Employment Contracts To Reel In Associate Specialists

Turnover among veterinary specialist associates is caused principally by the failure of practice owners and employees to properly articulate their respective expectations and negotiate and document the employment relationship. Time and effort invested up front will help avoid mismatched expectations, misunderstandings and separation down the road.

 

Can the practice even afford another full-time veterinarian?  Management consultants estimate that a small animal practice vet needs to produce a minimum of $180,000-$250,000 gross income (excluding OTC product sales) to be worth his salary.   This number is far greater for veterinary specialists…..probably at least 3 times.

 

  1. WHAT IS AN EMPLOYMENT CONTRACT? A contract is a set of bargained for promises between two or more people, where one party promises to do X in exchange for another party’s promise to do Y.  Courts require that an enforceable promise meet certain conditions.  For example, the parties must be of age (no minors), of sound mind, and not under duress; there must be no fraud or mutual mistake over an important aspect of the transaction, and the deal must not be so one-sided as to be “unconscionable.”

 

            Consideration.  To distinguish binding promises from charity or gifts (you can’t sue Santa Claus because he didn’t give you enough presents last year), the law requires that the party to whom the promise is made give “consideration” for the promise in the form of a benefit to the promissor and/or detriment to the promisee.  Thus, Dr. Specialist promises to work 40 hours per week in consideration for an annual salary of $125,000 (i.e., a benefit to Dr. Specialist and detriment to Dr. Owner ).  Dr. Owner promises to pay such salary to Dr. Specialist in consideration for Dr. Specialist’s labor (benefit to Dr. Owner and detriment to Dr. Specialist).  Consideration exists for each promise which is therefore enforceable.

 

Avoid Oral Contracts.  Oral contracts generally are binding only if their performance lasts less than a year, because the law assumes that the parties’ recollections of what was agreed to become unreliable over time, increasing the tendency to remember events in a self-serving way.  Few disagreements are less productive than the “you promised X,” “I don’t remember X but you promised Y” litany.  Prevent such wasteful bickering by always insisting on a written contract, regardless of it’s term.

 

  1. CONTRACT FORMATION. Legal theory provides that a contract is formed once an offer is accepted.   Real life usually is a lot messier.

 

Offer   An offer can be oral or written (e.g., employer advertisement in a professional journal, on a bulletin board or mailed to the applicant).  Typically, the prospective employee will ask for clarification and wish to change the terms of the original offer by making a counter-offer.  The employer counters such counter-offer with his own counter-counter-offer. This confusing and frustrating process continues until either the parties reach an agreement or, realizing they can’t make a deal, go their separate ways.

 

Acceptance  Legally, the contract is formed as soon as the offer is accepted.  This can be a trap for an impulsive party who accepts an offer, but who later asks for “just one more thing.”  After acceptance, it’s too late and the other party can sue for damages if the impulsive party doesn’t perform his or her obligations under the originally accepted offer.

 

Ideally, an accepting party will clearly indicate his acceptance to the offering party, at best by signing an employment agreement or acknowledging acceptance in writing on the offer.  More difficult to prove, but still unambiguous is an oral “I accept” or words to that effect.

 

Avoid unclear contract formation situations. Courts have created the so-called “action in reliance” (promissory estoppel) doctrine to find enforceable contracts even when one of the parties thought no contract existed.  Courts have found valid contracts in cases where an:

 

  • employer knew or should have known that the employee had acted “ in reliance upon the offer” such as incurring expenses to move to the job location, searching for lodging thereat, and informing other employers they no longer are job applicants; and

 

  • employee made the last offer or counter-offer, and such employee knew or should have known that in reliance thereon, the employer ceased advertising for the position, informed candidates that the job was filled, or bought new equipment or hired additional support staff in anticipation of the employees arrival.

 

Accordingly, a party considering an offer should not talk or act in a way it knows or should know will lead the other party to believe that such offer was accepted and should make sure that the other party is not taking action “in reliance” on anything it did or said.

 

III.      CONTRACT TERMS.  Assuming that the offer, counter-offer, counter-counter offer, etc. ballet results in the bliss of acceptance, the employment contract terms contain the nuts and bolts of the “meeting of the minds” of the parties.   Following is a list of the main questions addressed in a proper employment agreement:

 

  1. How Long?  Is there a fixed term (period) of employment (six months, one year, two years, or is it “at-will” (i.e., the contract continues until a party decides to terminate it)?  Is the term automatically renewed on the expiration date?

 

  1. Work Schedule.  How many scheduled hours per week must the employee work, and beyond the schedule, how many additional hours will employees actually spend phoning clients, performing diagnostics, interpreting laboratory work, overseeing patient care, etc.  What is the schedule for any required emergency work?  Is it equitable?

 

  1. Duties.  What are the associate’s responsibilities?  May employees decline (without penalty) to perform procedures they deem ethically wrong?  How much emergency duty is required? Will they be required to visit rDVMs, engage in marketing activities?

 

  1. Compensation:  How Much?   Is It Enough?

 

How Much?

Serious job applicants must know the relevant “comparables” in their labor market, i.e., what compensation is paid to other starting associate veterinarians in the area were they are seeking employment.

 

Is it Enough?

Currently, the salaries that are being paid to different specialists is not well documented.  The AAHA/Care Credit 2005 Specialty & Referral Veterinary Practice Benchmark Study and ACVIM proceedings from the Hill’s Practice Health Symposium, titled “Insights on Veterinary Specialty Practice Productivity” are a sampling of the few publications that have salary figures.    Regardless of the trends, however, debt ridden veterinary specialists cannot assume that current salaries will permit them to survive (let alone live comfortably).  So the first question isn’t really “how much are they paying?” but rather “what do I need to pay my debts, buy cold cereal and go to a few movies?”

 

The only way to answer this question is by doing a budget. Budgets undoubtedly are one of the most boring tasks in the world, but boring beats finding out that you can’t make ends meet six months after you’ve been hired.  Technology has reduced the pain of budgeting, so there is no excuse for not doing it.  Any financial software program worth its salt will permit veterinary graduates to establish a budget.  See attached form to assist in determining one’s budget.  You can also do a budget on the following website: Personal Finance Simulator 2011(www.finsim.umn.edu)

 

Tips for Making More Money

As discussed below, a common way for associate veterinarians to increase their compensation is to join a practice, which pays them a percentage of the collected income they generate.  Other ways include working additional shifts, and working at another practice is the employer will permit it.

 

Compensation Types: Flat Salary, Percentage Income And Performance Bonuses

Generally, there are three types of veterinary associate compensation: (1) flat salary; (2) commissions based on a percentage of the income generated by the associate; and (3) a hybrid of flat salary and commissions.

 

Flat Salary

Flat salary (a fixed amount per year), is a common form of associate compensation.  A fixed salary provides the veterinary associate with the security of a predictable income.  It is also simple to keep track of.  Associate veterinarians earning flat salaries, however, cannot increase their compensation, no matter how much income they generate for the practice or how hard they work.  Flat salaries are not preferred by new graduates looking for the opportunity to increase their compensation in exchange for a greater contribution to the practice.

 

Straight Commission

The straight commission system simply replaces the flat salary with a commission.  The straight commission scheme link the dollars veterinary associates earn with their contribution to practice revenues.  Because practice revenues (and the commissions) will vary month to month, associates will have a more difficult time managing the repayment of their student debt.

 

Hybrid Systems

Under a hybrid compensation system veterinary associates are paid a guaranteed base salary plus an income production bonus equal to the percentage of the collected income they generate in excess of a certain target.  The base salary provides security, as well as a predictable income stream with which to service student debt.  This is a significant advantage over the straight commission system.

