Negotiate Smarter Employment Agreements with These Expert Tips

As the world of work undergoes some of its most profound changes in years, employment agreements are similarly evolving to mirror these shifts. From flexible scheduling and remote work provisions to intellectual property rights, the new world of work demands dynamic agreements that reflect the evolving needs of organizations and their employees.

To help HR professionals navigate this new landscape more confidently, we sat down with Vikki Dingman, Senior Principal Client Director at Korn Ferry Digital, and Elena Paraskevas-Thadani, President of EPT Legal, LLC, for some tips on negotiating employment more successfully. Below, we share their three crucial tips for securing the talent you want and crafting agreements that value the interests of all parties.

Want to get the full scope? Download our Navigating Employment Agreement Negotiations in the Modern Work Landscape eBook for a deeper dive into a host of other important tips, including:

• Why you should pay special attention to non-compete clauses
• The unintended consequences of overly generous offers on employee morale
• How to streamline negotiations with executive-level candidates

1. Prepare to negotiate more

Recent shifts in workplace dynamics—combined with economic conditions and a better understanding of their value in the job market—are compelling entry-level talent to be more assertive when negotiating their employment agreements. In the past, negotiations with entry-level and mid-level candidates may have covered points such as salaries and expense reimbursements, but they may now include conversations on elements such as exit clauses and home office arrangements. “In the age of remote work and four-day work weeks, salary is generally the last thing people push back on,” explains Vikki. “Now, the main focus is on questions like ‘Where will I work?’, ‘How much time off will I get?’, and ‘How often do I have to be in the office?’.”

To better manage complexity and avoid drawn-out negotiation processes, Vikki recommends HR professionals incorporate the following practices in their negotiation prep:

• Outline non-negotiable elements: Agree with your team upfront on what your organization is willing to negotiate.
• Have a solid foundational contract: Create a source-of-truth framework for agreements that outlines all negotiables and includes a clause library for negotiable elements. 
• Research contentious points: Identify which elements candidates are most likely to push back on and develop strategies to address them during negotiations.

2. Explore deal-breakers and priorities at the outset

The early stages of negotiations present a vital opportunity to gain deeper insight into candidates’ priorities, which can significantly improve the chances of a successful match. More importantly, exploration demonstrates your organization values open communication and is committed to making the right fit for both parties.

To help HR professionals craft more compelling offers, Elena recommends they dig deep into key points such as candidates’ motivations and the specific circumstances that prompted their job search. In the short term, insights gathered from these conversations can become powerful motivators and negotiation tools during the hiring process. Over the long term, they can help foster more positive employee experiences where individuals feel valued by organizations.

This practice extends to salary negotiations, too. Both Vikki and Elena encourage candidates and employers to have open and early conversations about compensation expectations. “Back in the day, the rule was: don’t talk salary until you’ve made the offer,” explains Vikki. “But things have changed and—while it may not be wise to share a specific number in the first interaction—discussing a range is not considered inappropriate anymore.”

She adds: “Whatever your deal breakers are, put them out there. Because you want to know as early as possible whether the other party is willing to meet them.”

3. Be transparent and incorporate flexibility into your agreements

“The truth is people are not as trusting of corporations as they used to be,” states Vikki. “And it’s up to HR professionals to build up and nurture candidates' trust in their organization with a transparent and straightforward negotiation process.” She encourages organizations to take a “no surprises” approach and lay out all relevant information upfront—even if it means sacrificing leverage during negotiations.

Remote work provisions and return-to-office schemes are prime examples of the far-reaching consequences of a transparent negotiation process. “I’ve seen organizations offer perks such as remote work during the recruiting process only to start requiring employees to do more in-office days later on,” shares Elena. When HR departments step in to enforce policies, employees point to their agreements and push back, placing organizations in the uncomfortable position of figuring out creative workarounds to prevent breaching contracts and losing talent.

To avoid these types of conflicts, Vikki stresses the importance of running everything through legal counsel and verifying that agreements include clauses specifying that employees may be required to fulfill duties beyond their initial agreement. She adds: “Business needs are changing fast—and organizations need to ensure they incorporate sufficient flexibility into employment agreements to protect themselves and accommodate those changes.”

Create a hiring experience fit for today’s dynamic labor market

“Right now, one of the best ways to earn candidates’ trust is by making the hiring process as simple as possible,” concludes Vikki. “On that end, Docusign has been a game-changer because of the security, visibility, and ease it adds to the process.”

For more on this topic, check out our recent eBook: “Navigating Employment Agreement Negotiations in the Modern Work Landscape.” 

Visit Docusign for HR to see how we can help streamline your organization’s employment agreement process.