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Five Reasons Your Staffing Agency Should Manage Salary Negotiations


Negotiating compensation is a delicate dance between candidates and companies. Both sides have specific goals in mind and it can be challenging for either to open up fully to the other side. Handing off salary negotiations to your staffing agency is the right choice for an efficient and balanced process. Everyone is able to start the employee-employer relationship satisfied with the negotiation outcome.

Candidates Will Open Up Fully

It can feel intimidating to negotiate with a company. Realistically, the company holds all of the cards.  When staffing agencies act as the liaison between the candidate and the company, they can take the time to understand what the candidate is looking for and why they are seeking particular compensation of benefits.  Though the base salary budget may be set in stone, many other benefits have some wiggle room.  A candidate who can fully open up to us gives us information that we can relay back to the c-suite or compensation teams.  Often, there are other high-value benefits that candidates are willing to accept in lieu of additional base compensation.

Allowing Candidates to Compare their Current Compensation

A staffing agency understands the budget range that the company can offer. We walk candidates through the offer, allowing them to ask questions.  We have up-to-date market data and salary benchmarks to give candidates more peace of mind when considering a position.  Likewise, we spend time with candidates analyzing their current compensation versus the potential future compensation. This kind of comparison digs into retirement benefits, bonus structures, base pay, health benefits, and more.  When candidates are able to take the time to make the comparisons without feeling pressured, they can see a company’s offer for its true value.

Keep the Process Neutral and Uneventful

Sometimes Hiring managers have little to no control over the approved budget approved by senior management or compensation teams.  By acting as an agent of the company, we absorb any awkwardness or difficult conversations that hiring manager might otherwise have to endure.  The future working relationship with the hiring manager and the employee needs to start on the right foot. If the hiring manager is put on the spot about additional compensation during the negotiation process, it may sour the relationship before it has event started.  There are great candidates that hiring managers would hire at a higher salary, but simply cannot do it.

Manage the Conversation

Emotions can run high when candidates and clients are hashing out an offer. Companies need to fill a critical position now and candidates are trying to grow their career (and comp!) to afford the life they have created.  When agencies act as a liaison, we can get down to the nitty gritty of their decision-making process.  Candidates can be impulsive, driven by emotion when they speak with hiring managers directly.  It will come in the form of a late-night email, surprising a manager when they wake up in the morning.

When we manage the conversation, we can ask the question directly: Are you willing to walk away from an offer or are you trying to see how much more you can get?

Additional Requests Can be Considered Without Pressure

There is nothing worse than having to decide on-the-spot.  Your agency acts as a buffer, giving you a moment to consider any additional compensation requests before responding. This gives everyone the opportunity to voice their opinion, take requests up the chain, and respond appropriately.

So, what’s the bottom line? When an agency takes on a job, they need to be ready and willing to manage the salary negotiation process for both sides. This process adds value to your talent search process.

View our recent case studies and gain an even greater perspective.