 

Production Compensation Pitfalls

While production compensation usually permits new graduates to increase their compensation, the system does have its problems and pitfalls.  By carefully examining practice operations and asking the right questions, prospective associate veterinarians should be able to either avoid these pitfalls or at least reduce their impact.

 

  • Assigning Cases and Receptionist Gate Keepers.
  • Staff Efficiency and Leverage.
  • Data Processing and Definition Issues.
  • Competition and Distrust Among Veterinarians.

 

  1. Employee Benefits.  Practices usually offer at least some of the employee benefits described below to their employees.  The cost of many benefits (such as health, professional, and disability insurance, qualified retirement plans) are tax deductible business expenses to the employer and are not included in the employee’s income, resulting in a savings to the employee of 25 to 40%.  Not taking advantage of this juicy gift from Uncle Sam is wasteful.  On the other hand, employees must realize that the practice probably can’t afford all the benefits they desire.

 

  • Health Insurance. Does the employer offer health insurance?  If not, what does the employer do when he gets sick?  If so, what kind of medical plan is it (e.g., fee for service, HMO, PPO)?  What about pre-existing conditions, vesting, eligibility, deductibles and co-payments?

 

  • Disability Insurance.  Employees at age 25 have a 58% chance of becoming disabled for more than three months (with an average disability duration of three years), so employees need disability insurance to protect their greatest asset: the ability to work.  If the employer does not offer disability insurance, employees are well advised to get it on their own (after asking, of course how the employer, protects himself or herself against disability).

 

  •  Professional Liability Insurance.  Do employers pay the premiums on the employees’ professional liability insurance?

 

  • Retirement Plans.  Has the employer established a retirement plan for the employees? (Profit sharing plans are the most common type of retirement plan offered by veterinary practices.)  When do employees become “vested” or “eligible?”  If the employer does not offer a retirement plan, employees will need to save on their own (and that means more than just the annual IRA contribution).

 

  •   One week?  Two weeks?  More?  How many consecutive days may be taken?   How much advance notice must be given?  May unused vacation days be carried forward to next year?  How are vacation days paid for percentage compensated employees?

 

  • Sick Leave and Disability.  Does the employer offer paid sick leave?  Disability leave?  After how long can disabled employees be terminated?  May unused sick days be carried forward?

 

  • Continuing Education. How many CE leave days are granted and are they paid? To what extent do employers reimburse CE expenses?

 

  • Association Dues.  Are national, state,  local and specialty veterinary association dues reimbursed?

 

  • Veterinary License Fees and DEA Registration.  Are these fees paid by the employer? Should the employee register with the DEA so she is permitted to prescribe and order controlled substances (rather than just administer them under the supervision of a DEA licensed veterinarian)?

 

  • Relocation (moving) expenses.  Most corporate and government employers provide some form of moving expense.  Sometimes a “signing bonus” or short term loan can cover all or part of these costs.

 

  • Vehicle allowance or mileage payments. Employees using their personal vehicles for practice business should be reimbursed for a pro-rata portion of their insurance, general maintenance, registration and inspection fees, fuel, repairs, depreciation, and lost opportunity costs.

 

  1. Performance Evaluation.  Will the employer provide written and/or oral performance evaluations?  How often?  Will these be used to modify compensation?

 

  1. Non-Competition.  Many employers require their employees to sign non-competition clauses (also called restrictive covenants) forbidding terminated employees from competing with the employer.  Such clauses must be limited in time (e.g., 2-3 years after termination) and geographic area (e.g., 25-50 air-miles from the practice) to be enforceable. The precise limits on the scope of such clauses vary from state to state.  Specialists typically have a larger radius as the trade area for specialty practices is much larger than a generalist’s.

 

  1. Termination.   Does the contract have a specific term (e.g., “this agreement will expire after one year”) or is it employment “at-will”, in which case, either party can terminate the relationship at any time, for any reason? Contracts with no term are deemed to be “at-will” in most states.  If there is a term, then an employee leaving or an employer firing before the term would constitute a breach unless the contract provides otherwise.  Most contracts which provide for termination before the expiration of the term require that the terminating party give advance notice (e.g., 90 days) to the other party.  Such contracts usually also contain a list of situations (e.g., suspension of the associate veterinarian’s license) permitting the employer to fire the employee at any time without notice (a.k.a. termination “for cause”).

 

Employees should make every effort to leave their employer on good terms even if they are not requesting a reference.  The veterinary industry is quite small, and an employee’s reputation can easily suffer through casual conversation among colleagues.

 

  1. LAWYER REVIEW. Negotiating and drafting an employment contract can be long, painful and complicated.  It therefore makes as much sense to seek professional help in this endeavor as it does to take a pet to a qualified veterinarian when it is sick.  Lawyers are expensive, of course, just as much as veterinarians…

Four Benefits New Employees Want Today

In today’s times, employers are finding that they need to make their workplaces as appealing as possible to recruit and retain employees. In the past, it may have worked reasonably well for a company to advertise for employees, interview candidates, select the best ones, and then tell them what benefits were available.

Today’s reality is quite different, with new employees now having certain needs and desires that aren’t necessarily the same as those valued by Baby Boomers. Although employers are still interviewing job candidates to find the right person to hire, quality employees are also using the interview process to decide which company is the best fit for them.

This may be even more true in the veterinary industry than in the overall workforce, as the shortage of veterinarians, nurses, and technicians becomes even more acute. Here are insights into four benefits being desired today.

Life-Work Balance

Although quality employees are still willing to work hard, today’s graduates greatly value life-work balance. One recent Gallup survey indicated that 53 percent of employees today place a premium on this kind of balance and, as new graduates continue to come into the workplace, that number is likely to continue to increase. Because this balance was found to be even more valuable to females, this benefit is especially important to note in industries that are often female-dominated–such as the veterinary industry.

Because of this shift in values, practices that want to attract an all-star team will need to consider how they can incorporate flex-time schedules. This can feel challenging, given that patients typically need to be treated in the same room as the veterinary professionals, making it difficult to allow employees to simply telecommute.

Instead, practices may need to provide more flexibility within the jobs themselves. For example, practice managers can focus on matching up job responsibilities with the interests of each employee. Or, it could mean allowing employees to swap positions on certain days to give them variety in what they do, which can help to strengthen teamwork.

One of the most desired ways to offer flexibility, though, will be to help employees accommodate their personal schedules and needs within a workweek. For example, how can you facilitate shift switching in a way that covers the needs of your practice but allows employees to meet demands from their personal lives? How can you adjust start times or lunch breaks to accomplish the same objective?

Is it possible to rearrange schedules to allow employees to have four-day workweeks? That’s another perk that’s increasingly in demand today.

A 2015 Workplace Trends study showed that flexibility was named the most important benefit by 75 percent of employees. Organizations who help to provide that flexibility have benefited in the following ways:

  • improved employee satisfaction (87%)
  • increased productivity (71%)
  • retained current talent (65%)

Plus, 69 percent of the workplaces surveyed use flex-time options in their recruiting, with 54 percent of them believing this had a positive effect on recruitment.

Learning Stipends/Continuing Education

Learning stipends are cash benefits offered to employees that they can use for professional development or continuing education. Many employees today want to continue to learn—with one study showing that 87 percent of Millennials consider the opportunity to continue to grow and develop a key benefit. In turn, this lifelong-learning, more educated workforce can provide significant benefits to the veterinary practice.

