Friday, April 26, 2013

Landing A Job And Negotiating Salary

Read Time: 5 minutes

Shortly after graduation, Chuck began to gather background on the firm whose creative director had lectured to his advanced UI/UX class about cognitive research as a guide to messaging architecture. Chuck found it thrilling and was sold.

Chuck studied the site, downloaded its book, read and reread it. He did the usual Google and LinkedIn searches, followed the firm on Twitter and studied the sites and interfaces it had created. Then, through a friend, Chuck landed an invite to a party in company’s offices — a celebration of a recent client product launch.

Chuck found the office in a redeveloped, light-manufacturing area near the Bay. The building had floor-to-ceiling windows on the north side, where Chuck found the guests chatting.

Chuck had prepared a series of questions, but asked just one, “How are your competitors responding?” The speaker turned toward Chuck and answered in some detail. Later, one of the senior developers complimented Chuck on his question and asked about his background. Chuck explained his interest in the firm and asked if they had any openings.

The conversation led to an interview and a freelance UI planning assignment. Chuck spent the summer freelancing for the firm and mountain biking. He was in heaven.

Just after Thanksgiving, the practice leader told Chuck that budget was available to offer him a full-time position starting the first of the year. Over Christmas week, he shared the news with his family and asked how to negotiate the next steps. He was particularly concerned about time off as he loved mountain biking.

Chuck’s mom pointed out that his hourly freelance pay ($50) was likely higher than what they’d offer in salary. She said freelance rates were higher because the firm did not provide healthcare, vacations or other benefits. Mom also noted that freelancers commanded higher rates because they risked periods of unemployment.

“Pay rates often become an issue when a firm hires a former freelancer,” said his mom. “Management finds itself constrained by the existing salary structure, so they have to offer substantially less on an hourly basis. Also, Chuck, forget about the lengthy time off for mountain biking and snow boarding. They’ll expect you to be on the job every day.”

Chuck hadn’t thought this through. He was just doing the work and enjoying himself, but he still loved the firm and wanted that full-time position.

His older sister had just negotiated her salary with a large consulting firm. Her advice was to think of the $40,000 he’d been paid so far as a baseline and to mention the annualized $100,000 as a friendly, but throw-away request. Mentioning “hundred” sets the top of the range — with the bottom being $40,000 — and it lets the other party know you are valuable but reasonable. She thought Chuck should ask for $80,000 but be willing to accept $60,000, which would leave a good margin for them.

Chuck’s appointment with the practice leader was on January 3. He arrived early thinking: “I shouldn’t have had the second cup of coffee. I’m probably too alert.” Sally, the practice leader, smiled and said, “Chuck, I’m so happy that we can offer you this position.”

“Thanks, Sally, I’m really looking forward to being here full time.” Then he went ahead: “Sally, I did the math and discovered that if I stayed busy as freelancer I’d make a $100,000 this year.” Then he paused, feeling anxiety sweep over and hoping that he wasn’t blushing.

Sally’s smile disappeared. “You know, Chuck, freelance rates are much higher than the salaries we pay.”

Chuck interrupted, remembering that his sister had said to establish his anchor before Sally had a chance to establish a number. “Sally, I understand, so I thought $80,000 would be appropriate. He paused, feeling better. Sally didn’t seem angry; everything seemed okay.

“Chuck, your work has been terrific, but we have pay scales based on job categories, and I can’t pay you higher than others. It wouldn’t be fair.”

Chuck remained silent, as his sister had instructed.

Sally went on, still friendly but in a more serious tone. “Chuck, we’re able to pay you $70,000 plus a full benefits package with healthcare and two weeks vacation, after a year.”

Chuck thought, “Wow, 10 grand higher than expected, but a year without vacation? I can’t do that.” And he said, “You mean I can’t take vacation for a year?”

“Not paid vacation,” Sally replied.

Chuck pulled out his smartphone and did the math. He said: “That’s $1,400 a week. Could I take unpaid vacation?”

“I guess you could,” Sally replied. “That would be up to the demands of the project and your team members.

That felt better. He wanted the job. He wanted to say yes, but sis had been insistent. She had said, “No matter what they offer, think about it overnight.” So he thanked Sally warmly and asked her permission to think about it.

The next day Chuck called Sally, said yes enthusiastically and confirmed the details.

What can we learn from Chuck’s experience?

  • Being intensely interested is a big advantage. Let your feelings show if you “fall in love” with an opportunity. Genuine interest is immensely appealing.
  • Thoughtful questions demonstrate sincere interest.
  • Freelancing often leads to well-paying positions because it allows the client to see the candidate’s skills in action and allows the candidate to see if the position feels right.
  • The party that throws out the first number establishes the range. In Chuck’s case, he effectively moved the range up by starting high.
  • Chuck was nervous, but he had a plan. Clear, easy-to-remember plans are a proven way to relieve anxiety.
  • Chuck used his advisors effectively. In effect, they acted as his negotiating team and while they were not in the room on the big day, he knew they were with him

Earlier versions of this article first appeared on Agency Post and Young Designers Guide.

Join the conversation, leave a comment

Your email address will not be published. Required fields are marked *

*