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: executive career briefcase

Staff Management Advice

Interviewing Job Candidates

Salary Negotiation

Salary negotiation is a critical step in the hiring process. Accounting and finance candidates with in-demand skill sets may already be evaluating other opportunities by the time you make an offer, so it's important to handle this stage effectively. Following are some tips for successful salary negotiations.

Act Quickly
Once you've selected the prospective hire, make the offer as soon as possible. A delay can cause you to lose the best applicant.

Carefully Consider the Employment Offer
Enter negotiations with a strong understanding of compensation trends. The offer should be fair to the candidate and in line with current standards in the industry and at your firm. Robert Half International's Salary Guide provides compensation data for accounting and finance professionals from entry-level to CFO positions.

Businesses that can't provide high starting salaries should consider offering other incentives - such as stock options, profit sharing or extra time off.

Clarify the Details
If possible, make the offer in person. This allows you to explain all aspects of the salary and benefits package, and provides an opportunity for the candidate to ask questions.

Consider providing a formal letter with key information (you may want to work with your firm's attorney to develop a template). Also let the individual know if there are any contingencies associated with the offer, such as completion of reference checking.

Provide Encouragement
When presenting an offer, be sure to highlight the reasons someone would want to work at your company. Prospective employees are interested in hearing about staff recognition and bonus programs, advancement possibilities and unique aspects of the corporate culture.

Set a Time Frame
Give entry-level professionals a few days to consider the offer, and more senior level candidates up to a week. Applicants who will need to relocate may require additional time.

Know When to End Negotiations
When faced with a candidate who's reluctant to accept an offer, try to discover the source of the hesitation. Consider the potential impact of any changes required to address these concerns or issues. For example, providing a salary that exceeds someone's potential contributions can ultimately affect your firm's overall compensation scale. Likewise, persuading an applicant with serious reservations can backfire if that individual has second thoughts after joining your organization.

Maintain Communication
It's important to stay in touch with the candidate after the offer is accepted. Send relevant brochures about your company and employment forms. Also, call the individual to make sure he or she has all of the information needed for a successful start at your firm.

A streamlined salary negotiation process helps you hire the best candidate and fill the position more quickly, minimizing productivity losses stemming from reduced staffing levels.

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