Ah, compensation. What a delicate, often angst-provoking topic. Particularly to those in a corporate setting who discover that a coworker is getting paid more than they are.
“When You Find Out a Coworker Makes More Money than You Do” is the title of an excellent article by freelance journalist Rebecca Knight. And in it, you get a nice review of the practicalities and emotional complexities behind salary and some smart tips about negotiating a raise as well as two helpful case studies.
It’s natural to feel frustrated and slighted when you discover a colleague is making more than you do. Especially when it appears they don’t have your level of expertise or commitment to the work at hand. But Karen Dillon, the coauthor of How Will You Measure Your Life? points out that compensation is “never perfectly egalitarian.” For example, the gender pay gap can come into play, as well as previous associations—“He and the boss worked together at Company X—and what I call the Stanford premium.
So here’s what to do when confronted with compensation inequality.
First of all. Stay calm and non-confrontational. Leave your cube and take a walk if you have to. Ms. Dillon notes that you need to change your inner talk about the situation.
Then:
- That is, consider how your company makes pay decisions and whether or not you’re paid fairly. If so, you can use the knowledge at your next review. If not, then you probably do need to talk to your boss. (Don’t confront your coworker.)
- Talk to your manager. Stay calm and non-confrontational. (This should be your mantra.) Tell her you like your job and ask about your chances of getting a good-sized increase at your next review. It’s probably a good idea to cite the value you bring to your company at this point.
- Talk to HR. Some of us tend to stay away from HR for a variety of reasons. On the other hand, HR can provide context about salary bands and other factors that influence how much people are paid. Just do this with your manager’s blessing.
- Keep a grip on reality. Most likely, you won’t see a dramatic boost in salary unless you’re promoted or get an entirely new position. So think about other ways to be better compensated. Can you negotiate working from home two days a week instead of one? Can you get additional staff? (Obviously, this advice makes sense for those who are farther up the career ladder.) Is there something else that’s a relatively painless ask that would make a difference for you?
Perhaps one of the most valuable side effects of finding out that your colleagues are making more is that you may be prompted to go out and test your value on the job market. And if you do, it will be worthwhile to take the time to do your salary homework.
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