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Costs are up in Korea. Name some things. Salary Negotiation

 
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Derrek



Joined: 15 Jan 2003

PostPosted: Sun Sep 12, 2004 7:44 pm    Post subject: Costs are up in Korea. Name some things. Salary Negotiation Reply with quote

Costs are up in Korea this past year. It's pretty dramatic, I'd say, compared to what I've seen in the past back home.

I'm going to be talking salary in the next month, and I don't want to come off as a jerk looking to get a major raise. I'm going to talk to the other foreign teachers here and see what they think we should be asking -- ballpark -- for next year.

One consideration is the cost of living increase in Korea. Things like transportation costs have gone up as much as 1/3 or more for me.

I've noticed that costs of Fruits and Veggies, never cheap, have just gone crazy out-of-sight lately.

What other things might be good to sight for the cost of living increase I would like factored in for next year?

Thanks.
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manlyboy



Joined: 01 Aug 2004
Location: Darwin, Northern Territory, Australia

PostPosted: Sun Sep 12, 2004 7:56 pm    Post subject: Reply with quote

The consumer price index (based on the average costs of all frequently used household necessities - ramyon, rice, toilet paper, detergent, etc.) in Korea is up somewhere between 4-5% on this time last year I read in an article recently.
I think that would be a valid statistic to bring to the negotiating table.
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just because



Joined: 01 Aug 2003
Location: Changwon - 4964

PostPosted: Sun Sep 12, 2004 8:23 pm    Post subject: Reply with quote

manlyboy wrote:
The consumer price index (based on the average costs of all frequently used household necessities - ramyon, rice, toilet paper, detergent, etc.) in Korea is up somewhere between 4-5% on this time last year I read in an article recently.

I know it is a valid concern manlyboy and derrek but really do you think they will give you more because costs are up. There are always plenty of other saps looking to get here for lower than you want.

Its all about supply and demand and basically the going rate is it.

The best way to get an increase on your salary is to stay where you are and prove to them that you should be paid more than what you are now. Thats what happened to me at my first contract and I got a lot more the second time around.

I never heard anyone get a salary increase here because the cost of living has gone up.
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pecan



Joined: 01 Jul 2004

PostPosted: Sun Sep 12, 2004 8:49 pm    Post subject: Free advice Reply with quote

This is free advice.

If you want to get paid more, you might want to consider demonstrating to your employer how you are an asset to have. Assuming you are working for a business, you might want to reference the level of student retention in your classes (compared to other teachers), the level of student satisfaction with you and your classes, and how you have attracted new students.

Sorry, but I highly doubt pointing to the current increases in the cost of living will get you where you want to go!

Think about it. If you can not prove that you are worth more based on the above, why not just replace you with a new model?

Nut
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crazylemongirl



Joined: 23 Mar 2003
Location: almost there...

PostPosted: Sun Sep 12, 2004 10:11 pm    Post subject: Reply with quote

Derrek you work in a public school right? Do you do a few extra things, preparing student materials etc? That stuff adds up. Likewise any extra cirrcular stuff. Also might want to mention that you're saving the school costs of recuriters etc.
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SuperHero



Joined: 10 Dec 2003
Location: Superhero Hideout

PostPosted: Sun Sep 12, 2004 11:18 pm    Post subject: Reply with quote

just because wrote:
I never heard anyone get a salary increase here because the cost of living has gone up.

My school (university) gives an annual cost of living increase on top of renewal raises.
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Derrek



Joined: 15 Jan 2003

PostPosted: Sun Sep 12, 2004 11:39 pm    Post subject: Reply with quote

Hmmm...

So I ask about cost-of-living increase and I get lectured on how I should teach better.

Unbelievable.

Cost-of-living is not the ONLY reason I wish to cite for a pay increase, however the question I posed was specific to the cost-of-living issue.

This is some free advice for you, as well: re-read my post. Give particular attention to the part where I say, "One consderation is..."

In my experience, it's wise to gather all of the ammunition you can get when dealing with certain employers who would rather just go out and hire "just anybody" than pay you another 100,000 won even if you are good at what you do.

My first employer did just that, and guess what -- two months later, after hiring some idiot, he was begging for me to come back so he could fire the guy.

This is the reality of Korea, where most employers don't think ahead more than what's right in front of their face.

I've learned that Korean employers are just stupid enough to shoot themselves in the foot just so they don't have to increase your pay more than $XXXX. Then, after stressing over hiring someone, getting them all settled, paying a recruiter, or whatever, they find out the person isn't any good. It costs them tons more in the end, but they didn't have to give anyone a raise, by god!
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JongnoGuru



Joined: 25 May 2004
Location: peeing on your doorstep

PostPosted: Mon Sep 13, 2004 1:33 am    Post subject: Reply with quote

Whichever strategy you go with, Derreck, good luck to you.

Without knowing what you'll be offered, it's difficult to do more than wish you luck. I spent a decade working for Korean employers in the private and government sector, and while it wasn't in the teaching profession/industry, I did learn a few "home-truths" that I think will apply to salary negotiations in any field.

