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Did you ever negotiate on your package before leaving?

 
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Brit_KMK



Joined: 21 May 2008
Posts: 11
Location: London, United Kingdom

PostPosted: Sun Jun 01, 2008 4:12 pm    Post subject: Did you ever negotiate on your package before leaving? Reply with quote

Assalamu alaikum and Hello

I got a call from Mobily this morning telling me that I've secured the role after a successful interview and got the following contract (PS: I agree, some of the numbers are like...weird!):

- Basic salary = 12,134
- Supplementary allowances = 1,333
- Housing allowance = 3,033
- Transportation = 500

- Total Package = SR 17,000

There is a performance-related bonus scheme (paying out at between 0 and 6 months basic salary). There is a also a child's tuition allowance of SR 6K per month for a maximum of three children (I do not have any children yet but one due in December insha'Allah). The contract is open-ended and married status so I can bring over my family. Also, overtime is included and the annual holidays total to 40 (30 days + 5 each around the two Idds). Medical included for the entire family. And the usual, tickets for the entire family back home every year. Then there is the usual 3 months probationary period and the yearly gratuity defined in the labour law.

The one thing that did surprise me is that he said the pay review next year will be 2.9% (ie already set!).

Anyway, back to the point after all this info - I'm thinking about approaching my contact in Saudi and negotiating a better deal. My target is a total package of SR 25 K or more if possible. This is an industry role (ie nothing to do with teaching but I'm hoping your insight into pay relativities would be very useful!).

Would I succeed in being able to negotiate an increase to the package. Has anyone ever done something like that and how was that received? I know this sounds a bit clumsy but would suggesting to them to increase the basic salary to 18K and keep the allowances as they are (ie to take the package up to 23K) sound like it's worth a try. Would you think of trying it or advise me to give up given what you know.

I'm torn between saying no to them if they refuse and accepting it and regretting not having negotiating for a better deal. Any thoughts people?

Wasalaam and thanks
Brit-KMK
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johnslat



Joined: 21 Jan 2003
Posts: 13859
Location: Santa Fe, New Mexico, USA

PostPosted: Sun Jun 01, 2008 5:00 pm    Post subject: Reply with quote

Dear Brit_KMK,
Well, the Middle East, as we all know, is the land of the "haggle." I hesitate to give advice here simply because one can never know for sure just how a request for "negotiations" would be received. An extreme reaction might even mean a rescinding of the offer (I know of at least one case where that happened; however, the "negotiator" who did the rescinding there was a "Westerner", which might have affected his response.)
But, generally speaking, I'd say it's worth a try. The odds are that, at worst, you'll get a "take it or leave it", and there's at least the possibility that they'll be willing to "haggle."
However, in the end it's a decision that you'll have to make, knowing that the possibility, though remote, exists that trying to negotiate could leave you empty-handed.
Sorry I can't be more helpful.
Regards,
John
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Cleopatra



Joined: 28 Jun 2003
Posts: 3657
Location: Tuamago Archipelago

PostPosted: Sun Jun 01, 2008 5:38 pm    Post subject: Reply with quote

Putting aside cliches about Arabs being somehow predisposed to bargaining, I really don't think the situation is very different from other places in the world. If you are a strong candidate and your employer really wants/needs you, you may well be able to 'up' the initial offer, at least as regards perks and benefits, if not neccessarily the base salary. That said, I would say you are being very unrealistic if you expect them to raise your package from 17000SR to 25000SR - almost a 50% increase. In other situations, as John has said, the employer might curtly tell you to 'take it or leave it' and may even withdraw the offer - though I'd say this latter is very unlikely.

