When a contractor or employee asks for a raise or new contract revision

A friend of mine recently asked me what is the best way for an employee or an independent contractor to get a raise/contract revision. Here's my answer, I hope you guys find it useful as well:

Speaking from an employer's perspective, the best way to get a salary or (if you're an independent contractor) contract increase is to PROGRESSIVELY INCREASE the value you add to your work. It's all about dollars and cents, if you increase value per unit and I generate more profit either due to increased production, higher quality per unit premium, or even added branding/sales goodwill per unit, you BET I'll give you a raise or increase your contract rate. I'm not saying all other employers are like this but the ones that AREN'T are putting themselves in a serious COMPETITIVE disadvantage if they fail to REWARD those who ADD VALUE. Someone will pay more for quality workers--it's a fact of life (unless there's government regulations that prevent this )In most companies, only 20% of the whole work force add REAL VALUE to the supply chain/service flow. I always keep an eye on who the 20% are and incentivize them to a) teach the other 80% their work values and outlook or b) pay them more to keep them. What's a 10% or heck, even 25% increase to a person that adds REAL VALUE and more value than the other 80% of your work force?

Before anyone reading this gets TOO confident, remember you have to PROVE yourself first. Prove to your employer that you are part of the 20% that adds value by:

1) always double checking your work
2) meet and exceed quality guidelines
3) anticipate problems and let your supervisor know your solutions
4) monitor common solutions to a particular problem and let your supervisor know which one works most of the time
5) teach your fellow employees to increase their production
6) VERY IMPORTANT: NEVER BLAME OTHERS FOR YOUR FAILURES. START WITH YOURSELF--BE THE CHANGE YOU WANT TO SEE.
7) Once you've nailed down quality, set your target on QUANTITY--boost your output.
8) Lead by example. Be the best worker. Communicate your methods. If you're able to do this, your employer would be STUPID not to promote you not to mention not to give you a raise.
9) Always meet deadlines!
10) Always meet or exceed quotas.

 

good article, very relevant. Its all about adding value, if you can prove you are adding value exceeding the amount of your raise, they can't really argue with that.