How to Negotiate a Job Contract
Employment contracts set down in writing what the terms of your job offer are. They do not change because the person who hired you and promised you two weeks of paid vacation each year gets fired six months after you start working. When you are preparing to make a counteroffer on an employment contract, plan your moves carefully to get the best you can for yourself and not put off the employer.
Other People Are Reading
Instructions
-
-
1
Negotiate the contract before you are officially hired. You have some wiggle room in your negotiations before you officially start work. Keep a good attitude so that you are getting a good deal for both you and the company.
-
2
List what you are willing to negotiate on and what you are not. If coverage of relocation expenses is vital for you to accept the job but you are willing to give a little on the salary, knowing that ahead of time can help you stand firm where you need to.
-
-
3
Write out the reasons the company wants to hire you and what you would be giving up to work for it. If you are leaving a stable job in which you are well respected to go help a company out by taking on a high-profile position, or if you have to relocate, for example, you may be able to negotiate a little more. If you are leaving a company where you would get a bonus or other extra pay, ask the new company to cover what you would be losing by accepting its offer.
-
4
Read about what is standard for benefits, severance, and salary packages for the type of position and industry you would work for in trade journals and salary survey sites. Also talk to others in the field to get inside information about what salaries and benefits are currently being offered for the type of job you are going for. When your job offer and contract are in front of you, you can then better evaluate it for its competitiveness.
-
5
Disclose your previous salary only when you have an idea of what the company will offer. If the employer asks you what you made at your last job, he wants to know if he can afford you. One option is to say that salary will not be a problem in your negotiations. If pressed, offer what you made at your last position, but maybe state you learned new skills there and are worth a bit more now. Be sure you are not breaking any nondisclosure agreements from your last position by offering your last salary.
-
6
Ask for a description in writing of how you will be awarded any bonuses your company offers. You could be fired a few days before the bonus is given and have to forego it. Get cause for termination without severance or bonuses in writing too. It is important to be very clear on what you could do that would cause the company to ask you to leave. An employment contract with this element could avoid the situation where just because the company does not need your services and wants to save money, it asks you to leave a few days before the yearly bonus is paid. Another idea is to include in the contract how parting of ways will be communicated both within and outside the company if you leave. A good reference from your employer will be important when you apply for other positions in the future.
-
1
Tips & Warnings
Read any noncompete, nondisclosure and nonsolicitation clauses. If these policies are overly strict, you may have a difficult time finding a position in your field of work in the future if it becomes necessary.
Hire an attorney to go over the employment contract for you. Work with one who specializes in employment law or contracts. This is most appropriate if you are dealing with a complicated employment contract.
References
- Photo Credit contract 20309 image by pablo from Fotolia.com
