Guide To Negotiating Salary With Candidates

Have you ever lost your ideal candidate while negotiating their salary? Negotiating salary can be tricky for an employer and it’s important that you’re prepared when you get to this step. The top candidates may have more than just your job offer on the table and salary is a huge part of that decision. In a survey by Jobvite, 75% of recruiters have noticed an increase in salary negotiations from candidates. It’s likely that the candidate will try to negotiate a higher salary and you need to be ready so you aren’t caught off guard. Here’s your guide to negotiating salary with candidates:

Before you ever get in the room (or video call) with the candidate, do your research on salary range for this position. It’s important to consider location, years of experience, and the demand for the skills the candidate possesses. Get an idea for the salary range that you can work within.

You need to know how high you can go with the salary. Establish your ceiling of when you would say “We can’t go that high”. If you don’t establish your limits, you may be tempted to offer a top candidate the high salary they’re asking for. This can cause problems in your already established salary structure as well as cause dissention among employees that are already there.

Performance bonuses and non-cash compensations can be great alternatives to offering a high base salary. While negotiating, consider revisiting benefits like a flexible work schedule or vacation days. If you sell the opportunity and show that there are opportunities for growth, for ambitious candidates, this can be as good as receiving a higher salary.

You already know what your limits are and how high you can go with the compensation. Be prepared to walk away if the candidate becomes evasive or uninterested. Do your best to communicate clearly with the candidate and sound out their doubts. If they are still uninterested, thank the candidate for her or his time and then move on.

Keep in mind that the candidate is a person too and has bills to pay. Do your best to make their salary expectations work as well as making it work for your company. If you can make it work for both, it’ll be a great start for the candidate and shows that you’ll be a great employer.

Once you have successfully negotiated and agreed a salary with the candidate, get it in writing. In the official offer include the agreed base salary, bonuses, benefits, etc.