Asking for a raise can be a scary proposition – it means putting yourself out there and possibly facing rejection. Although there are some companies in which raises are given automatically after a certain amount of time, in most cases, you will only get a raise if you ask for it. Israel is a country of negotiations (think Middle Eastern shuk), so it’s important to approach salary discussions with the right strategy.
When to ask for a raise
There are a number of times where it’s expected that an employee will ask for a raise. One of these is during an annual or semi-annual review. If your company holds these at pre-arranged times, this is the perfect opportunity to request a salary hike. It’s also common to ask for a raise after you’ve been at the company for a year. If annual reviews take place before you have been there for 12 months, you might want to wait until the end of your year before bringing up the subject.
If you are going on maternity leave, it’s to your benefit to get a raise a few months beforehand, as your Bituach Leumi payments are based on the last three salaries before you give birth. If there’s an opportune time to ask in the first few months of pregnancy, it’s certainly a good idea.
Another time to ask for a raise is when you’ve gotten another offer but would consider staying at the current company if they matched it. If you have another offer on the table, you are in a strong negotiating position. You might even be able to get a slightly higher salary than the other employer is offering. This is a good tactic if you enjoy working for your current employer and would happily stay at a higher salary.
Sometimes employers offer a new title with greater responsibility but “forget” to offer a salary raise to go with it. If this happens to you, explain to your bosses that you would love to take on the new position on the condition that you are compensated for it. You can also proactively ask for a new title and the salary that goes with it. Companies often prefer to promote from within and this is a good way to advance your career and raise your salary at the same time.
List your responsibilities and accomplishments
You might want a raise because the cost of living has gone up and your bank account is suffering, but this is not what matters to your employer. They need to be convinced that you are a valuable employee and that it’s worth it to them to keep you happy for the long-term.
Don’t assume that your manager, the CEO or HR know what you have been doing at work. There are often tasks that no one notices precisely because they are getting done. Sometimes teamwork hides the part that you took in a particular project. Someone else may have assigned you to tasks that they don’t even realize you are responsible for.
Before the meeting, make a clear list of your responsibilities and what you have accomplished for each one and present these to state your case.
Mention the industry standard
Let your employer know that you have done research and understand that your current salary is below the industry standard. Doing this serves as a hint that you are looking elsewhere and that if you are not satisfied with your salary, you won’t necessarily stay in the job. This gives your manager a reason to help you get paid what you deserve.
Don’t mention other employee’s salaries. Employers don’t like to hear that their employees are comparing salaries and using this information to pressure them. If you know what other people at the company are making, that info can help you figure out what to ask for, but keep the fact that you know this to yourself.
What to ask for
If you’ve been underpaid for a while, you may feel that you deserve a huge salary hike, but on the other hand, you know that the likelihood of receiving it is pretty low. You’re better off asking for 5-8% more than you are currently making, since this is considered reasonable.
Always ask for more than you actually want so they can negotiate you down. Your employer is unlikely to agree to the first raise you propose, so start higher and let them offer you a little less.
What to do if a raise isn’t on the table
If you’ve asked for a raise and been told that it’s just not possible, that doesn’t necessarily mean that you can’t improve your work conditions. Request other perks such as more vacation days, a Keren Hishtalmut, more flexibility or the ability to work remotely. If your bosses value your work and want you to stay but don’t have the budget for a raise, they may be willing to consider other options that will give you an incentive to continue to work for them.
If your raise is denied, you can also consider leaving to a different company. Sometimes the only way to raise your salary is by starting a new job. Your negotiating power is always stronger right before you sign a contract, so use that time to ask for a higher salary than you’re making now. It can be scary to think about looking for a new job when you have one you’re already happy with, but there are jobs out there that have other advantages beyond paying better. They might be closer to home, have a better office culture, provide you with more challenging or interesting work or offer more flexibility. In any case, it doesn’t hurt to look around. You can always decide to stay where you are currently if you don’t find something better.
For more tips on succeeding in your career, download Your Route to Career Success in Israel.