In all cases, it is crucial to speak to the right person: don't let some junior secretary or HR person fob you off. Again, this is no different from anywhere else in the world - it's always vital to speak to the person who actually makes decisions, not the paper pushers.
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johnslat



Joined: 21 Jan 2003
Posts: 13859
Location: Santa Fe, New Mexico, USA

PostPosted: Sun Jun 01, 2008 5:47 pm    Post subject: Reply with quote

Dear Cleopatra,
Well sometimes there's a reason cliches become cliches - they can(generally) reflect reality.
And I disagree about the situation's not being different from other places in the world. While there may be some other places where "haggling" about job salary and benefits is done as commonly as in the Gulf, there are many other places where it's done infrequently or not at all.
Hence the poster's original question.
I totally agree, however, with this:
"In all cases, it is crucial to speak to the right person: don't let some junior secretary or HR person fob you off."
Now that, I'd say, IS a universal.
Regards,
John
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Stephen Jones



Joined: 21 Feb 2003
Posts: 4124

PostPosted: Sun Jun 01, 2008 8:55 pm    Post subject: Reply with quote

You know what the market rate for your job is. We don't so we can't really advise you.
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Cleopatra



Joined: 28 Jun 2003
Posts: 3657
Location: Tuamago Archipelago

PostPosted: Mon Jun 02, 2008 7:09 am    Post subject: Reply with quote

Quote:
Well sometimes there's a reason cliches become cliches - they can(generally) reflect


Well, yes, many cliches and stereotypes do indeed reflect an underlying reality - it's just that I don't think that it's true in this particular context. For sure, we're by neccessity dealing with anecdotal evidence here, but I actually don't think that 'haggling' over contracts is much more common in the Gulf than it is elsewhere.

I've worked in KSA for several years and have had several employers in that time - but I only know of one or two people who have succesfully negotiated initial contract terms. Now, it could be a case of 'the squeaky wheel getting the grease' - perhaps Arab employers expect their initial offer to be negotiable, but obviously aren't going to complain if the teacher is happy enough to accept it as it is. But that has not been the impression I've got - certainly with the larger, more 'instituional' employers, contracts do seem to be written pretty much 'take it or leave it' basiss.
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lall



Joined: 30 Dec 2006
Posts: 358

PostPosted: Mon Jun 02, 2008 11:56 am    Post subject: Overtime Reply with quote

Take up the offer. As Cleopatra has said, negotiating it upwards by nearly 50% from a remote location is nearly impossible. Best of luck.
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rocketchild



Joined: 27 Mar 2008
Posts: 96

PostPosted: Mon Jun 02, 2008 2:07 pm    Post subject: always haggle Reply with quote

in the ME they don't respect you if you don't haggle.

for sure they have offered you the LOWEST wage or near lowest..

haggle 15percent at least...you will get something more.

i have done it for over 8 years and it worked every single time.
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johnslat



Joined: 21 Jan 2003
Posts: 13859
Location: Santa Fe, New Mexico, USA

PostPosted: Mon Jun 02, 2008 2:27 pm    Post subject: Reply with quote

Dear Brit_KMK,
Well, having received so many differing nuggets of invaluable advice, ranging from "don't bother to try" through " maybe try" to "definitely try",
you should be hopelessly confused,
If so, our work here is done.
Regards,
John
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Brit_KMK



Joined: 21 May 2008
Posts: 11
Location: London, United Kingdom

PostPosted: Mon Jun 02, 2008 2:39 pm    Post subject: Reply with quote

John

Actually, I've found it quite helpful because I spoke to someone at Aramco and the NGHA this morning. One of the interesting arguments that a lot of so-called experts in the HR C&B arena are telling me is that it's a worthless argument comparing a teacher's salary of say 16K with what I have which is 17K as apparently there's not much in comparatives between industries (which sounds downright foolish and illogical to me!).

The decision I have taken though after a lot of consultation is to send an email this evening with a background of what I've heard from contacts in the market (ie that Mobily are a good company with good potential), the pay drop I'll be making to come over, my personal circumstances and a proposal of what I'd like the package to target. Then, if they refuse, I'll say 'Thank you but I don't accept' and if they renegotiate, I'll see where the total reward comes in at. The guy at Aramco was very helpful in saying that you want to be diplomatic and at the same time pass the buck along. That way, they'll not feel insulted and the true appraisal of whether I'm worth the increase for their business requirements will be laid on the table.

Thanks for all your posts John (and all others). Much appreciated.

Wasalaam
KMK
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johnslat