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Internal vs. External Promotions: What This Means for Your Salary


 

You've put in the years, honed your skills, and finally landed that promotion at your current company. It comes with a nice salary bump – fantastic! But, this doesn't automatically mean you can demand the same salary the moment you start looking for a new job.

 

Here's why:

 

  • Company-Specific Factors: When you're promoted internally, your company is often rewarding your loyalty and the specialized knowledge you've gained about their business. This doesn't always translate to the same value for a new employer.
  • Market Standards: A new company must consider market rates for the position and balance them with their own payroll structure. They may not be able to match your current salary, even if your experience is valuable.
  • The Negotiation Room: This is where your skills shine! Highlight your accomplishments and demonstrate the value you'll bring to the new company. This may justify a salary closer to your previous role but be prepared for some flexibility.

 

It's fantastic to have progressed in your career, but when job hunting, understand that a new employer is starting with a slightly different set of calculations when it comes to your salary.