6 tips on asking for a raise from HR director

HR 101: 6 tips to remember when asking for a raise

April 5, 2022 1:53 PM

Whether you are approaching an annual performance review or reflecting on your career trajectory, your salary is likely to come to mind — and between high inflation rates and labor shortages, a raise may hardly feel optional.

According to the Consumer Price Index, prices for items such as shelter, food and gasoline rose by nearly 8% in the last year. Meanwhile, pay budgets are only expected to increase by 3.2% in 2022, according to a Mercer survey. Although discussions surrounding raises may have once been viewed as uncomfortable or even taboo, it may be very necessary today, says Annie Rosencrans, U.S. people and culture director for people management platform Hibob.

“It took me some time to get up the nerve to ask about salary expectations for my roles and responsibilities,” says Rosencrans. “But now that I’ve been on the HR side of things, I realize how normal that conversation is. The reality is we work to make a living.”

Now more than ever, employees may need to demand higher pay from their employers. But employees still need to prepare and present their case if they want to be heard. Rosencrans offers six tips on how to effectively ask for a raise.

Be objective

While employees are ultimately vouching for themselves, Rosencrans advises that they still look for objective evidence to prove why their performance is deserving of a raise. For example, employees should have an understanding of how their role has evolved since they were hired or since their last pay increase.

“Have you taken on additional responsibilities? Are you supervising anyone?” says Rosencrans. “These are important points to touch on and objective truths about your role that you can explain to your manager.”

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If their work had an impact on metrics like sales, views or product turnout, employees can also pull numbers into their case to show their impact on the business. These pieces of evidence provide a strong foundation for the big ask, Rosencrans explains.

Know the market

Rosencrans suggests employees know the external and internal going rate for their position, which can be tricky if colleagues aren’t comfortable sharing their salaries.

“Understand what you can about the market rate,” she says. “Use outside data as a reference point, or better yet, know what recruiters are offering you for a role that sounds consistent with what you do today.”

If an employee knows what others are being paid within and outside the company for similar responsibilities, then they will have a good idea of what they deserve from a market perspective.

Clarify your motivations

Once the employee has evidence and research attached to their raise request, they should also make sure they can articulate why they are asking for a pay bump. This is where employees have to be careful, says Rosencrans.

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“You need to make it clear that you are not asking for a raise because you want to leave the company — this is purely about you getting what you deserve,” she says. “It’s not worthwhile to fight to keep someone who already has one foot out the door.”

Have backup

Employees need a clear idea of when there are performance reviews and connect with their managers at least several weeks before, if not months earlier, explains Rosencrans. Managers can be essential to getting a raise since they can vouch for the employee’s value at the executive level.

“Managers can go through the steps of giving a heads up to whoever is responsible for salary decisions, and help build a case over a period of time,” says Rosencrans. “You don’t want to catch anyone off guard.”

Once a salary decision has been made, it can be hard to go back and make changes, which is why asking for a raise should be treated like a process that happens in advance, rather than just a moment.

Be willing to negotiate

Rosecrans advises employees to have a number they want and a minimum amount they need from their employer. While they may not get their ideal raise, there still may be wiggle room for negotiation.

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“Be clear about what number is a make or break for you,” says Rosencrans. “If you can’t get exactly what you want, you can also negotiate something like a performance bonus or additional PTO to compensate for lower pay.”

Reflect

Rosencrans’ final tip is to take the time to self-reflect on what matters once a salary decision has been made.

“There are some people who can’t afford to stay and need to look elsewhere,” she says. “If you love your company and can continue to afford what you make, then it might be worthwhile to stay.”

Employees can also work with their managers to develop the skills that will lead to a higher wage within their company. While asking for a raise may not end with an ideal answer, there can still be a path forward at that company. It just depends on what the employee needs.

“At the end of the day, we have to work to support ourselves and our families,” says Rosencrans. “So set the path best for you, because you are your best advocate.”