Q:  Last week, you gave advice on how to ask for a raise during a tough economy.  You suggested making a strong case by having a list of accomplishments, and comparable market/salary information to convince the boss that a raise is warranted.  Well, I’ve done all that and my boss agrees I deserve a raise.  But, she says the problem is there’s just no money available.  What should I do now?

A:  First, let me congratulate you for doing your homework and making a case for the value you bring to the company.  If your boss already agrees you deserve a raise, this certainly places you in a stronger negotiating position.

Second, it’s important to understand how organizations make decisions about raises.  In small companies, decisions are in the hands of one or two individuals and the process is simpler, often quicker.

In larger companies, the process gets complicated and it’s not always easy to get approval for raises outside the planned budget and schedule.  Large companies must weigh the role you play in their current and future success.  They will consider how easy (or difficult) it would be to replace you if you quit.  They will also consider the precedent set by giving you a raise.  If your boss agrees that you deserve a raise, but denies your request due to budget or timing, try to get a commitment that the increase will go through at the company’s earliest opportunity.

If –like in your case- funds simply aren’t available to approve a raise in the foreseeable future, I suggest you start a discussion about non-monetary compensation.  Try saying “I appreciate money is tight right now.  How about non-salary perks?” Examples include:

• More vacation days.
• A flexible schedule.
• Option to work from home once a week.
• Paid conferences, training or other professional development.
• Time off without pay (some folks prefer leisure over dollars).

Lastly, I can’t overemphasize how important it is for you to maintain a great attitude throughout the process.  If you’re someone who’s pleasant to work with, it makes it much easier for the boss to go to bat for you. Whether it’s for perks or money.

© Copyright Eva Del Rio – Published in The Gainesville Sun on July 10, 2011