out our course, \u201c<\/span><a href=\"https:\/\/www.knowledgecity.com\/en\/library\/BUS1527M2\/recruiting-high-potentials\/\"><span style=\"font-weight: 400;\">Recruiting High Potentials<\/span><\/a><span style=\"font-weight: 400;\">&#8221; to<\/span><span style=\"font-weight: 400;\"> get a sense for how to seek out the very best talent to fill your company\u2019s vacancies. Finally, \u201c<\/span><a href=\"https:\/\/www.knowledgecity.com\/en\/library\/BUS1155M1\/phases-of-negotiation\/\"><span style=\"font-weight: 400;\">Phases of Negotiation<\/span><\/a><span style=\"font-weight: 400;\">\u201d will give you and your team the confidence you need to reach the trickiest phase of the hiring process\u2014salary negotiation. In this course, you learn ground rules for negotiation, problem-solving tactics, and methods to reach amicable resolution.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The best thing you can do throughout all of this is to remain aware that salary negotiations are about building human relationships. Be respectful and courteous, and you\u2019ll be well on your way to developing strategies that work well for you, your team, and your organization.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Regardless of which side of the table you\u2019re on, salary negotiations are tough and can be quite nerve-wracking. As an HR professional, it&#8217;s challenging to be&#8230;<\/p>\n","protected":false},"author":4,"featured_media":15036,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":""},"categories":[4000],"tags":[693,1315],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v17.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>6 Steps HR Should Take for Great Salary Negotiations - KnowledgeCity<\/title>\n<meta name=\"description\" content=\"Master salary negotiations with these six essential steps HR professionals should follow to secure the best outcomes.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.knowledgecity.com\/blog\/6-steps-hr-should-take-for-great-salary-negotiations\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"6 Steps HR Should Take for Great Salary Negotiations - 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