We’re not saying we’re in a recession yet, but let’s make it simple and say business is getting a bit tougher. Purses are tightening. Layoffs are occurring. Benefits are being cut. Most of us are walking away thinking “this is not the time to ask for more money”. Actually, it can be - but only if you position yourself right.
WINK - Flip The Glass, But Don’t Be Tone Deaf.
When economic gloom looms, it’s easy to fall into the glass half empty. Unemployment at 7% sounds ugly. But whoever shouts that it’s great news that 93% of people are working? Or, take the business whose revenues have fallen 10% from 100m to 90m: whoever stands up and says, yeah, but we still made 90m! You’d feel like a tone-deaf idiot. Yet all these things are true. It’s only the perspective that changes, and perspective is your weapon.
NUDGE - Get Paid For Perspective.
The reality is, when business is tough and the going gets tough, companies need good people now more than ever. People who understand the big picture beyond themselves.
This is where you build a perspective relevant to your company's situation, not your own. This is key. When you think about your company as your client, it changes your own internal dialogue.
Over all our years of being on the receiving end of salary conversations, building your perspective into a business case that gets results can be broken into three steps: A, B & C.
A. Think about tangible examples where you have managed to slow, delay or turn around a decline and/or reduced costs, and write them down. Even if you’re not in a role that has a direct impact on cost. For example;
You retained a customer. No matter how small.
You developed a more efficient process that saved time & money.
You identified an opportunity that plugged a gap.
You found a great person for a job that had been open for months.
Starting with cost signals you understand that during times of revenue declines, cost management is essential.
B. Now focus on revenue. Even if you’re not in a direct revenue role, you’d be surprised at what you’ve contributed. Write it down.
You brought in or recommended a new customer that got closed.
You spotted an opportunity that a Sales person turned into a deal.
You came up with a new product idea that got delivered.
You made an organizational change that drove the speed of decision-making so opportunities could be actioned quicker.
You wrote a piece of content that got excellent impressions and new leads.
C. Once you’ve got tangible, real-world examples of these two essential areas, now you can talk about yourself, with backup data. For example;
You’re underpaid versus the established market rates.
You know you are below the salary benchmark set for your position.
You have had more meaningful responsibility added to your role.
You’ve got a job offer but you don’t want to leave.
You’re a strong team player who helps get things done (give examples).
JOLT - Putting It All Together.
If your company is on a salary freeze or you’ve just had a massive round of layoffs, this is not the time to ask for a pay rise. That much should be obvious. Wait until the climate improves. And if you’re ignoring all this advice and thinking of asking for a pay rise because “you’ve been here a while” or “Sarah got one didn’t she?”, go back to the top of this Jolt and start again.
But if you can lay out your case in this A+B+C formula with strong examples, there’s a good chance you’ll pull it off.
Here’s a recap:
A. You first demonstrated how you helped reduce costs or expenses. This shows you understand and empathize with the current economic climate, and you empathize with the position your boss and your company are in.
B. You showed that you can help identify and/or develop & deliver new revenue opportunities. This shows you are thinking of the future. During a downturn, businesses scramble to find new ways to make money. Be part of the scramble.
C. You understand your worth based on the market or the role you do, but because you raised this last, you demonstrate that you always put the company first. This shows you’re both a current and future asset to the company.
Finally, although the ABC framework is powerful, try to make it a conversation versus a pitch. Be yourself. Keep it natural. Don’t expect an immediate answer. The process and framework are not the goals - being paid for your worth is.
And even if the answer is no at this time, you've made a strong, commercially minded, emotionally intelligent signal for when conditions improve.
That’s a win-win.
With Love & Moolah,
The Jolt.