Negotiating Items That Are Nonnegotiable
Peter received a written offer from a major corporation. He liked it all except the job title: he'd been offered the title of vice president, but he wanted senior vice president. The company policy was that no one could be hired from outside with a title higher than vice president.
I said to Peter, "Are you willing to walk away from the job if you don't get the title you want?" I needed to know that so I could help Peter plan his strategy. Peter said he would walk away from it. Then I needed to know why. Peter said he had had the title of vice president fifteen years ago, and it was too much of a blow to his ego to go back to that title. Furthermore, he felt he would not be able to do a good job if he had the lower level title, because everyone would know what his title was and they would not respond to his requests. He felt he would fail in the job if he had the title of vice president.
The rule here may surprise you. If you are at an impasse where the hiring manager wants to give you one thing and you want another, you have only one recourse. Talk about the job! If Peter had directly addressed the title issue, they probably would not have come to an agreement. He would have been quoted company policy. In fact, when job hunters are negotiating, hiring managers sometimes get the impression that the job hunter does not care about the job, but only about the salary and the benefits. Therefore, be different. Talk about the job to reassure him that the job is what is most important to you. Below is a shortened, paraphrased version of the letter Peter sent to the hiring manager. Please note the italicized part, which is an important strategy for you to use:
I was thrilled to receive your offer to head up the Rickety Division, and am eager to get in there and work with you to move it in a new direction. I know we will hit all of the targets you and I spoke about.
I was pleased with the compensation package you offered, and am also glad about the car situation. However, I find it difficult to accept the offer with the title of vice president. I had that tide fifteen years ago, so I feel I'd be going backward in my career. But I am also concerned that the lower title will affect my credibility and effectiveness.
I am sure we can come to some agreement. I am very eager to dig in and am looking forward to hearing from you.
Peter did not reject the offer: he said he really wanted to work there, but would find it difficult to accept. It took three weeks for the company to get back to him and give Peter the title he wanted. But that was not necessarily the only result that would have been positive. For example, the company could have said, "Come in and get started, Peter. We can give you the title after three months." Or it could have said, "Peter, I'm sorry, our hands are tied on this one. But I assure you that you will not experience the problems you are dreading. Our employees will know you are division head, and that will matter to them more than the vice president title. Lewis Segal came in as vice president only two years ago, and look at him now."
Peter kept the process open until he heard the final offer. That allowed him to hear the best offer, or to change his mind and take the job with the lower title and the reassurances from the company that it would be OK.
That's what you want to do also. Hear the entire offer before you decide. Do not accept or reject any job until it is offered to you. Before their first interview with a company, some job hunters say, "I really want this job," or, "I don't want this job." They don't even know what the job is and they have already made up their minds. This is the wrong attitude. Go into each interview intending to make it into the best job for you and for the company. This means you will probably have to negotiate both the job and the compensation.
When There Is An Impasse
Let's review the rule to follow when you come to an impasse when what they offer is different from what you want:
Talk first about the job. Then explain why you want something.
Let's say, for example, you want a company car. Don't say, "I want a car." Instead, say, for example, "I appreciate your offer, and cannot wait to get started. I know we will really turn that place around. I am looking forward to starting on the twenty third, and am pleased with the package you have offered. However, I was wondering what we might do about a car. I was thinking that I would have to do a lot of traveling between these three cities, and wonder what we might do about that. I have no car at present, and I think that renting a car might be a big expense. Is there any possibility that we could lease a car? It would be much cheaper."
Win Win
You want a win win situation one you can both live with. After you have received a job offer, the situation is no longer adversarial. You and the company are both on the same side of the table trying to make this deal work.
Actually, it is up to you to control this part of the process. You have the most at stake. The fact is, once a hiring manager has made an offer, he or she usually wants to close quickly. Her job is done. Now your job begins.
Therefore, you must make sure you bring up everything you want in a way that is collaborative. Set a tone that reassures the hiring manager that you are thrilled to have the job, cannot wait to get started, but just have a few details to work out. You can say, for example, "I really appreciate your spending this time. Some of these things may not mean much to you, but they mean a lot to me."
Look At The Entire Package
Look at the entire compensation package. Do your homework so you know the typical compensation for a similar position in the industry, and make allowances especially in the area of benefits as you move from one industry to another. The benefits may differ, but they should be on a par.
Find out which items are automatic benefits and which are negotiable; every company's plan is different.
Be reasonable. In the past, it has almost been a given that job seekers would move only for a salary increase of 20 percent or more. In these economic times, lateral moves are much more common. Know your market worth.
Search Firms
Search firms must know the range of salary you are making or the amount you are looking for. They do not need an exact amount.
Ads
In answering ads, you will rarely give your salary requirements. The trend at the moment is for many ads to read, "Please state salary requirements." Most job hunters do not, and the hiring company does not exclude them. Stating your salary or requirements not only puts you at a negotiating disadvantage, it also allows you to be eliminated from consideration because you are too high or too low.
On the other hand, some ads state, "You will absolutely not be considered unless you state your salary requirements." Then, you should state them.
In summary, think about where you are in the four steps. It will help you concentrate on what you should be doing. If you still have competitors, for example, it is too early to negotiate salary. And practice. This takes a lot of skill but is worth it when you wind up getting paid what you are worth.