Encouraging a learning mindset in your practice culture, and helping to provide educational opportunities not only helps your employees to grow personally, but also in a way that makes them even more valuable to your practice. If providing learning stipends to employees isn’t practical for you, then find out what employees feel they want to learn more about and provide workshops. One example of this option would be organizing lunch and learn events at your practice.

Mentorships Matter

As a related desire, employees today often want to know that they will be mentored by an experienced person in the industry. This can mean someone who will help to navigate the new hire through the workplace culture, and/or to understand policies and procedures. Each person may have slightly different needs when it comes to mentoring, but it’s an in-demand benefit, one that can boost the strength of the practice when handled well.

Mentoring helps transition new employees into a particular workplace and, the more quickly that a new hire feels comfortable and part of a team, the more likely that he or she will want to stay at that job.

Also, consider incorporating reverse mentoring, where the new hires help to mentor more established employees in areas of their expertise. This concept was created in 1999 in General Electric, with many other prominent companies adopting the program.

One of the key benefits experienced by one such company is that they experienced a 96 percent retention rate for the Millennials involved in reverse mentoring. These employees felt valued for their contributions to the company, and this gave them a chance to work more closely with senior employees. This can also help to create a more diverse workforce and pipeline of incoming human resource talent.

Finally, though reverse mentoring, younger employees can help more established ones to stay on the cutting-edge of technological opportunities that may benefit the practice. One large insurance company pairs older IT employees with new ones to discuss best practices and key trends, and to otherwise maximize potential of the company.

What’s important to think about is how reverse mentoring might benefit your practice. Reasons may not be the same ones as those at the large companies being referenced in this article—and they may not be the exact same ones as the veterinary practice down the street. It’s important to think about your business and workplace culture needs, and then create corresponding pairings and reverse mentoring structures.

Appropriate Technology

New employees in the veterinary industry will likely perk up their ears when they hear that a certain employer has invested in or has access to the best technology to treat their patients. Tech-enabled workplaces are simply more appealing to many of today’s job candidates. And, the use of technology to recruit and retain star employees can go way beyond the technology used to care for patients, helping to create an engaged workforce.

You could, for example, provide quality continuing education through the use of online courses or a training and development center that employees can self-access. Gamification in training may well appeal to the younger generation at your practice, creating a fun way to raise the bar on what employees are expected to know.

With gamification, training is provided in an interactive, engaging way that uses elements of games to help users immerse themselves in the experience. If this idea is new to your practice, this ties back into a previous strategy to use; you could ask your new employees to reverse mentor the team on the use of gamification e-learning.

Technology can help employees to collaborate and communicate, with conversations stored for future reference. You can use the power of your website to share your workplace culture with potential employees, letting them see how you understand their needs and focus on finding ways to fulfill them as, collaboratively, you build the best veterinary practice possible.

Conclusion

To maximize your practice, it’s important to stay in tune with what new employees desire. This can happen by reading industry reports, reviewing human resource surveys and studies, talking to your current employees, and using your interviews of new employees as opportunities to also learn more about what benefits and workplace cultures are important to them.

You will likely find that work-life balance, continued learning, mentorships, and technology are discussed. You may also discover new ways to effectively recruit and retain the ideal veterinary team that will allow you to compete in the industry and provide quality patient care.

Understanding your Worth and Using it to Earn More Salary

Experts today often discuss the importance of being empowered, and feeling that way can be a key part of living a full and healthy life. But, take a second look at that phrase—being empowered—and you’ll see that it actually refers to a passive process, of other people empowering you. We’d like to suggest that, instead, you should empower yourself by understanding what you’re truly worth, embracing a philosophy of lifelong learning, and then using that combination to earn more money in the workplace. The following steps can help you achieve those goals.

#1 Conduct a Realistic Self-Assessment

There are self-assessment tests online, and there are consultants who can help you with this process. If you can be honest with yourself, you can do your own assessment. At its core, self-assessment is a process whereby you determine your strengths and weaknesses, and their value. Strengths can include:

  • work experience
  • educational degrees and certifications
  • volunteer and other non-paid experience
  • leadership skills
  • communication skills
  • organization skills
  • strong work ethic
  • problem-solving skills
  • good judgment
  • flexibility
  • self-discipline and initiative
  • analytical ability
  • empathy

This is just a partial list of what you could consider your strengths during your self-assessment process. To brainstorm an even more complete list, it could help to use Google to find additional traits and experiences to include; sites that focus on resume writing, for example, often have an excellent list to browse through and consider.

You can use the same list to determine which of these are your weaknesses—meaning any educational, personal and work-related areas where you could use more bolstering of skills. When you create an actual list of weaknesses, note where you are already working on improving that skill gap, and then brainstorm ways you can further your worth even more.

As noted in the subheading of this step, it’s important to create a realistic list. If you’re too modest, then you’re likely undervaluing yourself in the workplace, which means you may be earning less than you deserve. If this resonates with you, why are you doing this? How can you build your self-esteem? Were you taught growing up that bragging was inappropriate, and that humbleness was a virtue? If so, then the task in front of you is to work on being honest about your accomplishments in a professional way.

Conversely, if your self-perception is higher than the reality, you may ultimately suffer negative consequences. It may enable you to convince a supervisor that you deserve a promotion and a raise, but if you can’t perform appropriately then you may get negative reviews and eventually lose that job. Take a step back and realistically self-assess. Then boost your skills, both hard skill sets and soft ones.

#2 Create an Ongoing Improvement Plan

Few of us can rest on our laurels. For example, if you’d like to continue to advance in your career and continue to raise your salary, then it makes sense to use your self-assessment list to create an ongoing plan for further advancements.

It can be beneficial to have a trusted mentor to serve as your sounding board. This can help if you tend to be overly critical of yourself, as well as if you internally overstate your levels of job performance. When choosing a mentor, select one who can offer direct, constructive feedback; you may discover that you could use more than one mentor. Perhaps one is excellent in giving feedback about your actual job skills and performance, while another can guide you towards your goal of being more empathetic towards clients.

If you have mentors, focus on being open to hearing what they have to say, putting aside any feelings of defensiveness. If you have the right mentors, those who have your best interests at heart, then actively listening can provide you with excellent gifts of insight. (If you don’t think you have the right mentors, then that’s another situation entirely, and one that needs to be addressed.)

Take notes as your mentors offer feedback so you can refer to them and reflect. This can help you to gauge progress and it also shows your mentors that you’re committed to the process and the time they’re dedicating to help you.

#3 Formulate Your Personal Branding Statement

Once upon a time, branding was for products. In today’s times, personal branding is key, and when properly articulated, it can serve as a beacon for understanding your true worth at work. When you create a personal branding statement, you are stating what makes you unique and valuable, and this helps you to proclaim your worth in the workplace in a professional way.

Remember when, at the start of this article, we differentiated between being empowered and empowering yourself? The reality is that if you don’t present a certain brand, others will decide your brand for you. Which would you prefer?

Questions to ask yourself as you create this statement include what you stand for and what you advocate for. What do you aspire to do now? In five years? Ten? In what areas of work would you make a good participant? A great leader? Where are you continuing to advance?

Here is a starter statement: I am focused on developing profitable new lines of service at work, while cultivating authentic relationships based on trust and respect. My ability to stay calm in crises is a central tenet of my leadership skills.

After you’re clear about your personal branding, think about how to most effectively articulate it—not only in words, but also in how you act and interact each day, as well as doing what you say. If you don’t do exactly what you say, make sure it’s because you over-deliver, not under-perform. Your appearance is also important. This doesn’t mean wearing the fanciest attire, but it does mean the most appropriate. Being well groomed always matters.

