Career Management Alliance Blog

Applying for a position that pays a lower rate or seeking one in which the candidate offers to take a lower rate of pay thinking that would give them a competitive edge is a bad idea.  Acceptance of a pay cut below market suggests a loss of confidence and a willingness to make a sacrifice that raises flags.  It is naïve to believe that an employer will offer a market rate after a message that salary is negotiable below the prevailing wage.Some job hunters mistakenly believe that agreeing to take a pay cut or work for less is a good strategic move.  It also suggests that companies are more concerned about the salary, rather than quality.  This is simply not true.

Managers that “negotiate” a lower salary tend to congratulate themselves on their negotiation skill, rather than any willingness on your part to come on board.  And, it not only will not be appreciated, but doubts would be raised to the willingness to work for less. 

After accepting a lower rate people quickly understand the mistake they made, especially when they realize others in the organization are making the going rate, and made no sacrifices.  There is no reason to expect a lower salary.  Organizations pay what they must to get the quality employees they need and desire.

Trying to second guess an offer is at best a waste of time and at worst, dangerous.  Salary discussions should commence with the offer, not before.  Focus exclusively on the job, capabilities, interest in the organization and the challenges in pursuing a successful tenure.  Salary discussions are a test of an individual’s self esteem.  Offering or agreeing to a cut or below market rate sends a clear signal that self worth is low. 

Posted by Judit Price

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Are career opportunities for older workers expanding?

I read a recent article offering strategies for career changers over 50 and it piqued my interest - seeing as I am among the 50 something set! This and other articles have stated that the shrinking pool of employment will open up more opportunities for older workers and that older workers offer benefits over younger workers - more loyal, dependable, and likely to stay in a position for a longer period of time. But is it really true that employers will be receptive to welcoming older workers back into the work force, even if there is a shortage?

A great majority of my clients over the past ten years have been 45 or older, unfortunate victims of corporate down-sizings. The majority of them were in the prime of their careers, having been steadily and progressively employed in their fields. As their coach, I helped many of them make successful transitions to similar employment or to new careers in some cases. Unfortunately, some of them were in the same position again when they were laid off several years later. They were in the vulnerable role of “last hired, first fired” or simply in a volatile industry such as the technology field several years ago. Sales people seem to have the toughest time as they get older. Many find they can’t continue to exceed sales quotas that are constantly being raised especially when they are competing with their younger highly ambitious sales counterparts.

So what kinds of opportunities are out there for the older, semi-retired or career changing 50 or 60 something professional? A 2003 survey by AARP identified the 25 best companies for older workers based on benefits and work/life balance. The companies represented in their survey are concentrated primarily in the health care, financial, and higher education fields, as these are suffering the greatest impacts of the worker shortage. And technical expertise is always in demand, providing options for consultants, as long as their expertise has not been outdated.

If you are in one of these select fields, you may feel some relief if you are looking to work for awhile or returning to work after retirement. But if you are an aging sales representative or in a more volatile industry, you are still at risk. A study conducted in 2006 by the University of Michigan found that only half of older workers (56 or older) that were displaced found new jobs at their level.

What can you do if you are at risk? I recommend you visit an excellent online resource on the Quintessential Careers site Job and Career Resources
for Mature and Older Job-Seekers — Including the Baby Boomers. It has some great tips and information. You can also develop new skills such as technology skills or other technical skills that are marketable. Finally, if you find yourself unemployed, unhappy in your job or at risk of losing your job and don’t know what options are out there, hire a career or life coach who can help you find your passion and support you to make a successful transition. It’s worth the investment.

Posted by Julianne Franke

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According to a recent survey by Mercer HR Consulting, mentioned on the Compensation Force blog, salary increases in 2007/2008 will average 3.5% and be approximately 5.7% for top performers. One of the best ways to ensure that your performance is rated on the high end of the scale is to take ownership of the performance appraisal process. By documenting your achievements each time you complete a significant project, milestone, or job task, you maximize the chances of your accomplishments being recognized at review time. Make sure to quantify your achievements by showing how the projects you managed helped make money, save money, save time, maintain the business, or grow the business and use numbers, dollars, and percentages whenever possible to validate your accomplishments.

Ideally, you are receiving feedback on how you are doing against your job goals throughout the year, but in reality, this doesn’t always occur as frequently as most
employees would like. By consistently recording your successes throughout the year, you can improve your chances of garnering a more lucrative increase at review time.

Posted by Barbara Safani

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According to the Compensation Force Blog, 2008
salary increases are expected to average 4%. With that in mind, job
seekers should consider strategies for negotiating their total
compensation packages that go past the base salary. By negotiating a
signing bonus or pro-rated bonus based on individual or company
performance, job seekers may be able to barter for a more generous
total rewards package. Stock options and company perks like cell phones
and laptops when appropriate may also be requested to help “sweeten the
pot”. Companies will only budge so far when negotiating a performance
increase. Try to negotiate more of the “extras” before you take the job
to help compensate for some of the “average” salary increases you may
be offered along the way.

Posted by Barbara Safani

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In an employer-driven market, how much negotiating power do you, the job seeker, really have? The answer lies in your value to the company.

In a booming economy with high employment numbers, companies want valuable employees who are investments rather than expenses. If you cost a company less than the amount you will make for them, salary is open for negotiation.

The rule of “who goes first” never changes – the company should put their offer on the table for you to fairly evaluate. You can then create value (negotiate) using C-A-R (challenge, action, result) accomplishments. If you show “how you did the job” rather than just “what you did on the job,” you begin to establish yourself as a solid investment.

When how you did the job translates to your ability to solve problems, resolve challenges, and improve situations, you have moved to in–demand status.

Once you have positioned yourself as a candidate who can deliver, you can negotiate your salary as well as performance-based bonuses as a part of your overall package. It’s a win/win for both of you. If you perform, you get the bonus and solidify your value … and your employer is happy because you positively impacted his bottom–line.

If the thought of negotiating salary causes you to shake in your shoes, get some help. I highly recommend picking up a copy of “How to Make a Thousand Dollars a Minute in Salary Negotiations.” This easy–to–read guide will provide you with confidence-producing scripts you can tailor to suit your personal style … and help position you to win the salary you deserve.

Posted by Cindy Kraft

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