1. Leave no weapon out of your arsenal.

Despite what past experiences have taught you or others, if evidence or an argument is valid, then it's valid -- even if your employer prefers to ignore it. Also, having more 'arrows' in your 'quiver' can improve your overall chances of getting the raise you want. If you rely on just one or two arguments, it's easier for your employer to kick the legs out from under you, and you've got nothing left to belabour them over the head with.

Negotiations here can become almost surreal in their detachment from logic. In such cases, you can improve your odds simply by the sheer number or 'magnitude' of your arguments, even if the Korean side refuses to be persuaded by the logic of any single rationale. If logical persuasion fails (as it often does), be prepared to baffle them with a little BS reasoning. ("I've just given you 6 valid reasons why I deserve and require a XX% salary adjustment -- and all you've got is one very flawed excuse not to agree. 6 is bigger than 1, so I win!")

Your objective is to make them run out of shields before you run out of ammunition.

Also make sure that your points, rationales, reasons, justifications and arguments for a higher salary aren't frivolous. Don't treat them like clay pigeons you're just tossing up and waiting for the Koreans to shoot them down. (<-- my big mistake one year) Make the other side either give you the salary increase you want, or else make them agonise, sweat and suffer for each and every point of yours that they refuse to acknowledge or be swayed by.

Make no mistake, a cost-of-living increase couldn't be more valid. If your employer plays hardball and you end up "going to the mat" over any issue, then let it be this one. From housemaids to Chinese delivery boys, from union factory workers and civil servants to pro baseball players, there isn't a living, breathing, salary-earning soul in the Republic who doesn't demand a pay increase that will at least cover inflation. Generally, the demand is "inflation + alpha", and it's the "alpha" that the actual negotiations focus on.

Covering inflation isn't a reward for performing above & beyond the call, for working extra hours, for teaching extra classes, for bringing in more students/tuition fees for the school, etc. Covering inflation is a salary "increase" of zero -- a salary freeze. Not covering inflation is effectively a salary cut. Has your work performance this past year been so bad as to warrant a cut in your salary? Most likely not.

You'll know what other job-specific arguments you need to make. I'm just guessing:
-- your own cost-of-living increase as a foreigner in Korea (make it up if you have to),
-- extra classes or work or responsibilities you've taken on during the past year (if applicable),
-- "what I've done for you lately,"
-- what XYZ School across town is paying its teachers.

2. Decide how much you want (A), how much you need (B), and be prepared to leave if you don't get B

Another of the ugly "home-truths" I learned about working for Korean companies: Your first salary package is typically your best salary package.

For me, the first-year salary, accommodations, bonus and perks were always great. From there they start nibbling away year after year, hacking this, severing that, death by a thousand cuts.... until push comes to shove, and I must present an ultimatum: "Either you give me X or I'm going to Company Y, where I've been offered X + alpha." In one case, my employer acquiesced, in another I found a new employer.

Note, though, this only works if you're truly prepared to follow through.

But if you're satisfied with conditions where you are now, and are given an acceptable wage increase, that's even better.

The Guru
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weatherman



Joined: 14 Jan 2003
Location: Korea

PostPosted: Mon Sep 13, 2004 1:46 am    Post subject: Reply with quote

The Guru has spoken. Let this filled away as some great information.
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inkoreaforgood



Joined: 15 Dec 2003
Location: Inchon

PostPosted: Mon Sep 13, 2004 1:51 am    Post subject: Reply with quote

Jongnoguru's post should be a sticky I think. Alot of helpful and very relevant information for negotiations in Korean bussiness!!!
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manlyboy



Joined: 01 Aug 2004
Location: Darwin, Northern Territory, Australia

PostPosted: Mon Sep 13, 2004 2:05 am    Post subject: Reply with quote

just because wrote:

Quote:
I know it is a valid concern manlyboy and derrek but really do you think they will give you more because costs are up.


Steady on my friend. I agree with you.
Derrek asked: What other things might be good to sight for the cost of living increase .
I was thinking exactly what you were when I read the post. Didn't feel a lecture was necessary. I just answered the question.
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just because



Joined: 01 Aug 2003
Location: Changwon - 4964

PostPosted: Tue Sep 14, 2004 7:58 am    Post subject: Reply with quote

manlyboy wrote:
Steady on my friend. I agree with you.
Derrek asked: What other things might be good to sight for the cost of living increase .
I was thinking exactly what you were when I read the post. Didn't feel a lecture was necessary. I just answered the question.

Sorry mate, wasn't trying to lecture or be a know-it-all. Just the first thought that popped into my head Smile
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Saxiif



Joined: 15 May 2003
Location: Seongnam

PostPosted: Wed Sep 15, 2004 11:39 pm    Post subject: Reply with quote

Quote:
Its all about supply and demand and basically the going rate is it.

Well in this industry supply and demand apply a lot less then in most because of highly imperfect information. I'm sure there are plenty of newbies who answer an ad from a recruiter in a newspaper or something and have no idea what the going rate/working conditions are. Likewise if for some reason the demand for foreigh teachers shot up massively you'd get wierd supply elasticity since it would take a while for word of this to filter back to the Maritimes and other places were English teachers get spawned.
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