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How to Negotiate a Pay Rise when you're being Underpaid

18/11/2015

 
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Negotiating a pay rise, equal pay, salary increase, gender pay gap


Please Sir, may I have more? I want more.
​

It happens in most workplaces, and it will undoubtedly happen to you at some stage during your career.
​
You've been working in the same job for a while but you haven't had a pay rise.  Or perhaps you've had annual pay rises but they've been pretty unimpressive. 
A new person joins the team doing a similar job to you and you learn that they're earning more than you.  They may have told you this or you may have seen the salary indicated in the job ad. Employers can no longer restrict employees from discussing salaries. And it's also a fact that men generally negotiate higher salaries than women.
 
So now you know that your new colleague earns more than you and, to add insult to injury, your boss has asked you to train them!  You feel aggrieved and rightly so.​
​

​Research thoroughly salaries across similar job roles and market sectors

​Although in the UK we have the Equality Act - which incorporates the provisions of the Equal Pay Act 1970 - equal pay for equal work - it's very hard to determine whether or not a job is "equal".  So you must do your research. 

​Gather the facts based on salaries both in your workplace and in the marketplace across broadly similar roles - not just in terms of duties performed on a day-to-day basis, but also additional responsibilities such as leading teams.  Jobs are not always equal, regardless of job titles.​

Consider what added value you are delivering to your employer

Think hard about the added value that your employer is getting from you
  • Have you streamlined processes resulting in significant savings?
  • Have you secured major deals or helped your employer break into new markets?
  • Have you stepped up and consistently delivered over and above your remit?
  • Have you assumed additional responsibilities since your last salary review?
Then, armed with your facts - and you must have FACTS, not just NOTIONS - ask for a meeting with your manager.  Whatever you do, don't spring this on him/her.  Ask for a meeting and tell them you want to discuss your remuneration but don't request this until you have all your ducks in a row.

​During the meeting put forward your case for a salary increase

  • Remain calm and composed as you state your case for a pay rise. 
  • Tell them you believe you are being underpaid for the role you perform.
  • Tell them this is making you feel undervalued for the job you do.
  • Provide evidence of your colleague's pay or examples of salaries for similar roles in the job market.
  • State that you would like parity with your colleague and/or with marketplace rates.

​Wait for it... get ready for excuses for not giving you a pay rise

More often than not, your boss will come back at you with a list of reasons why it's not possible to give you a pay rise:
  • The Company's isn't performing well
  • The Company just lost a major customer
  • The Company's expansion plans need lots of investment
  • The Company only reviews salaries in January
  • Your colleague is better qualified than you (to do the same job)
  • Your colleague has more experience than you (but is doing the same job)

​Do not let these excuses dictate or change the course or purpose of the meeting

This is where assertiveness comes in and it's the single most important thing I learned at a training seminar as part of a course that I studied with the Open University.  On my return to work I immediately asked for a salary increase based on this technique and I got one - a substantial one at that! 
​
Here's what you don't do...  You do not debate the points your boss just made. Instead you must 

Turn the discussion back to your purpose, which is to justify a salary increase

Say you appreciate the points made but this doesn't alter the fact that you are doing the same job but being underpaid and undervalued, and you are seeking parity with your colleague and/or market rates for similar roles. 

Allow time for management to consider your request

There's always the possibility that the lack of parity is simply an oversight and your boss might agree immediately. They might even agree to backdate it - indeed, there's no harm in asking for any pay rise to be backdated.
 
Alternatively, they may say they need time to consider your request - perhaps they need to discuss it with someone senior or with the HR department. You must allow time for them to do so.

​Set a deadline

​Before the meeting ends, try to fix a date to review your request - one week, two weeks. Try to be definitive and not open-ended.  This needs to be resolved.
 
After the meeting send your boss a brief email thanking them for their time today and for considering your request. And say you look forward to hearing back from them by  [agreed day or date].

​Be prepared to compromise

You might not get everything you ask for immediately - perhaps they'll suggest incremental increases over, say, one year.  Or you may be able to negotiate training sponsorship, increased car allowance or some other benefit in kind.  Consider beforehand what you're prepared to settle for.  That way you won't make rash compromises during the meeting.
​At all times remain calm, polite and reasonable.  Don't let the meeting escalate into a debate or heated argument. This is a business meeting, a negotiation, so don't be confrontational.

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Equality, Equal Pay, Gender PayGap, Parity, Salary Negotiation, Resignation, Employability

Do not threaten to resign unless you're prepared to follow through

DO NOT THREATEN TO RESIGN if your request is denied - not unless you're prepared to follow it through.

​You may well be inclined to jump ship, but my advice is to NEVER resign until you have another job to go to. It's always more difficult to secure another job when you're unemployed, and it's also more difficult to negotiate your starting salary at a new workplace.  When you're still in employment you have more bargaining power.

© Barbara Patrick at Compelling CVs
Career, Job Search and Employability Coach, CV Writer, LinkedIn Profile Writer, LinkedIn Trainer
 
Get in touch if you need help with any aspect of your job search. I'm always happy to talk.
Email: mail @ compellingcvs.co.uk
​
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    Barbara Patrick, Career, Job Search and Employability Coach, and Professional CV writer at Compelling CVs in Berkshire, UK

    Thank you for visiting my website and welcome to my blog.

    Barbara Patrick, Career Coach, CV Writer, Interview Skills Training, LinkedIn Training and Profile Writing, Berkshire, UK
    Barbara Patrick, Career and Personal Development Coach, CV Writer, LinkedIn Profile Writer and Trainer, Interview Skills, Job Search and Employability Skills Trainer
    If you have any questions or if you'd like me to write about a specific subject, please get in touch.
    My success is built on my clients' successes, so I do my utmost to help every client achieve their goals - however great or small.


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