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Salary Coach Tips: Should I Use Inflation to Get More Salary?

2022-05-09T08:22:54.725Z


Martin worries: The pay round is behind him this year, but inflation continues to rise. Can he renegotiate now or has the train left?


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Up and down: Inflation is a slap in the face - but you should argue with other facts

Photo: sesame/Getty Images

Sales employee Martin, 46 years old, asks: "I read that the discounter Aldi adjusts the salaries of the workforce to inflation, i.e. increases them voluntarily.

My pay round for this year is already over and it hasn't gone particularly well.

Is there anything else I can do now?'

Hello Martin,

you can basically always do something.

The question is on what

basis

, with what

preparation

and with what

aim

.

Let's start with the goal: Do I understand correctly that you would like to negotiate inflation compensation as a salary increase?

Really now?

Have you calculated how much more you would have gotten over the past ten years if only inflation had been adjusted?

Yes, it's just stupid to see on the account how the amounts debited are increasing and the transferred salary remains the same.

I can understand that bad feeling.

Inflation compensation versus »real« negotiation

Let's use an example to calculate what the difference is between an inflation compensation increase and a 5 percent negotiated salary increase per year.

We start 2013 with a gross annual salary of 48,000 euros.

Yes, the inflation rate is very high now.

At the same time, the calculation example shows that it is only a conditionally good idea to go into salary negotiations with this argument.

With a negotiated increase of just 5 percent per year, you would earn more than 30 percent more than if you compensated for inflation.

Also keep in mind that with good preparation you can achieve more than 5 percent increase.

Performance against money!

That's still the deal.

So let's go, prepare yourself well and carry out a »completely normal« salary negotiation.

Negotiate every year and seize the opportunity for a renegotiation if you have delivered a special performance or taken on new tasks.

Prepare even better

What can I do and how does it benefit the company?

Make the following list and ideally keep it running:

  • Projects/Tasks/Strengths

  • My personal share

  • benefit for the company

If you always have your three to eight key arguments up your sleeve, then you can appear self-confident.

Set three numbers: your minimum salary below which you will not start or consider resigning.

Your okay salary, with which you feel comfortable.

Your whoop salary that will make you cheer with joy for three days.

Practice, practice, practice

Do you want to negotiate confidently?

No athlete competes in a tournament without training.

So practice until it comes out of your ears.

At the kitchen table with friends, alone in front of the mirror and in front of the mobile phone camera.

In addition to your words, pay attention to facial expressions and gestures and an upright posture.

Inflation killer phrases and counters

What is still important now: How do you react to the inflation killer argument on the other side?

Here two examples:

"Unfortunately we can't pay more, our costs have increased so much."

How fortunate that sales have increased like this, then it fits again.

»Inflation is so high that we are jeopardizing jobs if we raise salaries.«

I play a key role in making the company run well.

I expect the appropriate financial appreciation for it.

Be persistent

Take a "no" only as an invitation to dance.

Ask what is expected of you and how you can achieve improvement.

Argue clearly and without explanation or justification.

Prepare yourself for the typical killer phrases and then counter them with a relaxed smile.

Face the facts

If you've received a "no" three times and haven't drawn any noticeable consequences, you don't need to arrive a fourth time.

Your manager will then already know that you will stay anyway.

Then apply elsewhere and check your market value.

After the salary negotiation is before the salary negotiation

Be sure to view this issue as a long-term process.

Record your achievements and results continuously.

Learn to assess your counterpart and to negotiate in a manner appropriate to their type.

Increase your self-esteem, have fun negotiating and get better and better.

Source: spiegel

All business articles on 2022-05-09

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