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The C-Word: Broaching the Touchy Subject of Compensation with Sensitivity and Confidence

The mere mention of the word 'compensation' can send shivers down the spine of even the most seasoned, stalwart hiring manager. Even if you've got hundreds of interviews under your belt, the awkward dance of false starts, staring contests, and stony silences that commences with the discussion of salary can still be disconcerting.

To compound the problem even further, there are dozens of confusing "rules" about salary negotiations floating around out there, many of which seem to stand in direct contradiction to one another. In fact, many candidates come to their interviews armed with their own set of often-misguided notions about the salary negotiation process. All too often, the end result is miscommunication, mutual suspicion, and crossed wires. Clearly, this is not the ideal way to start off a potential working relationship.

Always Opt for Transparency  

According to Del J. Still, recruitment consultant and author of High Impact Hiring: How to Interview and Select Outstanding Employees, there's a better alternative. Still contends that it's best to steer clear of the all-too-common compensation head games and reverse psychology tactics. Instead, the most effective approach to this touchy subject is one that is forthright and straightforward.

By taking the lead in the compensation discussion, you can set a tone of honesty, trust, and confidence that behooves you, the organization you represent, and the candidate. Use these strategies to fine-tune your approach to the salary discussion.

  • Relegate salary talk to the end of the interview.

    Although compensation is the big question mark that's usually hanging over the entire discussion, it's best to reserve money issues for the end of the meeting. It’s best to determine whether the candidate is a good fit on his or her own merits before you even broach salary negotiations. If the applicant wants to discuss compensation at the beginning of the sit-down, warmly but firmly reply that it's your policy to go over some other basic information first.

  • Play it straight.

    It may be tempting to try to use some diversionary tactics and evasive maneuvers when salary talks commence, but a more straightforward approach will pay off for both of you in the long run.  If the candidate is holding out for you to name a figure, go ahead and give in. It's more efficient to get a clear picture of both your expectations upfront than to dance around the issue for half an hour.

  • Ease into it.

    A straightforward approach to salary discussions doesn't have to be blunt. Instead, finesse the candidate with carefully-worded questions and inquiries. For example, instead of asking, "How much are you earning at your current job?," try the more delicate "I'd like you to review your salary history for me." Rather than saying, "What is the minimum salary you'd take?," opt for "How can we best reward you?"

  • Put salary into perspective.

    Money is important, but it's not everything. Most candidates are looking for fulfillment, opportunity, challenges, and professional development along with fair compensation. Frame your discussion of money with the other benefits and opportunities the position would offer the applicant. Ask about the types of non-cash compensation that they most value.

Salary negotiations will probably always be accompanied by a tinge of awkwardness, simply because our culture typically shies away from frank talk about money. But by taking the lead and modeling a straightforward and open approach to this inevitable phase of the interview, you'll be able to defuse a lot of the anxiety that surrounds the "c-word."


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