A paradigm shift can currently be observed in the labor market: in 2022 and 2023 the number of vacancies in Germany was at a record high, and there was a slight decline at the beginning of this year. Nevertheless, around 800,000 positions are currently unfilled. A shortage of skilled workers and a general increase in the need for personnel following the pandemic means that many companies are currently having difficulty finding suitable employees to maintain their own competitiveness. It is therefore all the more important that employees accept this new situation and know their personal achievements, qualifications and their own – which has recently increased – market value as best as possible in order to score points with the HR manager and negotiate the best possible deal. Of course, this puts employees in a much better negotiating position. What else do employees have to consider when talking to their boss about their money?
“You don’t talk about money.” This motto has become deeply anchored in people’s minds, especially in Germany. For this reason, salary negotiations at work are an unpleasant topic for many people and receive little or no space for discussion in most companies. Regardless of the industry, decision-makers fear that disclosure will spread envy and dissatisfaction within their own ranks or that the financial planning and stability of the company will be shaken. However, employers should be more interested in dealing with this sensitive issue professionally and transparently in order to promote both employee satisfaction and long-term company development. But of course the cultural taboos already mentioned play a major role here. In many societies, it is considered rude or inappropriate to talk about your own salary or even ask about someone else’s. This reluctance means that this fundamentally important issue is often negotiated behind closed doors. Many people are afraid to discuss their income with colleagues or their boss for fear of appearing greedy or ungrateful. So how can employees make the next salary negotiation positive despite the lack of a transparent structure?
Basically, a salary negotiation is not that different from other professional conversations: preparation is crucial. If you want to receive payment that is based on your own value, you should know this for yourself. In order to establish a good basis for argumentation with your superior or HR manager, it is worth researching information in advance about industry-standard salaries for the respective position – and pay can even vary significantly regionally. Online rating platforms, job exchanges or even websites that are specifically designed for salary comparisons often provide an initial reliable framework. Conversations with direct colleagues can further flesh out this first impression. Learned specialist knowledge or a high level of experience in the respective industry allows you to have a strong position in salary negotiations. Anyone who then prepares a list of their previous successes or achievements to support their demands with numbers, data and facts can start the conversation with healthy self-confidence.
As is so often the case in life, when it comes to salary negotiations, the right timing proves to be essential for achieving the best possible result. The annual meeting, which is established in many companies, is particularly suitable for addressing your own wishes or expectations. Good business years or successful project completions are also an opportunity to ask your superior for a one-on-one conversation. Employees should not get in the door straight away. Anyone who starts the conversation with a friendly introduction or even flatters the other person a little will create a solid foundation for the rest of the conversation and avoid initial tensions. As soon as it comes to direct salary negotiations, however, the sharper blade has to be unpacked: It is important to formulate clear demands and wishes. The motto that the initiator should stick to is firm, but still flexible. For example, if an immediate salary increase is not immediately possible, bonuses, additional vacation days or other benefits can be negotiated. Basically, employees should not be discouraged, as an initial rejection does not mean the end of the negotiation. Quite the opposite: Feedback strengthens your own position and prepares you perfectly for the next round. (Ralph Elcheroth)
