Why ‘Payrise’ Isn’t a Dirty Word

Discussing money is still a taboo for many women, but it is a barrier to a successful sale. That includes the negotiations we often have to undertake with our boss to receive a much deserved payrise.

Why do we feel so uncomfortable asking for a payrise?

Out of the Mouths of Babes

Working with young women, I’ve found that they are much more at ease with such discussions than their older sisters.

Perhaps they have been born into a marketplace where their skills are in higher demand. They hear words like ‘economic boom’ and ‘labour shortages’ and know that the power is squarely in their hands.

Maybe it is also that they are getting access to money at a younger age. Credit cards are no longer the magic plastic squares that parents wield with such power and teens are regularly earning money that rarely makes it into their wallet - let alone their pocket - before it is spent.

Perhaps they are also simply happier to offer their opinion, no matter the topic. It has to also be recognised that the kindred taboos of sex and politics are also discussed with greater ease amongst the younger generation where forthright viewpoints are often encouraged (even as we wince at the naivety of their pronouncements).

Whatever the reason, for those of us who find it difficult to discuss money, we need to look to younger women for inspiration.

It is all good and fine to sit back and wait for our employer to recognise our excellence (and to actually pluck something from the budget that will buy more than a token lottery ticket) but as Abraham Lincoln put it:

“Things may come to those who wait, but only the things left by those who hustle.”

Putting Your Money Where Your Mouth Is

Having facilitated a number of performance reviews in a range of industries, it always amazes me that employees arrive at the review as if they are just taking a quick trip in the lift. They come without any preparatory notes or evidence of good work and sit mutely in their seat, waiting to be talked at.

But I have also been on the receiving end of the invisible performance review. This is the one that comes around on the 366th day of each year. Something is scribbled on your personnel file and shoved back in amongst the cobwebs in the filing cabinet, the GM dropping a cheap bottle of plonk on every desk before jetting off for Christmas at a tropical resort.

In either scenario, raising the issue of remuneration is a challenge. So if your performance review has been put to bed and your bank account is weary with waiting, try some of these tips to help you articulate your financial worth:

1. Practice your way to confidence - talk about money with your partner and your friends. Read newspaper supplements or attend conferences about money until the financial terminology is as familiar as your children’s names. When you are feeling confident, approach a line supervisor about your remuneration before fronting the area manager and get some feedback on your case.
2. Identify your strengths and weaknesses - the process of an annual review is really about identifying your strengths and areas for development (even though most of us approach the review with dollar signs floating before our eyes.)

   The important thing is to show that you are self-aware: You know what your key contributions have been to the company’s success and you have an action plan in place to improve those areas in which you haven’t performed as well.

3. Know your market value - most of the recruitment companies provide annual reports on current salaries. Find out the average salary for your industry, in your state, and be realistic about where you fit into the scale in terms of responsibility and experience. If you are working in Senior Management, but are being paid the salary of a junior clerk, you obviously have a case for a payrise (and a whole heap of backpay I would hope!)
4. Know what you cost - practice budgeting, if you haven’t already! You might be surprised to see where your money goes. If you are spending money on things that are improving your performance at work (computing classes, networking activities, technical reading and even preventative medicines and exercise programs) then make your boss aware of them. If the company hasn’t invested in any professional or social aspects of your development, then include this in your calculations.
5. Have a system for measuring value - If a formal performance management system is not in place (unfortunately it is still the case in many businesses!) then find another means to determine how you add value to the company. If you regularly prepare all of the documentation for the well-paid sales team, identify an appropriate percentage of their results for your own labour.

   From a more holistic viewpoint, identify the core competencies that the company values such as customer service, initiative and computer literacy and develop a personal scorecard dispaying tangible evidence of your excellence in these areas.

6. Be realistic – Negotiate the amount and timing of your payrise. If you have just been awarded an increase three months ago, it might be wise to wait until your annual review before raising the subject again. Similarly, there is little point in asking for a payrise when half of senior management has just been made redundant.

   Recognise the cycle that the business is currently in and when profitability returns, have you case ready for a payrise.

7. Ask and be rewarded - As Abraham Lincoln said, if you sit back and wait to be rewarded, you will have to settle for the scraps. There is never any harm in submitting a sensible, well-researched request for a review of your pay.
8. Recognise money is only part of the transaction – Recognise that the company may be off-setting financial reward with other benefits. If you are regularly given paid leave (above your entitlements) or are being exposed to training and development opportunities as you are groomed for a promotion, it might be wise to include your appreciation of these considerations in any discussions about remuneration.

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