Business
How to tactfully negotiate salaries with your employees
Publish Date: Jan 24, 2014
How to tactfully negotiate salaries with your employees
In 2012, a six-day work stoppage at Lonmin Plc’s Marikana operations in South Africa’s North West province led to deaths of 10 people. CREDIT/AFP (Source: Getty Images)
  • mail
  • img
newvision

PAKASA

By Julius Sengendo

When a potential employee accepts a job offer, you, as the employer, must be willing to negotiate further terms. Nowadays, job seekers join a job interview with detailed knowledge of their employer and respective company.

If you want to close a mutually satisfying deal, you must be equally prepared. The same thing applies when you negotiate with an employee who is already working for you.  

Opt for a formal negotiation

When it comes to employees already working in your business you should go for formal performance and payment review cycle. The majority of businesses choose a semi-annual performance review cycle.

This process is really effective, since it does the following things: Sets a schedule that both the worker and the employer can utilize to get ready for negotiation.

States the desire of the employer to get involved in a negotiation; Reduces the number of off-cycle modifications and negotiations; Sets expectations regarding the vital business goals of the employer.

Negotiate e­fficiently

You can negotiate efficiently with your workers if the process relies on performance management. You should team up with your employees and inform them about your business objectives and recompenses associated with accomplishing those objectives.

This collaboration will bring numerous benefits because your employees will be familiar with the performance expectations of their boss and will do their best to meet or even exceed these expectations.

Potential employees

In case you do not have the possibility to match the salary demand of your potential employees, but you really want to convince them to accept your job offer, opt for non-monetary incentives.

Sometimes, candidates are willing to trade a higher salary for other benefits. For instance, flexible scheduling is an alternative that will surely please the applicant and will not cost you anything. Besides, you can offer them extra time off or the possibility to telecommute.

A signing bonus might also delight a potential employee, so do not hesitate to provide it. As an entrepreneur, it is essential to have good negotiation skills.

You must polish that skill of drawing employees towards your company without necessarily motivating them with huge financial compensations.

As long as you know how to talk to the people, it should be a lot easier to reach into their minds and make them work for you.

Send your questions to pakasa@newvision.co.ug

 

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
Gov’t to enact law against SACCOs money theft
Government is in the process of enacting a law that that will punish those found guilty of stealing people’s savings through the Savings and Credit Schemes (SACCOS)....
Japan MPs set out to promote Uganda’s tourism
Legislators from the Japanese parliament are to promote Uganda as a tourist destination in the East African region, as revealed by two Japanese MPs....
Fresh row hits $8bn railway deal
Fresh controversy is stalking the over $8b Standard Gauge Railway deal, with the company that lost the deal seeking audience with the President....
BATU ends tobacco leaf business
British American Tobacco Uganda (BATU) will discontinue its leaf growing and export business after 86 years with a new player set to enter the market at the end of the year....
Police close illegal micro finance; over sh20m in savings lost
Police in Njeru Town Council has closed an illegal micro finance bank over defrauding unsuspecting members of the public over sh20m...
More oil resources found in Albert region
The Petroleum Exploration and Production Department has said that the oil resource confirmed is now 6.5 billion barrels from the fields studied....
Do you think banning the sale of single cigarette sticks will help regulate tobacco production?
yes
No
Can't Say
follow us
subscribe to our news letter