On this week’s episode we’re talking about getting paid fairly and what it really takes to earn more. We’re going to walk you through some of the conversations you’re likely to have as you’re determining whether you’re being paid fairly, and what to say when you go in to talk to your manager to ask for a raise. (At HerMoney, we’re big fans of doing practice conversations with anything in the career sphere, whether it’s interview practice, salary negotiation for when you’re starting a job, or raise negotiation once you’ve already proven yourself in a role.)
We’re teaming up with a fellow equal-pay enthusiast, Payscale, to equip you with the information, tools and words to use for navigating these types of fair-pay conversations. The Let’s Talk Fair Pay Workshop will be a one-time, virtual event on Tuesday, June 21st, from 1:00-2:00PM EST. You’ll have the opportunity to ask your questions and even role play with Jean and a Payscale negotiation expert! Sign up here.
According to Payscale’s 2022 Compensation Best Practices Survey, 50% of companies say they are adjusting their pay strategy or structures for this year, and 66% of organizations say pay equity analysis is a planned initiative in 2022—a 20% increase over last year. Which is pretty remarkable. And we all want to make sure we’re getting a piece of that pie. Because all too often, we either don’t ask for a raise, or when we do, we don’t get the answers we want. According to PayScale’s “Raise Anatomy” report, just 37% of workers have ever asked for a raise from their current employer, and when they do ask, the most common reason they’re denied is because there is “no budget.”
In this episode, we’re walking you through not only how to prepare, but also how to respond if your request is denied, and we’re doing it all with Ruth Thomas, a global leader in pay equity and compensation management technology, who was co-founder of Curo Compensation, which was acquired by Payscale in 2021. Today she is Chief Product Evangelist at Payscale, where she works to ensure that everyone has an equal opportunity to earn the same. (And for those of you who haven’t consulted Payscale before, it’s the first website we always point people to when they’re looking for salary comparison data. When we say “do your research!” Payscale is the place to do it.)
Listen in as Ruth and Jean discuss what pay equity really is, and why it’s so important for workplaces, managers and job seekers to be informed about how to achieve it. We also discuss pay transparency and timing for bringing up a raise — should we wait until an annual review to bring this topic up, or is anytime okay?
We also talk about what to bring to the salary negotiation table, and what you should know about your company’s processes regarding pay increases. And we get tactical about how to respond when your raise request is denied. (Because sometimes you go in fully prepared with tons of data to back you up, you make your ask, but your boss responds in a way that you weren’t expecting. And not only were you not expecting it, you have no idea how to respond.) For this show, we collected some of the more common rebuttals that your manager might offer, and Ruth guides us through appropriate responses.
We tackle how to respond to:
“There’s just not enough money in the budget.”
“There are other people who have been here longer than you, who also work hard, and I can’t give everyone a raise. If I gave you a raise right now, it wouldn’t be fair.”
“The figure you’re asking for isn’t in line with your role/this part of the country.”
“You’re asking for a raise of more than 20%. I’m sorry, but I’m limited to giving raises of 4%.”
“Your performance just isn’t sufficient to warrant a raise of that size.” (Yet you’ve been given flawless performance reviews.)
Also, Ruth, we know that the playing field isn’t level for everyone. According to Payscale’s State of the Gender Pay Gap 2022 Report, the gender pay gap is $0.82 for every $1 that men make, which is the same as last year. And even when we look at women at the executive level, they make just $0.95 to every dollar a man makes even when the same job characteristics are controlled for. Are companies doing more to address this, do you think?
We also get real about gender and racial wealth gaps, and how to go into a salary negotiation when you know that a man earns more than you, or when you believe that you’re being paid less because of your race. In Mailbag, we hear from a listener celebrating a big career win, and Jean advises a woman who just started a new job but it’s clearly a terrible fit and a toxic environment.
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