How to Negotiate a Better Salary in 2023

With the cost of living on the rise, you might be wondering if it’s time to ask your boss for a pay rise. Asking for a pay rise is never an easy task. While some companies offer them freely and include this in your annual review, others will keep you on the same salary for as long as you’re willing to keep working for it.

The key to asking for a pay rise is to be prepared. You need to do your research, know your worth, and approach your boss with a considered argument that outlines why you deserve more pay for the work you are doing. If you’re ready to take this next step, read on to learn more.

Who can ask for a pay rise?

Most people can ask for a pay rise at any time, unless they are bound by a contract that stipulates their pay. For example, if you work in the NHS, you’ll be paid according to a “band” system. This ensures fair treatment across the board and ensures that people are paid the same for the same work. This is more common in public sector roles. If you work in the private sector, you should be able to ask for a pay rise.

Do your research

If you suspect that you are being underpaid for your role, the advice from CMD Recruitment is to confirm this before you request a pay rise. Going into your boss’s office and asking for a specific amount is far more compelling that walking in and asking for “more”.

Do your research and see what other companies are paying for new starters in your role. You may have advanced since you started the role, and your responsibilities may have progressed, even if your job title hasn’t. Use job boards and sites like Glassdoor to see how much other companies are paying for your role.

Cast a wide net to see what you could be realistically earning elsewhere. If it’s a lot more than your current role, you’ve got the green light to move forward with your request. If, however, you discover that your current salary is in line with the current market, it might be better to seek a promotion if you want to earn more.

Prepare for your meeting

You need to present a business case to your employer that shows you are bringing more value to the role than you did when you first started and first negotiated your salary. Think about how your role has changed and what additional responsibility you have taken on.

Sometimes, the length of time you have been with the company is enough of a benefit to request a higher salary. Prepare your argument by outlining what you have done for the company, what additional value you bring, and what the current market value is for your role.

Ask for a specific number

When you ask for a pay rise, try to be specific. You need to show that your request is based on research and that you know your value. The only way to achieve this is by presenting them with a number. Be realistic and keep it in line with the current market value. However, also make sure that you are ambitious with your figure.

It’s also a good idea to go a little higher than you hope as this will give you room to negotiate down. This will show your employer that you are being reasonable and willing to compromise, but ultimately, you still end up getting what you want.

Interview elsewhere

It’s common to feel downtrodden and lack confidence when you feel you are being underpaid for your job. When this happens, we start to devalue ourselves. One way to overcome this is to speak to other companies that will be more enthusiastic about your skills and contributions.

Interviewing for other jobs will give you bargaining power, as it means you can afford to walk away if your request is denied. Even if you don’t want to move to another job, it will help your position if you can show your employer that you are in demand elsewhere. They will then have to consider the potential cost of hiring someone to replace you, versus a small increase in your salary to help keep you around.

Be prepared to walk away

If you feel you are being grossly underpaid for your work, you need to be prepared to walk away. Having another job lined up can make this easier to do. If your employer would rather hire someone new, then you can take this as a sign that they don’t value your contribution to the company.

It’s not pleasant when this happens, but it certainly does. In cases like this, instead of trying to negotiate a better salary with your current employer, you should look for a better starting salary with a new employer.