'I found out my colleague earns more than me. What should I do?'

Today I’m analysing the situation of a guy who reached out to me via Linkedin. Let's call him Matteo. 

Matteo reached out to me because he had recently discovered that a colleague was earning significantly more than him. And he wanted to get my thoughts on what to do. 

What’s the challenge?

This colleague is doing the same job as Matteo, but was hired 5 years later. Matteo was obviously very upset to learn that someone who had been with the company for such a short time, was earning so much more. 

He wants to bring this discovery up with his boss, but he is rightfully concerned about how to do this. Matteo ideally would like to match his colleague’s salary but it is a significant jump. 

How did he get here?

Unlike many other situations I analyse, this situation isn’t Matteo's fault. 

While Matteo hasn’t pushed for salary increases over the years, this isn't the reason why he is being paid less than his colleague. 

Having said that, I do recommend you use yearly reviews as an opportunity to push for more salary, especially if you are performing well, which Matteo has been. 

My Thoughts

This is a very interesting and common situation. I often hear from people who find out their colleagues earn more. It's a tricky situation to navigate. 

It's about THEM, not you

Let me first give you an interesting insight about this situation. 

Matteo being paid less than his colleague is about THEM, not about Matteo. That is to say, it is unlikely that Matteo's salary was considered when they were negotiating with this colleague. 

Most companies, when hiring, are forced to work within the market. So if the market is an employers market, they might be able to get a candidate for significantly less than if it was an employee's market. 

If it's an employee's market, and the employer is struggling to get good candidates, they might be willing to pay more to get the right person. And the colleague who was hired, may have had a lot of leverage to negotiate a higher salary. 

These types of decisions are often not made with the other employees in mind. Although, of course, the knock on effect is huge if you then learn each other's salaries.

So keep that in mind before you take this situation too personally.

But it is personal!

Having said that, I completely understand why it feels personal. And I support Matteo's need to want to even up the salaries. 

The only way to do this is to have a conversation with your boss. It won't be comfortable. But it needs to happen.

Here’s what to prepare

Before the meeting, make sure to prepare. Put together all the receipts! That is, have all the proof ready of what a great job you are doing.

I would gather case studies of work you have done. Any evidence of significantly improving campaigns or business. Get feedback from people in your team or partners you work with. Get all the information you need to show what a great job you are doing. 

Then schedule a meeting.

Here’s what you should say

Now, the temptation might be to come in all guns blazing accusing your boss of undervaluing you. But remember what I said above. The colleague earning more is about THEM, not about you. 

I would open by acknowledging that you understand this, so that it sets a collaborative tone for the meeting. Tell them that you have recently learnt that your colleague is earning more. And that, while you appreciate this was not intended to make you feel undervalued, this is how you are feeling.

Then I would open up the case as to why you should be earning the same. And present all the information you have gathered.

It’s a negotiation

In any negotiation, there will be some back and forth. And you may need to concede on some things. Your boss will likely have to take it away to think as well.

And you will have to keep the discussion going.

But in the end you will have to make a decision. 

If you get the salary you ask for, then I'm sure you will be happy. 

However, if it falls short you have to decide what happens next. 

Do you stay or do you move on?

Either way, the important thing is you advocated for yourself. If you are not happy with the outcome, you can always move on. You have agency in this situation. But you can now make a decision with all the information available to you.

Negotiation is a technique I teach on my Creative Career Level Up programme. And one I feel very passionate about teaching! 

If you are looking to secure a new role, the Creative Career Level Up programme might be the solution for you.