How to negotiate a raise during rampant inflation?

Prices are skyrocketing! Both for products and services. Not to mention fuel. How can you negotiate a raise for yourself in this challenging time? In this article, I’ll give you a few ways.

Clients who approach me to prepare them for a raise negotiation often cite inflation and rising prices as the reason. I understand this situation perfectly. However, you cannot use this argument during a conversation with your boss.

Who is really “suffering”?

The person who suffers the most from inflation, interest rate hikes, minimum wage increases, and taxes is the business owner. To maintain your same salary after all these changes, they ultimately have to pay more for you because a larger portion goes to the state budget.

You don’t see these amounts, and unfortunately, they are getting higher every year. Therefore, very often the second group of my clients – entrepreneurs, before the end of the year, come to me to help them prepare communication about layoffs. These are very often mandatory in small businesses after tax increases. Otherwise, owners will be forced to close their businesses and lay off all employees.

Put Yourself in the Employer’s Shoes!

Therefore, before preparing for a raise conversation, try to put yourself in your manager’s/business owner’s shoes. Perhaps you know the answers to these questions:

  • Is the company profitable?
  • Is the sales at the same level? Or perhaps has it increased/decreased?
  • What is the margin on the sale of products/services?
  • Does the company regularly invest? Or does it take out loans?
  • Is the company hiring new employees and expanding, or rather downsizing departments?
  • Are the planned purchasing-sales budgets being implemented?

In negotiations, it is crucial to consider the terms and conditions of the other party.

How to prepare for the conversation?

The next step is to properly prepare for the conversation. How to do it?

I cover everything, point by point, in the free PDF “Salary negotiations: how to negotiate successfully?”, which you can download by clicking the button below!

You and your achievements (or lack thereof) should be taken into account during salary negotiations, so proper preparation is the key to success. Casual conversations or casually bringing up a raise with your boss always lead to failure.

It may disappoint you, but neither inflation, nor your family situation, nor even illness should be used as negotiation arguments. Of course, I understand that you feel the financial changes most strongly through the prism of these aspects. However, remember that your boss has completely different priorities and did not hire you because you have a “difficult family situation.” You are their employee and have specific professional duties for which you are paid a salary.

So focus on your experience, achieved professional goals, and the benefits you bring to the company.

The free PDF “Salary negotiations: how to negotiate successfully?” will guide you step by step through this process.

Schedule a meeting!

You’re already prepared, what’s next? You need to schedule a meeting with your immediate supervisor. Never bypass your direct boss. They must be the first person you meet with during salary negotiations. Naturally, it’s best to meet face-to-face offline.

If that’s not possible, schedule an online meeting but make sure you can see each other. Negotiating over the phone is the worst option — treat it as a last resort. Don’t use messaging apps, even business ones, or SMS!

Also, don’t discuss your plans with colleagues. It’s a very unprofessional approach. Perhaps the boss is only satisfied with you and wants to give you a raise alone, while dismissing others. You don’t know this, so keep the information to yourself.

How to conduct the conversation?

The most difficult step is leading the conversation itself.

You are the main organizer of this meeting, and the result you achieve depends on you.

As you know, you can’t cite inflation, economic situation, etc. But you also can’t just say you want a raise because… YES, and that’s it. Schedule the meeting for a minimum of 30 minutes, preferably an hour, because you’ll have a lot to say.

I have prepared an original conversation template with my individual clients, which will guide you step by step through the raise negotiation meeting. Just substitute all your information into the template and… READY.

Of course, you must first prepare everything thoroughly and be sure that you deserve the raise. Saying “I need to earn more” when your performance in the company is poor won’t work, even with the best template.

Take on the challenge and fight for a higher salary!

Watch the video where I guide you step by step through the entire process. I provide advice on what to say and how to conduct the conversation to achieve your goal. Use the ready-made scenario! Utilize persuasive language that has been tested by many of my clients.

I’m looking forward to your results eagerly.