A colleague of mine was asking me about how to approach a potential new employer about their salary expectations, and the timing of the conversation. They were worried it might set the wrong impression or give the employer a negotiating edge if they discussed the salary too soon. My rule of thumb is to never lie to any employer about your salary history or salary expectations, but to avoid the discussion until you have nearly gotten the job.
When I have been pressured by HR for an response to that question in the past, my preferred approach is outlined in the following checklist.
1) The approach I would take would be to ask to table the question until later in the interview or for another day. It is important to me that we have first come to a common understanding on the roles and responsibilities of the job, and also, the type of experience I bring to the job, and what I will be contributing to the new company. I would prefer to be paid in line with the current job market and within the companies standards for this role.
2) If put on the spot to respond during the interview, and they insist on knowing my previous salary, I mention the total value of what I expect for salary and all compensation. That includes cash, as well as benefits and other perks. I will mention holiday time, quality of life factors, and other things like pension and health plans. I also explain that what is most important to me is that the job offer is fair within the market rather than based on what I made in the past.
3) It is important for me to be aware before going into any interview what the standard salary range is for that position. I also want determine where my overall percentile would fall within that range. The vast majority of people are not at the top end of the salary range, so unless I know I have been a superstar, which I usually strive towards, then I wouldn’t recommend expecting the absolute maximum salary, unless I know I can explain why I am worth it. This is almost always confirmed by reference checks, and also, when starting the new job, it will be obvious if I am not in the 98th percentile. The goal is to be generous with your self evaluation but honest if you are not at the total superstar ranking.
4) Regardless of your past salary that you earned in that job role, you should expect to be paid fairly for the current market conditions. You should explain to the new employer that regardless of your past salary, whether it was at or below the market range, you would like to be paid at the salary level that is fair. Your reasons for having a lower than average salary in the past are not pertinent to the new job, and your life situation has changed. Therefore your goal is to have a fair salary negotiation that both sides will be pleased with.
5) Suppose you do reveal your past salary due to the pressure. It is important to do so under the caveat that you expect to be paid fairly, and that you don’t feel that the information you are bout to give is all that pertinent. You need to paid an honest salary for your honest work. Just remember to be clear and firm about your expectations, all the while maintaining a level of respect and rapport.
Whatever you to, be completely truthful during interviews. The employer has many ways of getting information and they will find out your true salary history if they are so determined. They will also learn about your past performance, and they may even ask you to produce a pay stub to prove your past salary. Remember you’re a highly skilled worker, and you bring a lot of value to the position. You just need the skills to communicate that value clearly and effectively to the new employer.
