Calculate your market value?

How do you work out my value in the job market?

Depending on your job and market sector their maybe many different pay scales. When you look to discover your real worth, do everything you can to research the market firstly.

Understanding the relationship

Employment done on the basis of supply and demand basis. The workers with the skills and experience influence supply in the job market, and the organisations currently hiring for certain positions influence this demand. Dependent on how rare you and specialist your skills are effects how much an employer is willing to pay to secure you! This is the fundamental basis for calculating your worth, salary and benefits.

One example of this is within popular industries such as Technology. There are many talented Technical individuals around and a finite amount of jobs which means Technology organisations can offer lower pay rates as it’s a clients market not a candidates in a recession. The combination of few opportunities and the fact that people after these roles are often out of work, puts the employer in a very strong bargaining position.

Finding the going rate
The Internet is a priceless tool for salary research. Using an online salary calculator will give you a rough idea of what you can expect in your particular role, industry and location. They are however limited in the amount of information they can provide as everyone's skills, experience and situation is unique. If in doubt another way to find out is to ask your a management recruitment business as they come across all levels and industry and may be able to offer a bench mark based on their past experience.

Search through various job descriptions to benchmark your role against. It will give you a good idea of the key attributes companies are looking for in certain jobs, which means you can emphasise these in your CV to make yourself a more attractive prospect. If you are lacking in any important areas, make an effort to brush up on your skills and or qualifications to maximise your value. If you’re not to sure which direction to pursue consult with your management recruitment consultancy – they maybe able to tell you what’s in high demand.

An individual's salary is not something that is generally discussed in the open, even within close groups of friends so try and steer away from asking people outright what they earn. Online it is a different matter as you have a certain level of anonymity. Ask a question such as “Is £25k a good salary for a Marketing Manager in Newcastle in the telecoms industry?” in a forum and see what your peers have to say.

This isn't an exact science as all companies use various bonuses and benefits to bolster their employee's salary packages, but it should give you a good idea of what to expect.

Using your findings
If you're approaching your boss for a pay increase in your current role, you can expect some scepticism when you present your findings, be ready to back them up with specific examples. Make sure that any job description comparisons you make are fair, and that you are not exaggerating your own importance or qualifications. If you do its sure to come back to haunt you.

Work with your manager to examine your role in detail, try to gain their buy in to explore this with you – they may agree and sponsor a bonus or salary increase. There may be things you are doing that your boss is not actively aware of, such as working unpaid overtime at home or skills you have developed, which are a real benefit to the business but are not being used. All these can be used as extra leverage when you get down to the actual numbers.

When you're discussing a possible salary for a new job, your potential employer will usually have a salary range in mind set or signed off by their management team – or your management recruitment consultant will. When you're made a job offer, you're immediately in a good position to negotiate as they obviously think you're the right fit for the job. Consider the offer and match it up with your research to see if it's fair. As you will probably be unaware of their other options, you shouldn't get too over enthusiastic and go back to them with an unrealistic number, but if you think the offer could be topped up a little, there's no harm in asking.

However strong your case, an employer simply may not be able to pay the figure you're asking for. Budget constraints operate in every business and it's impossible to accommodate every pay demand from every employee. If money really does end up as a stumbling block, consider using transferable skills to move into a more profitable and high-paying industry or job.

Choosing the right company to work with is an important decision at every step of your career, and if you doesn't appreciate your value in the market, there will be another out there that do.

All of that said – its important to be realistic, as your better in a job than out of one!

Should you have any open questions, were one call away;

Regards,

Colin Tovey
Managing Director
ACT Management Solutions

T +44 (0) 844 351 0432

+44 (0) 844 351 0432

F +44 (0) 844 357 6632
E colin@act-ms.com
W http://www.act-ms.com/