Key Salary Negotiation Insights – What HR Experts and Managers Need to Know

Experienced professionals know what they’re worth and they are not afraid to ask for it. Our Talent Trends survey showed that salary continues to be the biggest motivator when it comes to accepting a role. That is why it is so important for managers and HR experts to stay on top of salary expectations and master the art of salary negotiation.

In this article, we share key insights into salary expectations and crucial information that can assist you in developing effective negotiation tactics for salary reviews. 

Our recent Michael Page survey polled over 300 active job seekers in Turkey on their salary negotiations. The results show that candidates are well-informed and highly likely to engage in salary negotiations - especially if they have some seniority. 

Employees Stay on Top of Salary Trends

Skilled employees want to know they’re getting the salary they deserve so they stay up to date about salary rates for their industry. A large majority of Turkish job seekers (88%) that were surveyed said they update their salary industry knowledge at least once a year.  

But where do candidates go to obtain their salary information? Our research found that one third of Turkish job applicants (37%) use salary reports as their primary source. Want to make sure you’re offering enough to attract top talent?

Employees and job seekers aren’t, however, just relying on salary guides as their sources: 34% of respondents said they use job ads to compare salaries and 21% also use specialised employment websites such as Glassdoor. 

What Influences Salary Negotiation Strategies

With so much information available, Turkish job seekers aren’t shy about asking for a salary increase. 57% of respondents attempted to renegotiate their salary in the last 12 months. Furthermore, 84% of respondents said they feel confident in their ability to negotiate their salary. 

There seem to be gender differences when it comes to confidence: 90% of men who took part in our survey said they would be comfortable asking for a salary increase, while only 74% of women felt the same.

Companies have a responsibility to counteract these discrepancies by fostering an organisational culture where everyone feels empowered to ask for fair remuneration. One potential way to address this issue is to work towards a diverse leadership team. Additionally, implementing new strategies for salary transparency can help to make employees feel more confident to initiate these conversations and could increase trust in their leadership. 

HR teams as well as line managers can resolve these issues by conducting salary audits and informing employees and candidates about compensation criteria. This encourages people to feel confident in requesting fair remuneration based on their performance rather than their length of tenure.

Reasons Why Some Employees Don't Ask for a Salary Increase

Position is also a factor in whether an employee will initiate a conversation around salary increase. For example, the main reason that those with managerial responsibilities did not start a salary negotiation in the last 12 months was because they already undergo regularly scheduled performance reviews and they already have regular salary adjustments (37%).

Meanwhile, staff who have less managerial responsibilities are more nervous to negotiate their salaries. While 13% of these employees felt it was too soon to ask for a salary increase, 11% were worried that it might have negative effects, and 5% did not feel comfortable to start a negotiation.

These results show that salary transparency is still a sensitive topic in many companies. If employees are avoiding salary negotiations, this could indicate poor engagement levels or a weak company culture. To maintain good levels of employee engagement, managers must reassure their staff that salaries can be discussed without repercussions.

HR professionals and leadership should also bear in mind that employees may leave if they are dissatisfied with their salary. 19% of respondents chose not to begin a salary negotiation as they were planning to leave the company. If you want to retain valued team members, be sure to provide a regular performance review and salary review for key employees.

Job Seekers Expect the Right Remuneration

Today’s job seekers expect fair compensation. If you’re looking to fill a position in your company, make sure what you offer meets the salary expectations of your candidates.  

21% of respondents said they would turn down a job offer if the salary wasn’t good enough. However, salary is not the only thing that can be negotiated. Employees are often looking for additional perks or compensation for their efforts. 37% of survey respondents stated that if a salary offer was below their expectations, they would try to negotiate for additional non-monetary benefits. 

Besides salary, work-life initiatives such as hybrid working (83%), private healthcare (93%), and a company pension plans (72%) are the most important perks that active job seekers are looking for in their next position.

To attract the most desirable candidates, be prepared to offer a good benefits package alongside a competitive salary. 

Don’t Let Salary Stand in Your Way

While salary isn’t everything, it is clear that offering a competitive salary to existing and potential employees, is crucial to retain and attract the best talent. 

Make sure you are prepared for your next salary conversations and are in-the-know on current trends to offer candidates a fair and competitive salary that matches their expertise. 

Our experts are here to help you find the best talent with long-standing experience in recruitment and specialised industry knowledge. Get in touch with our Michael Page consultants for tailored recruitment solutions your business needs.