The way you treat someone when it doesn’t necessarily benefit you may be the litmus test that determines whether you truly believe in and live out your branding. Your personal branding statement isn’t an overblown marketing slogan, written just to pull out of your pocket when you want to get ahead of the next person. It should always accurately reflect the authentic, genuine you.

#4 Asking for More Money

By living life as an ongoing learner, always filling in gaps and improving yourself personally and professionally, you are creating a scenario where you deserve more money. Sometimes you also need to ask for that extra cash.

Entire books have been written on how to ask for a raise. Overall, it involves research and preparation. Be prepared to discuss your accomplishments and how, specifically, they have added value and will continue to add value to your workplace. Quantify benefits whenever you can while also discussing how they add to the quality of the company and customer service provided.

Be aware of what the industry standards are for your position, and if you’re asking to be paid on the high end, be ready to share why you’re worth it and how you can continue to move the company forward, including financially. Be courteous and clear in your request and consider how much more responsibility you’d be willing to take on if that’s a counteroffer given.

Practice giving your pitch in front of a mirror. Watch your body language. Is that the image you want to portray? Practice your pitch in front of your mentor and/or other trusted colleagues. What feedback did you receive? What did you think of any comments made and how does that change your pitch? You don’t need to use all feedback that’s given, but thoughtful consideration of advice provided by intelligent professionals is wise.

Anticipate questions you may be asked and consider how you might answer them. Conversely, don’t create prepared answers that may sound stiff in the meeting with your supervisor, and may not precisely fit the actual conversation that’s taking place

Prepare your response in case the answer is “no”. Could you counteroffer by asking to meet again in six months to discuss the requested raise? If not, what does make sense as a next step?

At a minimum, this conversation demonstrates that you value yourself and gives you a chance to discuss your contributions with your supervisor. It may ultimately lead to a raise at your current workplace or it may give you confidence to job seek elsewhere, in a place where your skills can be put to even better use with better compensation given.

Bonus: Pay It Forward

As you continue to move forward in your career, any advancements that you make will likely have occurred—at least in part—because of mentors and other supportive professionals. So, it makes sense to consider how you can pay them back by paying it forward. Ways you can do that include the following:

  • serving as a mentor/role model to others
  • helping others in less formal ways
  • encouraging co-workers who are feeling down
  • introducing people in your industry who could likely help one another
  • complimenting people who are going the extra mile
  • keeping calm in an office crisis

The various ways to pay it forward are as unique as you are. Once you have figured out how to empower yourself and increase your net worth, take the time to help others do the same.

Issues to Negotiate in Contracts Seen in Practice

When you’re offered a job at a veterinary practice, it’s important to get as much information as possible about the specifics. You’ll typically be offered a certain wage, often along with benefits such as health insurance, retirement benefits, vacation time and the like. But the offer may not mention workplace flexibility and other perks that can have a significant impact on your job – and so it’s crucial to negotiate all of the key elements of the offer.

Many people feel uncomfortable when negotiating a work package, but gaining the ability to negotiate well help you to be more successful at work long after you’ve begun a particular job. As a part of a veterinary practice team, you may need to negotiate with vendors, and with challenging clients – and almost certainly there will be times that you need to negotiate with your employer about a raise, a revised benefits package, and evolving workplace perks and policies.

When you negotiate fair compensation for yourself, you will become more committed to the practice, which translates into better care for the practice’s clients and their pets. As an employer, when you negotiate fairly with employees, you will help to build loyalty that will stabilize and strengthen your practice.

What Negotiations Are & Why They’re Needed

A negotiation is a process in which two or more parties attempt to resolve differing needs and interests through a series of communications. An employer, for example, may want to offer someone higher wages, but needs to consider the overall profitability of a practice. Meanwhile, an employee may understand and support the need for a thriving practice, but also needs to earn a certain wage to support his or her family.

Employers and employees negotiate because they each have what the other one needs, and they believe they can obtain a better outcome through the process than if they simply accept what the other party is offering. Sometimes, negotiations occur because the status quo is no longer acceptable for one or both parties.

Negotiations take finesse because, besides dealing with specific tangible points (wages, insurance benefits and workplace perks, as just three examples), emotions play a part and ongoing relationships are involved. The parties are choosing to try to resolve their different positions through discussions, rather than arguing, ending the relationship, having one person dominate the relationship or taking the dispute to another party with more authority.

Negotiation Terminology

Using the example of wages, employers and employee alike have a target point, which are the wages they would like the other party to agree to. The difference between what an employee wants to be paid and the employer wants to pay is the bargaining range. Meanwhile, the resistance point is where a party would walk away from negotiations; if too low of a wage or raise is proposed, an employee may begin job searching or a job candidate may decline an offer; the employer also has a point at which he or she will reject a wage request and end negotiations.

When the buyer (employer) has a resistance point that’s above the seller’s (employee), this situation has a positive bargaining range. The employer, in this case, is willing to pay more than the employee’s minimum requirements, so this situation has a good chance of being satisfactorily resolved. With a negative bargaining range, though, one or both of the parties must change their resistance point(s) for there to be a possibility of resolution.

In a wage negotiation scenario, either the employer will offer a starting wage or raise, or an employee or job candidate will request a certain dollar amount; the first person to name a dollar amount is making the opening offer. If at least one of the parties has a BATNA – best alternative to negotiation agreements – then he or she will probably approach the discussions with more confidence, having another alternative. So, if an employer offers someone a job, but has another excellent candidate waiting in the wings, the employer has another alternative and can set a higher and/or firmer resistance point. Conversely, if an employee or job candidate has a unique set of skills that are needed in today’s practices, that person probably has more options in the job market – perhaps even other pending offers. The quality of a negotiator’s alternatives drives his or her value by providing the power to walk away and/or set a higher and/or firmer resistance point.

Bargaining Styles

There is more than one type of bargaining style. One way to differentiate them is to divide them into distributive bargaining and integrative bargaining.

In distributive bargaining, parties’ needs and desires are in direct conflict with one another’s, with each party wanting a bigger piece of a fixed tangible such as money or time, so these negotiations are typically competitive. Parties are not concerned with a future relationship with the other person. A slang term for this type of negotiation is “playing hardball” or “one upping” someone. Strategies often include making extreme offers, such as an employer offering a very low wage or a job candidate asking for an exceptionally high one. Tactics include trying to persuade the other party to reconsider his or her resistance point because of the value being offered – in this example, the job candidate might say that a high salary was required because of his or her abilities or an employer could say that lower wages would be compensated by a great work environment.

With integrative bargaining, though, the goal is win-win collaborations that will provide a good opportunity for both parties. The employer would acknowledge the employee’s value and need for a decent wage, and negotiate accordingly, while the employee or job candidate would recognize the value of working at a particular practice as well as the fact that the employer has numerous other financial commitments to fulfill.  They recognize that they need one another to maximize their respective opportunities and negotiate from a place of trust and integrity, with a positive outlook that recognizes and validates the other party’s interest in the transaction.

Here’s an interesting psychological truth. Negotiators are more satisfied with final outcomes if there is a series of concessions rather than if their first offer is accepted, because they feel they could have done better.

Negotiation Styles

To successfully negotiate, it’s crucial to clearly define the issues involved, and to prepare for the negotiations. Each party should be clear about his or her target point, opening offer, resistance point and BATNAs.

