Why You Need to Negotiate in the New Year: Here are 3 reasons on why you need to negotiate in the new year. Set it as your New Year’s resolution. Or don’t (because a lot of times those are left unfulfilled). So just set it as your yearly and weekly intention. Make it a habit. Do whatever you need to do to get it done.
Negotiate this year. This is nonnegotiable. Check out 3 reasons why it is an *absolute* must this year.
1. We are in a worker’s market
You need to negotiate in the new year because we are in a worker’s market. What does that mean? It means that workers are in charge. This has never happened before (at least in my lifetime). You know all those “Help Wanted” signs you see at every single place of business everywhere these days? That means you’re in charge. You get to demand/request what it is you want (within reason, or maybe a bit outside of it).
“[Workers] are calling the shots at this point in time. There’s a lot of negotiation power that workers have, not just on wages, but also on how many times a week they have to go to the office (depending on the type of work), sign-on bonuses, benefits, etc.” (Bovino, Hess, CNBC, 2021).
Take advantage
So, take advantage of the moment we’re in. This is unprecedented (sorry, I had to). Some experts say it won’t last (Hess, CNBC, 2021).
“It’s a worker’s market. Workers have the power right now,” says Beth Ann Bovino, chief economist at S&P Global. “Will it last through 2022? I would guess not. But up until the mid-year, I suppose it’s going to hold firm for workers.” (Bovino, Hess, CNBC, 2021).
Negotiate for more. That could be more pay, more time off, more remote work, more flexible hours, more family leave, whatever that means for you, ask for more.
Ask for more while the odds are in your favor.
2. Inflation is way high
You need to negotiate in the new year because inflation is off the charts. Everyone is feeling this pain in their wallets. Inflation is upon us. Since prices are going up, that means your pay should go up, too.
Normally, wages or pay increases based on inflation (2-3% per year). This year we have seen unprecedented inflation (sorry… that word again. Every day is unprecedented now). Your compensation should also reflect that.
*Remember that an inflation adjustment is different from a raise. Know the difference and adjust your ask accordingly.
For more on inflation and how to negotiate, check out the blog post:
3. There’s no time like the present
You need to negotiate in the new year because there’s no better time than right NOW to get paid your worth. Or get more vacation time. Whatever it is you want to negotiate, you need to do it! Now is the time.
Why? The odds are in your favor at this point in time and quite frankly, it’s overdue.
Systemic and structural change and progress is slow. We’re talking at a turtle’s pace.
Get ready for a wave of upsetting data points next:
- “The World Economic Forum estimates it would take 267.6 years to close the world’s gender economic gap” (The World Economic Forum Global Gender Gap Report, 2020; The Lily, 2021).
- “To put it another way, if current trends hold, no one alive today will see economic or political gender parity in their lifetime” (The Lily, Branigin, 2021).
- “When talking about the wage gap for women, it is important to highlight that there are significant differences by race and ethnicity. The wage gap is larger for most women of color” (Bleiweis, 2020).
- “Men are offered higher salaries than women – for the same job – 60% of the time” (Goyeneche, 2020).
Need more to fuel your fire? I didn’t think so. I sure don’t. As the data points out, you cannot possibly trust the government, your employer, or any one entity to prioritize your well being or prioritize equitable pay practices, unfortunately. That is up to you.
Negotiate Now
You need to negotiate in the new year because…
- 1) The timing is absolutely right. It is a workers’ market. Take advantage of this! Who knows when the tide will change. Go negotiate right now!
You need to negotiate in the new year because…
- 2) Inflation is so painfully high. I know you feel it at the grocery store because I know I do. Sometimes at the gas pump. I pray you didn’t have to buy a new car this year, because that industry was out of hand. You need to negotiate so your wages don’t diminish to this high inflation rate we are seeing.
You need to negotiate in the new year because…
- 3) It is overdue. There are so many of us that are so damn underpaid. It stops now.
I’m rooting for you! Let’s get it and negotiate for our worth!
Sources
*Article: “Why economists say you should ask for a raise in the new year” @CNBCmakeit (2021)
Author: Abigail Johnson Hess
Quotes: Beth Ann Bovino, chief economist at S&P Global
*Article: “If you don’t get a 6% raise, are you taking a pay cut due to inflation? Here’s what experts say” @CNBC News (2021)
Author: Carmen Reinicke
*Article: “U.S. consumer prices jump 6.2% in October, the biggest inflation surge in more than 30 years” @CNBC News (2021)
Author: Jeff Cox
*Article: “The Most Critical Reason You Need To Negotiate & How To Do It Effectively” @forbes (2020)
Author: Renee Goyeneche
*Article: “The pandemic set women’s equality back another generation, a new report says” (2021), The Lily
Author: Anne Branigin
*Report: Global Gender Gap Report 2021
Entity: World Economic Forum
*Article: Quick Facts About the Gender Wage Gap (2020), Center for American Progress
Author: Robin Bleiweis
Want More on Negotiation?
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Want more negotiation tips? Check out these posts to help you in your next negotiation:
- The First Step In A Negotiation Isn’t What You Think
- Should I Be Grateful In My Negotiation? The Answer May Surprise You
- 5 Tips: Focus On What You Can Control In a Negotiation
- 5 Easy Steps to Take If There Aren’t Any Funds Left
- 4 Reasons You Need to Track Your Work Wins and How They Help You Do Better in a Negotiation
- What Are Your Salary Expectations? How to Best Answer
- 7 Steps to Take When You Find Out You’re Underpaid
Disclaimer: While the contents of this post and blog come from research and personal experience, each experience, situation and/or person has their own unique circumstances. This is not negotiation, financial or any other form of legitimate or official advice from an expert. Each individual should do their own independent, comprehensive research. Negotiation, career and all other decisions are the sole responsibility of each individual or party. Details found on the blog and in individual posts are opinions and should be treated as such for entertainment purposes only. Read further disclaimer information in the footer and on the Disclaimer page.
