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Yearly salary negotiation

Max % increment

aliraza.jibs1
post 9.Oct.2013, 10:16 PM
Post #1
Location: Gothenburg
Joined: 15.Feb.2012

Hello guyz what's the principle of yearly salary review and what's the Mac limit that has been achived based on performance etc . I have it very soon and would like helpful advice
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wondering
post 10.Oct.2013, 09:06 AM
Post #2
Joined: 3.Oct.2011

Hi,

It really depends on your company.

As a starting point I can tell you that this year the Union did an agreement where they got an agreement for 2.0% and 2.4% for the next 2 years each. I can't find the papers right now on the union site but I remember seeing it earlier.

Found the article http://www.unionen.se/om-unionen/avtalsnyh...vtalet-ar-klart

Check and google it.

Of course it depends from company to company. I know some companies have gone up to 10% raises for their employees. So it is up to you to sell yourself at that meeting. Be prepared and good luck ! smile.gif
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aliraza.jibs1
post 10.Oct.2013, 09:36 AM
Post #3
Location: Gothenburg
Joined: 15.Feb.2012

Thanks for the link but that is for IT industry . and only 10% i have had raise in USA firm for about 35 % and for the same performance. 10% on basic salary is just penuts .
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wondering
post 10.Oct.2013, 11:06 AM
Post #4
Joined: 3.Oct.2011

I don't know .. 35% is an awful ..

Most agreements this year have been around the article I posted.

But again this depends on each company and it's finances .

If you do get the 35% raise do let me know wink.gif .. I will apply tongue.gif
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wondering
post 10.Oct.2013, 11:06 AM
Post #5
Joined: 3.Oct.2011

I don't know .. 35% is an awful lot ..

Most agreements this year have been around the article I posted.

But again this depends on each company and it's finances .

If you do get the 35% raise do let me know wink.gif .. I will apply for a job at your place tongue.gif
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friendonlyyours
post 10.Oct.2013, 02:02 PM
Post #6
Joined: 11.Aug.2009

10% is even much until unless your company is doing very very good. Sweden don't support performance based system it is not preferable in most of the organization.

If you cause of giving much business to company then you can expect 10% in general you can expect 2-3% not more. tongue.gif

35% is out of imagination in Sweden...! Best of luck!
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aliraza.jibs1
post 10.Oct.2013, 09:37 PM
Post #7
Location: Gothenburg
Joined: 15.Feb.2012

Let's see , I am going to least try for 20% for 2 years .
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AgeOfReason
post 13.Oct.2013, 12:29 PM
Post #8
Location: Stockholm
Joined: 1.Sep.2013

It depends upon the size of your company and how they deal with the union if they have a collective agreement or not and whether they accept individual pay negotiations or not.

Most common for mid to large companies when they have a collective agreement is that they negotiate a total payrise pool of money with the union, then that is split in agreement with the union between all workers with a few variations depending upon where the union wants to level the pay. eg. The total money pool could mean a general payrise of 3% but for certain workers that the union feel are underpaid they may have agreed that the pool be split 2% for some and 3% for others.

This collective bargaining can be a plus for many workers, however it is also used by employers as an excuse in individual pay negotiations by saying that they have agreed a total pool and it is split like this.

You can normally opt out of union negotiated pay rises and opt for individual if the employer agrees, this can be beneficial if you are valued by the employer, however it can also mean very little also! At the end of the day,if you are an asset for the employer you can individually negotiate better than the union, otherwise if just a general worker that has the same value as everyone else and can easily be replaced, you may be better off with the collective agreement.

Other smaller employers can often have more room (or less) to manouver which can get you more, or may just use the union negotiated national measure as a benchmark. Pay is generally increased by increased responsibility, but as the saying goes, you will never get a payrise from your current employer that can match a change in salary by changing employer. wink.gif

Individual performance pay is becoming more and more common in Sweden, especially with regards sales and/or consultants where part of their bonus is based upon charged-out invoiced amounts. However the unions are not too keen on those where the pay differences can be very significant, works best when it is with mid-sized/small consulting companies without collective agreements. A warning for bonus payments is that they are immediately taxed at the premium rate of around 50% depending on the bonus amount, in most cases it is better to have a higher base monthly salary.

Bare-in-mind when trying to negotiate that once you start asking for too much that will red flag you for later, since there are additional costs for the employer by increased social-taxes, possible increased company pension contributions that are in addition to just the 20% salary increment, plus additional holiday pay costs and ultimately increased notice-period costs. Be reasonable, and the employer will be also, be hard and you will in the longer term lose out.

The main question to ask yourself, because the employer will ask itself, is...what value do you bring/contribute, and can they get that at the same price or cheaper.
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Lata
post 13.Oct.2013, 01:08 PM
Post #9
Joined: 3.Oct.2013

Salary principles are 1: performance
2: working hours
3 : goal
4 how to motivation in the group
5 how to work with skills.
6: and experience
7 depend on the company rules and regulation as like an industrial and
administration law.
8 how to understand at the place and how to prepare to job
9 employs creative and advantage
Salary negotiation is an art of the science. First of all, we need confidence with ourself, then work up in the field.
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Lata
post 13.Oct.2013, 01:43 PM
Post #10
Joined: 3.Oct.2013

These principles are not only for the negotiation but also for the increments but main point is work performance and company rule. I know that Sweden has not higher % of increments because company rules is equality.
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Donut
post 16.Oct.2013, 04:58 PM
Post #11
Joined: 18.Mar.2008

QUOTE (aliraza.jibs1 @ 9.Oct.2013, 11:16 PM) *
I have it very soon and would like helpful advice

How did it go? Get your 20%?
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friendonlyyours
post 5.Nov.2013, 04:40 PM
Post #12
Joined: 11.Aug.2009

I am also anxious to know...?
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jessyholme
post 14.Nov.2013, 05:33 PM
Post #13
Location: Stockholm
Joined: 14.Nov.2013

Hello ALL,

Is there any news about this topic? I am in the same situation as aliraza.jibs1 ^^.

Thanks in advance
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