Multiple negotiation styles exist, each on the spectrum of assertiveness and cooperativeness. Here are summaries of common styles:

Competing (high in assertiveness, low in cooperativeness): these negotiators are self-confident and assertive, focusing on results and the bottom line; they tend to impose their views on others

Avoiding (low in assertiveness and cooperativeness): these negotiators are passive and avoid conflict whenever possible; they try to remove themselves from negotiations or pass the responsibility to someone else without an honest attempt to resolve the situation

Collaborating (high in assertiveness and cooperativeness): these negotiators use open and honest communication, searching for creative solutions that work well for both parties, even if the solution is new; this negotiator often offers multiple recommendations for the other party to consider.

Accommodating (low in assertiveness, high in cooperativeness): these negotiators focus on downplaying conflicts and smoothing over differences to maintain relationships; they are most concerned with satisfying the other party

Compromising (moderate in assertiveness and cooperativeness): these negotiators search for common ground and are willing to meet the other party in the middle; they are usually willing to give and take and find moderate satisfaction acceptable.

As long as both parties are committed to the business relationship and believe there is value in coming to an agreement, negotiations can typically proceed.  If one or both parties, though, are unreasonable, uninformed or stubborn – or listening to advisors with those characteristics – negotiations can fall through. Other challenges exist when one party doesn’t necessarily need the deal, isn’t in a hurry or knows that the other party is without other options and/or in a time crunch.

Negotiation Fears

You may dread negotiation. If so, you’re not alone. There are many reasons for not wanting to negotiate, but some common reasons include the following:

You have not yet solidified your position: in this case, more preparation is clearly needed.

Fear of looking stupid: nobody likes looking foolish, so some people will avoid negotiations altogether rather than taking the risk of not negotiating well.

Liking people and wanting to make them happy (but perhaps not being able to give them what they want)/not wanting to affect someone else in a negative way: if you are interviewing for a promotion at a practice, and you really like the practice manager, you may worry that negotiations will upset the manager or put her in a difficult position.

Fear of failure: some people would prefer to not negotiate at all, rather than making an unsuccessful attempt.

Feeling uncomfortable with money: some people were taught that it wasn’t polite to talk about money.

Other people have an aversion to conflict, overall, and so they miss out on the potential of it by not negotiating, in order to avoid feeling vulnerable.

Women in particular are reluctant to negotiate, with only 7 percent doing so. They suffer the costs associated with not negotiating because they tend to have lower expectations, fear being considered a “bitch” and can be penalized for negotiating. As a solution, women can consider framing their wants into the value that they will bring to the other party, and share how they can solve the underlying problem of the other party.

Areas where negotiating may not feel as intimidating include:

  • Negotiations for resources, whether it’s asking for more equipment or for a practice to hire more people
  • Negotiations about how to use resources; with a common purpose, solutions can be reverse engineered fairly easily
  • Negotiations where you have expertise
  • Negotiations with big companies where nothing is personal
  • Negotiations where you have evidence to support your position, including facts, data and logical reasoning

Salary and Benefits Negotiation Tips

Even though the examples given so far have focused on monetary compensation, when negotiating, don’t focus solely on wage or salary. Also discuss benefits offered and workplace perks – meaning the entire package. This can include, but is not limited to, health care coverage, life insurance, retirement programs, vacation time and flextime. If you’re job hunting, investigate what companies are offering. Where do you think the place you’re interviewing falls on that spectrum? What is the minimum pay level that you’re willing to accept? What is your preferred wage? What benefits are important to you?

If you want to work at a particular practice, but the pay rate isn’t quite what you want, ask if you can have a salary review in, say, six months. This doesn’t mean accepting a salary that is clearly sub-par, nor does it mean that you should try to put more pressure on a potential employer who is already offering you a good deal. It is simply something to consider in relevant circumstances.

What workplace perks might be desired? Would a company cell phone help you? Better equipment or software? If so, you could consider accepting somewhat lower pay if you get more tools to do your job.

Although telecommuting is seldom an option for veterinary staff, outside of perhaps financial or other purely admin functions, you could negotiate coming in half an hour later so that you can take your children to school or schedule a lunch break that coincides with when you need to pick them up. If you bring crucial skills to the negotiating table, you’re more likely to get these concessions than if you are entry-level.

If relevant, ask about practice policy if you become pregnant. How acceptable is the policy to you? How important of a negotiating point is this for you? What about if you are injured in the workplace? Educate yourself on your workplace rights before negotiations occur, as well as company policy. If you are valuable to the practice, perhaps you can negotiate some additional flexibility.

Who should be the first to make an offer? Some experts believe that, if you allow the other party to provide a starting dollar figure, he or she has shown his or her hand. But, research indicates that final figures tend to be closer to the original number stated than what the other party had originally hoped.

What NOT to Do

Beware of “between”! It probably feels reasonable to ask for a certain salary range – or range for a raise. But if you do that with a current or prospective employer, you have basically tipped your hand as far as how low you would go. Using the word “between” is actually a concession!

Another risky term: “I think we’re close.” A savvy negotiator will recognize “deal fatigue” on your end and perhaps stall in the hopes that you’ll concede, just to complete the deal.

Negotiating with Brokers

If you’re buying or selling a veterinary practice, then your negotiating skills will likely come in handy. For example, let’s say you’re selling a practice. In your listing agreement contract, you’ll typically need to agree to a period of time wherein the broker has exclusive rights to sell, perhaps six months or a year. If you’re not satisfied, can you terminate the agreement? It depends! It depends upon how well you negotiated the original contract with the agent. You may, for example, negotiate a clause stating that you can terminate the listing immediately for good cause or with a short period of prior notification if the termination is without cause. In exchange for that clause being included, perhaps you’ll agree to reimburse expenses incurred by the agent during the listing period and/or pay commission if the buyer is one that the agent initially identified.

Negotiating Lab Contracts

You’ll probably also need to negotiate contracts with labs that provide diagnostic services for your practice. You can work on a pay-as-you-go arrangement, sending work to different labs, as needed. The flaw is that you won’t get the financial incentives offered to practices who sign contracts. By signing a contract, you can negotiate lower fees or better rate schedules. When you pay less in lab fees, you could decide to offer lower rates to your customers, which will probably make more of them agree to pay for diagnostic testing in the first place. If you sign a multi-year contract with a lab, you may also be able to lease in-house lab equipment as part of the deal.

For Best Results

People tend to feel more confident during negotiations when it focuses on an area of their expertise and/or where solid evidence exists to back up the negotiations. Overall, success is achieved when you first:

  • Determine the interests of the other party
  • Embrace compromise
  • Observe the Golden Rule, treating others as you would like to be treated: fairly and reasonably, without defensiveness
  • Be prepared, both in factual information and in strategy

Know what’s most important to you, run the figures, and negotiate for what you want!

 

Legal Risk Management in Responding to Negative Online Reviews

Most people today have social media accounts that they use to keep in touch with friends, to read the news, to scroll through pages of cute animal pictures and more. We also use online resources to make everyday decisions, including choosing doctors, restaurants and movies. Today, virtually every service, from hair dressers to plumbers and beyond, is chosen in part based upon their online ratings and reviews. In fact, 72% of customers say they rely heavily upon online reviews when choosing services.

As a consumer, this can seem like a great way to weed out poor choices and find the best service. In fact, 87% of consumers say that a business needs a rating of at least three stars for them to even consider using them.

From the business owner’s point of view, though, these reviews can cause frustration, especially the negative ones which even have the potential to impact self-esteem. As veterinarians, for example, most of us feel that we have provided reasonable levels of service to our clients. Therefore, we can be shocked to see how our service has been construed by a client in a negative review.

