After screening several CVs and interviewing candidates, you finally find a potential one. Congratulations! Now, there’s only one obstacle to complete your hiring process: the salary negotiation. However, this is the crucial stage, as candidates can decline your job offer if it is not attractive enough.
How to make sure your salary negotiation makes the candidate receive your offer happily?
5 techniques below will help you effectively solve this puzzle:
Decide your salary ranges
First, do your research about the labor market and salary range of your hiring positions. A suitable reference for your opening is not only the job title but also the company’s industry and business scale. In addition, you can also refer to opinions from experts, such as Adecco Salary Guide 2019.
When determining the C&B package, you need to make sure that your offer is competitive with the market’s standard.
Know your candidate
A clear understanding of your candidates’ expectation can go a long way in your negotiation. If possible, ask about their latest salary and expectation in the application form, or check with their former employers in the reference check process. The information will give you better preparation for the coming discussion.
You will also need to take into account the candidate’s reasons for the expectation and carefully consider if they are reasonable enough.
Ensure that your candidate understands the job
The candidate’s desired salary usually going from their job duties. Therefore, you should clarify the job responsibilities to help the applicants adjust their expectations and save yourself time and effort in the negotiation.
Mention other compensation
Aside from salary, other compensation such as commissions, performance bonuses or rewards could help to impress the candidates. Be transparent and open about the compensation policy will help them fully understand the monetary value of your offer.
On the other hand, non-monetary rewards count, too. This ranges from training programs, healthcare benefits, to free meals, vacation days, work-from-home option, etc. An attractive compensation package can be as compelling as the high salary offer.
Increase the offer gradually
Offer the ceiling first is not recommended, especially if you have a tight budget. Instead, start with an average number. Remember not to make it too low, as the candidate will find it a hassle to ask for a higher raise later and possibly consider another offer.
Gradually leveling up your offer when the candidate starts negotiating. With this strategy, you can successfully manage your budget, while the candidate also feels satisfied with the negotiation outcome.
Salary negotiation can be stressful for both parties. Hence, stick to these suggestions to ensure your qualified candidate won’t move on to better things. If you need a helping hand from HR experts, don’t hesitate to contact us via our email firstname.lastname@example.org or our telephone (84) 28 3636 5811 (Ho Chi Minh City Office) or (84) 24 3218 1190 (Hanoi Office).