How To Make The Compensation Negotiation better ?
The role that candidate experience plays in the process of recruitment is undeniably crucial as we discussed in our previous article
Related : Raise The Candidate’s Experience Bar Using These Simple Tips
No matter, the candidate gets selected or rejected, proper care must be taken to make the overall experience better, right from rolling out new vacancies to declaring interview results. This will, to an extent, ensure that you do not receive a negative publicity.
Although the entire recruitment process is crucial, usually things come to a stand-still at the time of salary negotiation, which is considered as one of the most important and challenging phase of Recruitment. Most of the key decisions are made at that very point, so it is extremely essential to handle this segment with utmost care. You neither want to overpay an undeserved candidate nor want to lose a potential candidate just because he/she is not satisfied with the compensation.
The following tips will help HR recruiters to easily arrive at a figure that satisfies both the candidate and the company budget.
Be aware about your salary negotiation limits.
Establish your negotiation limits on the basis of your internal salary ranges, compensation for employees in similar positions, current economic climate and company profitability so that you don’t end up negotiating on salary structures that your company cannot afford.
Indicate whether or not there is any scope of negotiation in the very initial stages.
Maintaining this kind of transparency from the beginning itself, will help simplify things at later stages.
Do a thorough research on the candidate’s most recent salary and benefits provided.
Ask for the candidate’s current salary at the time of applying for the open position or sending application through mail. As a proof, you can ask for W-2 forms or tally it from former employers while doing reference checks. This will provide a clear picture about the candidate’s expectations.
Even if you are influenced by the candidate’s potential impact on the organization, keep reminding yourself, organizations have limits.
Don’t settle for any demand that you will regret in the later stages. Save yourself the years of headache and unaffordable costs.
Recognize that, even if the salary you’re offering is not negotiable, some candidates might negotiate in other areas.
These areas include benefits provided to the employees, eligibility for health benefits, a joining bonus, extra paid time offs, sales commissions, transportation allowance, relocation expenses, and the like. So, do consider these aspects before sitting in the final discussion.
R
emember, compensation negotiation isn’t about winning, unless both the parties are in a win-win situation.
If any of the one feels that they have surrendered in any way then both parties lose. Thus, by keeping the compensation offered transparent throughout the process will help in minimizing misunderstandings and eventual disappointment and help you grow as a potential recruiter and preferred organization among job seekers.