For example:

Mrs. Smith calls Corner Veterinary Hospital, asking for a refill of Fluffy’s metronidazole. The receptionist informs Mrs. Smith that Fluffy hasn’t been seen by a veterinarian for two years and, if Fluffy is not feeling well, she should be examined by a veterinarian. Mrs. Smith becomes angry and refuses the appointment. Later that day, Mrs. Smith posts a Yelp review that Corner Veterinary Hospital refused to give Fluffy her medications and is run by money-grubbing veterinarians who just want an excuse to get more money from her.

Or:

Susie works for Dr. Johnson at Corner Veterinary Hospital. Susie is eventually terminated for excessive absenteeism. A few days later, Suzie posts a Facebook review that Corner Veterinary Hospital is filthy, Dr. Johnson doesn’t actually know what he’s doing, and he orders unnecessary treatments to make more money.

Naturally, Dr. Johnson and Corner Veterinary Hospital become indignant with such representations of their character and services. What options does the practice have for combatting such reviews?

In general, online reviews can either be ignored, responded to, or alternatively, the client can be sued for defamation. When deciding how to respond, it’s important to consider that the practice’s current clients have already formed their own opinions from their own personal experiences, and are less likely to be significantly swayed by a single negative review. Any recourse should therefore be taken with the potential client’s viewpoint in mind.

Choosing Among Options

The first option is to not respond at all. In general, if a practice has numerous positive reviews and only a few negative ones, potential clients who are deciding whether or not to use the practice will be less likely to be swayed by the negative reviews. In that case, most potential clients will accept the fact that some people will never be satisfied. A few politely-worded negative reviews can actually make the reviews of the business seem more authentic overall and, fortunately, potential clients can typically recognize highly unreasonable people.

It can be tempting to want to remove negative online reviews from a website, especially those that are more extreme. In many situations, this attempt may be unsuccessful, but there are some steps that can be taken. If the review appears on the veterinary practice’s Facebook page, for example, then the offending party can be blocked from the page so that any comments will not be viewable. Also, the Facebook review feature can be turned off entirely, although this will also remove all positive reviews, too. If the review appears on websites outside the control of the practice, and it is grossly inaccurate, some websites can be contacted to have the post removed, but this is often not successful.

Some practices ask acquaintances to post positive reviews to skew their ratings. Sites such as Yelp have mechanisms in place to identify and filter out reviews from friends and family and, on general principle, this should be avoided altogether. A better method is to encourage current clients to leave online reviews; although it is not ethical to ask them to write positive ones, it is acceptable to request reviews from clients who had quality experiences at the practice.

Under certain circumstances, veterinarians who feel they have been wronged will want to defend their names and reputations. After all, it’s hard to sit back and watch yourself be misrepresented online. Many people therefore feel the urge to respond to these reviews and clarify facts of the situation. Veterinarians, however, need to be aware that responding to such posts with the specifics of the situation may violate patient privacy laws. So, what can you do? Some practices try to proactively protect themselves by having new clients sign a statement saying that they waive the right to patient privacy in the case that the client posts a negative review.

Unfortunately, such a waiver would not be protective in court. Since the waiver is signed before any incident would occur, that client would not have had all the facts needed to waive his or her rights to privacy.

According to the AVMA, “veterinarians and their associates must protect the personal privacy of clients, and veterinarians must not reveal confidences unless required to by law or unless it becomes necessary to protect the health and welfare of other individuals or animals”. In other words, providing information in response to a negative review that could identify the client or patient could be a breach of privacy. At best, the practice could use the occasion to clarify their standard policies.

In addition to legal concerns, any reply to such a review could be perceived as inflammatory and defensive in tone by potential clients. Again, it’s important to remember that the Google-search audience is comprised of potential clients who are trying to decide which veterinarian would be best for Spot. A negative review may be considered more interesting, and is more likely to be read by a potential client when it has a reply from the practice.

If read, then the tone and impact of the reply is the potential client’s first insight into the personality of the clinic. If the practice seems defensive and unwilling to take responsibility, then the potential client may perceive the clinic as being hard to work with and one that’s not looking out for the client’s best interest. Any attempt to set the story straight can sound like arguing and create an unpleasant impression to the client.

That doesn’t mean that the review must be ignored entirely. Perhaps the practice doesn’t have many reviews and this one long and negative review thereby seems glaringly obvious. If the practice feels the need to respond, a generic but specific reply can be posted, such as the following:

Hi Mrs. Smith. We’re sorry to hear about your experience at Corner Veterinary Hospital. Please call Barb, our office manager, at (xxx)-xxx-xxxx so we can address your concerns.

This style of reply doesn’t break any patient confidentiality, can make the client feel as though he or she has been heard and, perhaps more importantly, provides an empathetic tone for potential clients to see. A good reply includes some expression of empathy, the specific name and phone number of the contact person, and an invitation to a private conversation.

The possible outcomes of this are three-fold. The best-case situation would be that Mrs. Smith does call Barb, hears an explanation and is satisfied with the conversation. In that case, she might remove the review or edit it to a positive. The next best situation is where Mrs. Smith calls and is reasonably satisfied but makes no changes to the review. The worst situation is where Mrs. Smith calls, but is still unhappy with the outcome, and makes further negative posts.

To help prevent this last situation from occurring, make sure the contact person is reasonably available and has the knowledge and authority to address the concerns. If Barb is only available every other Tuesday from 10:00am-12:00pm, Mrs. Smith will likely become even more annoyed. If Barb doesn’t understand the policy enough to defend it or doesn’t have the authority to make any reasonable accommodations, Mrs. Smith will likely be just as frustrated in the end, or even more so.

Ultimately, you can do your best to resolve these types of situations, but keep in mind that there are some clients who will never accept that things cannot be done their way. Since, by law, Fluffy’s metronidazole cannot be refilled without an exam in the past year and Barb cannot change that regardless of how much she wants to help Mrs. Smith, this particular situation may never be satisfactorily resolved for all parties.

Reviews from Disgruntled People  

Let’s say you receive a negative review from a client whom you’ve banned from the practice. Can that client be sued for libel? For a statement to be considered libel, it must be presented as fact, or be reasonably construed as fact by the average person. As long as the general gist of the story is true, even if some of the pieces are false, it may not be enough to constitute libel. Most reviews have some basis of truth to them, even if not every single detail is true, and these circumstances can make it very difficult for any practice to successfully fight a court case against a client. Plus, since almost all reviews are expressions of opinion, the practice will rarely have a solid enough case to make in court.

Moreover, pursuing a libel case can be quite expensive with a likelihood of success typically being slim. Besides, at the first hint of legal recourse, the client could immediately post that information to social media and create a publicity nightmare. Hence, any attempt at suing for libel is, in most cases, not worthwhile.

Another possible scenario involves unhappy employees or ex-employees. What recourse does the practice have against a disgruntled employee who has a bone to pick? Some websites, such as Yelp and Google, will block reviews from disgruntled employees if asked to do so. Plus, new hires could be asked to sign both a non-disclosure agreement as well as a non-disparagement agreement. Non-disclosure agreements prohibit employees from sharing information that is not publicly available, while non-disparagement agreements prohibit employees from making disparaging statements about their employer. Since most employers don’t (and shouldn’t) publicly disparage their employees, it is reasonable for them to request the same of their employees.

These need to be carefully worded documents, though, because the National Labor Relations Act gives employees the right to discuss wages, benefits, and other terms and work conditions with other employees.

