CV and application documents sent to the dream job. Received an invitation to an interview. Carefully studied all the information about the position and the company and thought about sensible questions for the upcoming interview. Now all that remains is the question of salary. For some people, the idea of haggling over salary during the interview makes them break out in a cold sweat. We explain that this doesn’t have to be the case and how you can confidently and convincingly argue your worth to your current employer with some helpful insider information from the field.
What do I need to bear in mind when preparing for a salary negotiation meeting?
Depending on the type of salary negotiation, there are a few things you can keep in mind to make a positive impact during the interview.
We make a fundamental distinction between salary negotiations for a specific (new) job offer or as part of an ongoing career path. Companies often deal with this topic as part of an annual performance review. You should then prepare yourself accordingly.
How do I prepare for the salary topic in a job interview?
If you are applying for a currently advertised position, you already know the company’s advertised salary expectations. At least the collective agreement classification according to the minimum salary and often also the range of overpayment depending on qualifications. As a rule, this should also correspond to the usual salary structure of the industry or position.
However, we strongly advise you to find out for yourself in advance how the specific position is paid in line with the market. Some platforms provide good services here, such as glassdoor.at, karriere.at, lohnanalyse.at, etc. These often also provide a range or salary range depending on professional experience and training. They often also show differences between federal states or similar.
Knowing your own value and the value of the job for you
Once you know the market value of the desired position, it’s time to reflect on yourself and all other circumstances related to the new job. This could include other benefits and goodies offered by the company, the type and size of the company, but above all your experience, training and references.
Firstly, ask yourself what you can actually bring to the table – completed training, practical experience, reference projects, awards, etc. And what personal characteristics, such as a good network in the industry, specific specialist knowledge that is ideally suited to the job offer and company.
Of course, you should also be able to answer the question – why exactly am I applying for this job? Is this about a planned career move that you are aiming for (but which you may first have to grow into)? Do you want to gain your first practical work experience or are you applying for a similar position that you already hold because key conditions have changed in your current job?
Here we advise you to simply take your own salary slip and check your current classification. The classification depends on your training and professional experience, which will be taken into account if you work in the same field. Information on the correct classification according to the Austrian collective agreement can be found here, for example: https://www.wko.at/kollektivvertraege.
How should I address the topic of salary in the job interview?
The question “what is your current salary” should be asked by the recruiter. You would be well advised not to open the door straight away and keep a low profile for the time being. Your own interest should not be based solely on salary. If the other person doesn’t ask the question, you are welcome to ask proactively.
The topic of salary should be addressed in every serious job interview. We advise you to make a well-argued monetary demand that does not go beyond the realistic framework and makes your own value clear. Make it factually clear that you are not selling yourself short.
Tip: Many companies currently offer a number of benefits and goodies – fitness membership, company kindergarten, canteen, private use of a company car, annual pass, etc. These benefits can often be used to boost your basic salary and create a fair balance.
Should I communicate my current salary honestly?
The principle that “honesty is the best policy” can of course also be applied to the salary discussion setting. Please do not lie. However, you are allowed to keep a low profile and answer in a relational or vague manner. Express it vaguely: “My salary is in the upper third of the industry average“, or “I have a fixed salary and a variable component, which has not yet been finalized, I would have to calculate that first.”
Convince the interviewer that you know your value. For example, when asked where the journey should take you in terms of salary, you can counter: “What is my expertise worth to your company?” Here, you need to skillfully juggle the fine line between a confident demeanor and arrogance. If you have best practices to hand, you can use these, such as what you earned at your previous employer or the extent to which you met or exceeded targets.
Sometimes it can also be a good strategy to accept the starting salary offered on the written premise that you will meet again after a set period of time to discuss performance. The new employer can then better assess your skills and performance and you have created a better basis for negotiation. In this case, you are immediately scheduled for an ongoing salary negotiation (similar to an appraisal interview) and the company sees the bite you bring to the table.
Salary negotiations for existing employment relationships
In preparation for a salary negotiation in an existing employment relationship, it is always advisable to let actions speak for themselves. So make a conscious effort in advance, record the result and present it accordingly during an appraisal interview. Examples of this could be, for example, that you have successfully taken on more responsibility, driven a project forward on your own initiative, identified and implemented process optimizations and the like. This shows your counterpart that you enjoy and are interested in the joint success – that’s half the battle for a salary increase.
Money is not everything
We know from management science that money has an average duration of three months as a motivator. This means that a salary increase would be needed every three months to serve as a motivating factor. However, it is important not to feel undervalued. This inevitably leads to demotivation.
Conclusion: Think carefully about what is really important to you in a job – this can range from the team, the corporate culture, the variety of activities and much more. and much more. Consciously weigh up which factors are very important or very unimportant to you. This way, you will make the right decision and go into the interview well prepared for all salary questions.
