Sunday, November 29, 2009

12 tips for women to negotiate higher salaries -- even in tough economic times

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A study of 42,000 managers in the UK found that at the age of 37, the average female manager was five years younger than her male equivalent. Despite those significant gains, women continue to be paid less-- an average 12 per cent less for working in a similar role. At the director level the gap increases to 23 per cent. The National Management Salary Survey also reveals that resignation rates among women directors, managers and professionals are at their highest level for five years. Women are 20 per cent more likely than men to resign from their jobs. Those statistics would not be much different for women working in the United States.

As these statistics show, regardless of how far you progress, your compensation depends in significant part on how well you negotiate. Failure to do so, at any point in your career, has a significant impact throughout the remainder of your career. Women are doing many things right to manage their careers these days. One thing that studies show that women still fail to do as effectively as men, though, is to negotiate for themselves. (and that sometimes requires negotiating differently than men.)

Failure to negotiate for an additional $5,000 at age 22 will cost a woman almost $500,000 in total lost wages by age 62 because that $5,000 is lost every year and the problem is compounded because future raises are a percentage of your base salary. One part of the solution to correcting the gender gap is for women to learn to negotiate more effectively for themselves.

Here are some tips for women when negotiating compensation:
  • Don't be afraid to negotiate
  • Negotiate for yourself as if you were negotiating for someone else
  • Time your discussion to follow a success
  • Know what you are worth
  • Remember compensation includes many things besides salary
  • Quietly test the waters in the market periodically
  • Learn new skills and take on new responsibility
  • Create the right image through how you dress and act
  • Find an advocate to give you advice and to advocate on your behalf
  • Be confident and display confidence
  • Work on improving your negotiating and influencing skills
  • Seek coaching if necessary


Lee E. Miller is co-author with his daughter of A Woman’s Guide to Successful Negotiating (McGraw Hill), and author of UP: Influence Power and The U Perspective- The Art of Getting What You Want (YCD Press) and Get More Money on Your Next Job (McGraw Hill).
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Comments 1-10 of 12
  • shebme's Avatar
    Posted by shebme Thu Aug 14, 2008 7:19am PDT

    Hmm... I am actually struggling with this matter right now! I have already made two attempts to receive just a mere ten more cents on the dollar to what they have offered me... but have been rejected both times! HELP?!

    Report Abuse
  • Vick's Avatar
    Posted by Vick Thu Aug 14, 2008 9:50am PDT

    Right now with the economy the way it is just be thankful you have a job.

    Report Abuse
  • rashroush's Avatar
    Posted by rashroush Thu Aug 14, 2008 9:50am PDT

    actually i hv problems with 2 points:

    1- "Time your discussion to follow a success "

    this is my first real job & hasn't been always prizes and happiness.i'm working 12 hours to get over my begginer's mistakes

    2-" Know what you are worth"

    who am i supposed to know that? comparision with peers isnt good enough.maybe they're worth more than i do.

    Report Abuse
  • rashroush's Avatar
    Posted by rashroush Thu Aug 14, 2008 9:51am PDT

    actually i hv problems with 2 points:

    1- "Time your discussion to follow a success "

    this is my first real job & hasn't been always prizes and happiness.i'm working 12 hours to get over my begginer's mistakes

    2-" Know what you are worth"

    who am i supposed to know that? comparision with peers isnt good enough.maybe they're worth more than i do.

    Report Abuse
  • Shana-kay's Avatar
    Posted by Shana-kay Thu Aug 14, 2008 10:58am PDT

    well i am at my work place for 2 years with the same wage and my boss as not given me a rise as yet.. i must say that i am the best typist in the department and i always finish my targets on time, he even went to tell me that he cant see the company surviving without me.

    Hows that and not giving me a rise.

    Report Abuse
  • manda's Avatar
    Posted by manda Thu Aug 14, 2008 12:10pm PDT

    learn how to spell that might help you get a raise!

    Report Abuse
  • StephanieL's Avatar
    Posted by StephanieL Thu Aug 14, 2008 4:35pm PDT

    I have been with my company less than 60 days and recently received an increase in wage via negotiation because they need/want me full time. I also negotiated another raises after my 90 day period. Hopefully, I'll receive the 90 day raise. The company usually doesn't do that, however my boss is looking into this for me. He states, "I deserve it". I am so relieved to find a company that is willing to pay what I am worth.

    Report Abuse
  • claudia c's Avatar
    Posted by claudia c Thu Aug 14, 2008 6:11pm PDT

    you can find out what your worth by going to careerbuilder.com or cbsalary.com and check out the averages for people paid in your area of work. ALWAYS check this before you ask for a raise or apply for a job!

    Report Abuse
  • Fozia's Avatar
    Posted by Fozia Fri Aug 15, 2008 1:56am PDT

    I have learned due to my personal experience that negotiation is the best thing to convence your boss to increase your salary.

    I want to share one thing more of my experince that "never leave your current job before getting the new one"

    Report Abuse
  • Amanda's Avatar
    Posted by Amanda Fri Aug 15, 2008 7:43am PDT

    i recently started about 4 months ago working for a company as an admnistrative assistant gradually started to handle more purchasing but only part time employee as per employment offer now my boss says he is impressed but not saying when we can change my status and if I can get a pay raise. I like the job itself and I work very close to home but I don't want to be taking advantage of because I am so close and do a good job at my work. Please help need some advice.

    Report Abuse
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