As far as the non-disparagement agreement in connection with negative postings, this document can create leverage for an employer in court, but the employer will likely incur significant legal fees and probably receive negative publicity while pursuing charges. Unfortunately, the other fallout of such a clause is that, in the case of a harassment suit, an employer who has a non-disparagement agreement in place will likely have to pay higher settlement fees. In general, non-disparagement agreements are best avoided.

What If the Negative Client Review is True?

Sometimes, unfortunately, the hospital’s staff does perform poorly. For example, let’s say that Mr. Jones dropped Buddy off at Corner Veterinary Hospital for a routine castration. During the course of Buddy’s stay, a veterinary assistant walked Buddy outside. Buddy slipped his collar and disappeared into the woods. Mr. Jones is contacted, and the assistants make every effort to find Buddy, but to no avail. Mr. Jones is irate and posts an angry Google Review saying that Corner Veterinary Hospital is clearly not responsible and shouldn’t be trusted with anyone’s pet.

In this situation, Corner Veterinary Hospital stands to lose a lot, as this is clearly an egregious offense and is entirely true. The review can be ignored, and perhaps the practice will make that decision if there are sufficient positive reviews to outweigh it. A polite response asking the client to call the office is also a valid option, but the practice may want to make the response more apologetic. The response can also include an acknowledgment of what went wrong, with a description of what has been done to fix the problem, such as the following:

We’re very sorry that you’ve had this experience at Corner Veterinary Hospital. All our staff is very upset about this situation and continues to search for Buddy. Since we never want an incident like this to happen again, we are having all of our hospitalized patients walked with two leashes, including a slip lead that is more secure. We are also working on fencing in a section of our property for even more security. If you would like to discuss this further with us, please call Barb, our office manager, at (xxx)-xxx-xxxx.

While this is not an ideal situation by any means, showing concern, an acknowledgement of what went wrong, and a plan to prevent future issues may be the best method of preserving the practice’s reputation.

What’s Best

Ideally, practices should focus on performing in a way that will help to prevent negative reviews from being posted. While there are some clients who will never be satisfied, most reasonable clients will be happy when you have a friendly staff that provides them with good service, and the practice enforces transparent, reasonable policies. It is important to have a plan in place, though, so that you know how to respond, in general, when you do get a negative review.

You can use negative reviews to discover where your practice has the opportunity to improve its client service. Was Mrs. Smith unhappy, for example, because the receptionist offered her an appointment three days out when Mrs. Smith was already sick of cleaning up her cat’s diarrhea? Or was the receptionist unempathetic and hard to work with? While neither of these may be the case, every negative review is an opportunity to evaluate and potentially improve the practice’s policies.

Rules of Engagement: The Leading Role of Women

To be successful in the workforce today, and throughout your life, you must successfully engage with people from the beginning to the end of each day. Often, it’s with people whose viewpoints don’t always match your own. And when viewpoints don’t match but you need to resolve the differences, it’s crucial to be able to effectively negotiate with the other parties to create a mutually-agreeable solution.

Quality negotiation skills are vital in situations such as accepting a job offer, asking your boss for a raise or to boost your workplace benefits, or when an organization to which you belong is making decisions that will impact people’s lives.

Traditionally, women have been more reluctant to negotiate than men, which means they have disproportionately suffered from the costs associated with not negotiating. Even today, there is a frequently-noted “confidence gap” between the genders, with one study showing that only 7 percent of women attempted to negotiate their salaries, whereas 57 percent of the men did.

Women are as competent as men in the workforce, with global studies by Goldman Sachs and Columbia University demonstrating that companies employing women actually outperform their competitors on every measure of profitability. So, the issue is confidence, not competency – but, because confidence is a critical component of success, this article will share information about how women can successfully engage and negotiate with others to receive what they deserve.

First, here is a definition of negotiation and why it’s necessary.

Nuts and Bolts of Negotiations

A negotiation is a process in which two or more parties attempt to resolve differing needs and interests through a series of communications. An employer, for example, may want to offer someone higher wages, but needs to consider the overall profitability of a company. Meanwhile, an employee may understand and support the need for a thriving business, but also needs to earn a certain wage to support his or her family.

Employers and employees negotiate because they each have what the other one needs, and they believe they can obtain a better outcome through the process than if they simply accept what the other party is offering. Sometimes, negotiations occur because the status quo is no longer acceptable for one or both parties. Negotiations take finesse because, besides dealing with specific tangible points (wages, insurance benefits and perks, as just three workplace examples), emotions play a part and ongoing relationships are involved. The parties are choosing to try to resolve their different positions through discussions, rather than arguing, or ending the relationship, having one person dominate the relationship or taking the dispute to another party with more authority.

So, here are helpful tips to help you to effectively negotiate for what you deserve.

Six Negotiating Tips for Women

Tip #1 Be Prepared

First, you must clearly define the issues involved and prepare for the negotiations. Be crystal clear about what you want to accomplish, your opening offer, your resistance point (the point at which you would be willing to walk away from the bargaining), and what alternatives you have if the negotiations don’t culminate in a solution that is acceptable to you.

Also, as much as possible, know relevant information about the other party to the negotiation. What is he or she likely to want? Understanding where this person is coming from and what he or she wants to accomplish will help you to manage the negotiation process more effectively.

Tip #2 Be Aware of Fears and Address Them Appropriately

Common negotiating fears include:

  • that your position will not be solidly presented
  • looking incompetent
  • liking people and wanting to make them happy (but perhaps not being able to give them what they want!)/not wanting to affect someone else in a negative way
  • worrying about failure
  • feeling uncomfortable about talking about money
  • aversion to conflict, overall

Sometimes simply recognizing your fears can be enough to put them into context and allow you to move forward. Other times, they point out weaknesses in your preparation – and, in that case, your fears can help you to solidify your research and negotiation approach. Overall, it can help to reframe your wants, focusing on the value they will bring to the other party, and to be prepared to share how your approach can solve the underlying problem of the other party.

Some women must also work on silencing their inner critic, a critic that might be saying how only “bitchy” women negotiate or that you somehow don’t deserve the full benefits of your hard work. Again, you can use these fears to identify places you need to bolster up your attitude and solidify your approach.

Tip #3 Recognize and Optimize Your Negotiation Style

Multiple negotiation styles exist, each on the spectrum of assertiveness and cooperativeness. Here are summaries of common styles:

  • Competing (high in assertiveness, low in cooperativeness): these negotiators are self-confident and assertive, focusing on results and the bottom line; they tend to impose their views on others
  • Avoiding (low in assertiveness and cooperativeness): these negotiators are passive and avoid conflict whenever possible; they try to remove themselves from negotiations or pass the responsibility to someone else without an honest attempt to resolve the situation
  • Collaborating (high in assertiveness and cooperativeness): these negotiators use open and honest communication, searching for creative solutions that work well for both parties, even if the solution is new; this negotiator often offers multiple recommendations for the other party to consider
  • Accommodating (low in assertiveness, high in cooperativeness): these negotiators focus on downplaying conflicts and smoothing over differences to maintain relationships; they are most concerned with satisfying the other party
  • Compromising (moderate in assertiveness and cooperativeness): these negotiators search for common ground and are willing to meet the other party in the middle; they are usually willing to give and take and find moderate satisfaction acceptable

Simply by recognizing your style, you can highlight your strengths and know where to work on weaknesses. This isn’t to suggest that the process will be quick and easy, but it can be a vital step of the process in helping you get what you deserve on an ongoing basis.

