New colleague coming in on 20k more than me - help with tactics

[CheshireSplat]

Hi

I'm sorry, this is long, but I wanted to set all the information out.

I'm after some advice because I'm not used to negotiating pay. I work in a private limited company, so there are no hard and fast rules on pay or pay bandings.

My boss has made a new appointment which just happens to be a mate of his (they've been friends for 15-20 years, used to work together).

This guy is much more qualified than the role requires (my opinion!).

He will be doing slightly different type of work to me (we're lawyers specialising in different specialisms, though not wildly different) but when he doesn't have enough work in his specialism, which will happen quite a lot, he'll be doing the same type of work as me. He's 4 years more qualified than me, but with very little experience in my specialism.

He will be working on his own. I am generally in charge of a team of 3, with 2 direct reports. From a company perspective it's really hard to get to my band without managing anyone. He'll be on the same band as me.

I found out that he is going to be starting on £18K a year more than me. That's about 30% more. I think he's being overpaid. However, given my experience and my management responsibilities I think I should be earning more than him.

So what do I do?

I can't tell my boss I know what he'll be earning. i shouldn't know.

My plan is:

1. Have a sit down with my boss before he starts about team structures, line of reporting etc. Then say "you won't be surprised but I'm interested to know how his package compares to mine". If he let's on that he's on more than me, I then need to take action as I feel it's completely unfair that he'll be earning this much more than me.

Does anyone have any advice about how to run this pay negotiation? I need to stay rational and reasoned and not emotional. i need to remember that he's been appointed and my boss obviously thinks it's the right decision, so I can't criticise the appointment. I need to set out all the things I do. Also, my boss's boss (FD) has authorised the appointment.

Help! Where do I go from here?

I'm really pissed off about this - I think he'll nick the best work from me and another colleague. I think he'll be viewed as second in command by the rest of the company. Having our boss's mate amongst us will change the dynamics of the team. However, that's a different issue to the pay issue - this is just something I'll have to deal with.

Any advice would be really helpful. Thanks. (And thanks for bearing with me through this mammoth post!)

Are you sure there's not an element of 'golden hello' or compensation for lost earnings elsewhere and the £18k is a one-off.

I'd sit tight and see what happens. There is no point in confronting the boss about his salary. He won't be honest with you. Knowledge is power and all that.

Be your most professional self but be aware that this new recruit could mean the end of life as you know it. Brush up your CV and keep your ear to the ground. It may just be best to leave and let them get on with it.

If you are in house, is your boss the GC or is your boss the CEO ie not from a legal background?

This is the reason that employers don't like employees discussing salary! Not for the conspiracy reasons most think, but because the OP who until recently liked her job and thought she was fairly compensated for it now feels hard done to.

As I said upthread, if it is the OP that sought out this information then that's the risk you take. If someone has told you this, then have a think about what they can get out of the situation.

Oh! I'd just tried to reply to everyone and lost my post!

I'll take the advice to speak to some agencies, not necessarily to move now but so they know I'm interested if anything crops up. And I'll be nice and not look pissed off. I've already had to do some bridge building to help out my boss as the rest of the team isn't happy with the appointment (for other reasons)! Im

Whoops! I'm the bloody go between sticking up for the boss's decision. Ah well, hopefully he'll realise how much he relies on me!

Cotswold interesting that you said finding out this information can unsettle people. That's a risk they take by paying people unfairly.

Thanks all. Really appreciate it.

If you do speak to your boss don't use the word fair. It's about your worth to the company, your market rate and what it would cost to replace you.

Get another job offer at a higher salary and use that as a negotiation tool. Be prepared to walk if need be.

And be more aggressive in pursuing incremental salary increases every year to reflect your increase in experience and value to the company.

Good luck.

There is no evidence that he's being paid unfairly yet - he hasn't even started!

I was trying to point out that you were happy in your role with your current salary before you knew about this.

This happened to me - new (male) colleague on £10k more than me. I never got over the jealousy, so eventually I found a better job, quit and told them why.

P.S. The look on my boss's face when I resigned was priceless, and it was very expensive to replace me.

This happened to me when I worked in-house too - there was a lawyer working in the same team as I was who was earning at least £10K a year more - and he had fewer years' qualification.

He did work longer hours than I did, but that could and should have been dealt with by the fairly generous bonus scheme.

OP - have you looked into the gender pay reporting regs? I think they are introduced this April? If you can wait until then, you might be able to do more.

I just wanted to follow up on the really helpful responses I had on this thread. I've tried to raise the subject of pay and structure, with our new arrival, with my boss and he changes the subject, or answers the phone (that he'd usually leave). So it's going to go nowhere.

So, I've polished off my CV and am speaking to a recruitment agent about an interesting opportunity on Wednesday. Upwards and onwards. And fingers crossed!

Purple good idea but there won't be any reporting until a year in April. And my organisation is too big to be able to single him and me out.

Good luck - fingers crossed for you

I just wanted to update this thread just in case anyone who previously advised me sees it. I appreciated all your advice. I addressed my suspicions with my boss, but got nowhere. At that stage the advice that resonated was to find a new job.

6 months later; new job! It looks great - really interesting work, setting up a new department. And I handed my notice in on Monday. Sweet!

I followed the thread but didn't post.
Congratulations on the new job. What did your boss say when you handed in your notice?
Did you manage to negotiate a higher salary for the new role?

Great news, well done!

Great news - and we all love an update!

Good luck in the new job

Great news. Such a shame you have to move though. But it sounds like you are going into a much better role anyway!

Thanks everyone! My boss was very nice and said that it sounded like a great opportunity. Tbh he probably thinks I'm a bit of a PITA with my gender equality and such-newfangled nonsense.

grumpy better package: pension, car etc. And more responsibility which I'm most excited about.

Well done OP