Tip #4 Practice!

Becoming effective at negotiating seldom occurs overnight and it can be helpful to first practice your negotiation skills in areas where the process may not feel as intimidating. These can include negotiations:

  • for resources, whether it’s asking for more equipment or to hire more people
  • about how to use resources; with a common purpose, solutions can be reverse engineered fairly easily
  • where you have expertise
  • with big companies where nothing is personal
  • where you have evidence to support your position, including facts, data and logical reasoning

Consider practicing what you’ll say in front of a trustworthy friend or colleague, or practice in the mirror. Imagine different scenarios for the upcoming negotiation and prepare how you might answer, doing so by answering out loud (which is quite different from simply running ideas through your head).

As you become more experienced with the process and as you experience some successes, even relatively small ones, this will help you to gain confidence and become better at negotiating, overall. This will then help to prepare you for more challenging or complex bargaining processes.

Tip #5 Fairness is Important

As long as both parties are committed to the relationship and believe there is value in coming to an agreement, negotiations can typically proceed. If one or both parties, though, are unreasonable, uninformed or stubborn – or listening to advisors with those characteristics – negotiations can fall through.

Or, if one party doesn’t necessarily need the deal and/or isn’t in a hurry – or knows that the other party is without other options and/or in a time crunch – then negotiations may not end up being fair in the long run.

You can’t change how fair the other party will be, but you can determine if your own position truly is fair. Don’t use the “gender card” to get your way, as just one example, because fairness and equality should be at the heart of every negotiation. Conversely, don’t accept an unfair agreement just because, for example, you’re tired of negotiating or you don’t think the situation can ultimately be fairly resolved.

Tip #6 Calmly Ask for What You Want

Be calm, be professional. Unfair as it may be, women who are negotiating can be watched especially closely to see if they show signs of emotion, whether anger or excitement. Ask for what you want, be willing to pause to let the other party consider what you said (rather than quickly filling in the silence) and then respond appropriately.

Always keep your pre-established resistance point front of mind. But, having said that, if a granted concession is unexpectedly greater in one area of more complex negotiations, consider if and how you might be willing to adjust your resistance point in another area as part of the overall negotiations.

Understanding Negotiation Terminology

Another way to close the confidence gap is to ensure you understand what negotiation terms mean and can use them – confidently. We’ll use the example of an employer-employee wage negotiation as our example.

Each person will have a target point, which are the wages he or she would like the other party to agree to. The difference between what an employee wants to be paid and the employer wants to pay is the bargaining range. Meanwhile, the resistance point is where a party would walk away from negotiations; if too low of a wage or raise is proposed, an employee may begin job searching or a job candidate may decline an offer; the employer also has a point at which he or she will reject a wage request and end negotiations.

When the buyer (employer) has a resistance point that’s above the seller’s (employee), this situation has a positive bargaining range. The employer, in this case, is willing to pay more than the employee’s minimum requirements, so this situation has a good chance of being satisfactorily resolved. With a negative bargaining range, though, one or both of the parties must change their resistance point(s) for there to be a possibility of resolution.

In a wage negotiation scenario, either the employer will offer a starting wage or raise, or an employee or job candidate will request a certain dollar amount; the first person to name a dollar amount is making the opening offer. If at least one of the parties has a BATNA – best alternative to negotiation agreements – then he or she will probably approach the discussions with more confidence, having another alternative. So, if an employer offers someone a job, but has another excellent candidate waiting in the wings, the employer has another alternative and can set a higher and/or firmer resistance point. Conversely, if an employee or job candidate has a unique set of skills that are especially needed today, that person probably has more options in the job market – perhaps even other pending offers. The quality of a negotiator’s alternatives drives his or her value by providing the power to walk away and/or set a higher and/or firmer resistance point.

Bargaining Styles

Plus, there is more than one type of bargaining style. One way to differentiate them is to divide them into distributive bargaining and integrative bargaining.

In distributive bargaining, parties’ needs and desires are in direct conflict with one another’s, with each party wanting a bigger piece of a fixed tangible such as money or time, so these negotiations are typically competitive. Parties are not concerned with a future relationship with the other person. A slang term for this type of negotiation is “playing hardball” or “one upping” someone. Strategies often include making extreme offers, such as an employer offering a very low wage or a job candidate asking for an exceptionally high one. Tactics include trying to persuade the other party to reconsider his or her resistance point because of the value being offered – in this example, the job candidate might say that a high salary was required because of his or her abilities or an employer could say that lower wages would be compensated by a great work environment.

With integrative bargaining, though, the goal is win-win collaborations that will provide a good opportunity for both parties. The employer would acknowledge the employee’s value and need for a decent wage, and negotiate accordingly, while the employee or job candidate would recognize the value of working at a particular company as well as the fact that the employer has numerous other financial commitments to fulfill. They recognize that they need one another to maximize their respective opportunities and negotiate from a place of trust and integrity, with a positive outlook that recognizes and validates the other party’s interest in the transaction.

Here’s an interesting psychological truth. Negotiators are more satisfied with final outcomes if there is a series of concessions rather than if their first offer is accepted, because they feel they could have done better.

Salary and Benefits Negotiation Tips

When negotiating at a workplace, don’t focus solely on wage or salary. Also discuss benefits offered and workplace perks – meaning the entire package. This can include, but is not limited to, health care coverage, life insurance, retirement programs, vacation time and flextime. If you’re job hunting, investigate what companies are offering. Where do you think the place you’re interviewing falls on that spectrum? What is the minimum pay level that you’re willing to accept? What is your preferred wage? What benefits are important to you?

If you want to work at a particular company, but the pay rate isn’t quite what you want, ask if you can have a salary review in, say, six months. This doesn’t mean accepting a salary that is clearly sub-par, nor does it mean that you should try to put more pressure on a potential employer who is already offering you a good deal. It is simply something to consider in relevant circumstances.

What workplace perks might be desired? Would a company cell phone help you? Better equipment or software? If so, you could consider accepting somewhat lower pay if you get more tools to do your job.

Or, if you have children, you could negotiate coming in half an hour later so that you can take them to school or schedule a lunch break that coincides with when you need to pick them up. If you bring crucial skills to the negotiating table, you’re more likely to get these concessions than if you are entry-level.

If relevant, ask about company policy if you become pregnant. How acceptable is the policy to you? How important of a negotiating point is this for you? What about if you are injured in the workplace? Educate yourself on your workplace rights before negotiations occur, as well as company policy. If you are valuable to the business, perhaps you can negotiate some additional flexibility.

Who should be the first to make an offer? Some experts believe that, if you allow the other party to provide a starting dollar figure, he or she has shown his or her hand. But, research indicates that final figures tend to be closer to the original number stated than what the other party had originally hoped.

What NOT to Do

Beware of “between”! It probably feels reasonable to ask for a certain salary range – or range for a raise. But if you do that with a current or prospective employer, you have basically tipped your hand as far as how low you would go. Using the word “between” is actually a concession!

Another risky term: “I think we’re close.” A savvy negotiator will recognize “deal fatigue” on your end and perhaps stall in the hopes you’ll concede, just to complete the deal.

For Best Results

People tend to feel more confident when negotiations focus on an area of their expertise and/or where solid evidence exists to back them up. Overall, success is achieved when you first:

  • Determine the interests of the other party
  • Embrace compromise
  • Observe the Golden Rule, treating others as you would like to be treated: fairly and reasonably, without defensiveness
  • Be prepared, both in factual information and in strategy

Keeping these suggestions in mind will help you to achieve success in all areas of life.