Lilly Tech Systems
Negotiation Strategies
Negotiation is a skill, not a personality trait. This lesson gives you a systematic framework for when to negotiate, what to negotiate, and exactly what to say — including 5 word-for-word scripts you can adapt for your specific situation.
The #1 Rule: Always Negotiate
Research consistently shows that candidates who negotiate receive 10–20% higher total compensation than those who accept initial offers. For AI/ML roles, where total comp ranges from $200K to $1M+, that difference can be $30K–$200K per year.
When to Negotiate
| Timing | What to Do | Why |
|---|---|---|
| Before you have an offer | Never disclose your current salary or desired salary | Anchoring bias — any number you give becomes the ceiling. Say "I would like to understand the full scope of the role before discussing compensation." |
| When you receive the offer | Express enthusiasm, do not accept or reject. Ask for 3–5 business days to review. | You need time to research, compare, and prepare your counter. Rushing benefits the company, not you. |
| After 2–3 days | Send your counter-offer via email (detailed below) | Email gives you control over framing and gives the recruiter a document to take to the comp team. |
| After counter-offer | Follow up with a phone call to discuss | Phone builds rapport and allows real-time problem solving. Use it after the email has set the frame. |
Your Leverage Points
Negotiation leverage comes from alternatives and unique value. Here are the most powerful levers for AI/ML roles:
Competing Offers
The single strongest lever. A competing offer from a peer company proves your market value. You do not need to share exact numbers — saying "I have a competing offer at a similar level that values my total compensation significantly higher" is enough. The recruiter will ask for details; share the TC range, not the exact breakdown.
Current Compensation
If your current TC is higher than the offer, share it. Companies do not want to lowball you into declining. If your current TC is lower, do not share it — focus on market data and your value instead.
Specialized AI Skills
If you have expertise in high-demand areas (LLMs, RLHF, computer vision, MLOps at scale), emphasize that the market for these skills is exceptionally tight. Companies know this and will pay a premium to secure talent they might lose.
Research Publications
First-author papers at NeurIPS, ICML, ICLR, or CVPR significantly increase your value at research-focused companies. Highlight publications that directly relate to the company's work.
Email vs. Phone: When to Use Each
| Channel | Best For | Why |
|---|---|---|
| Initial counter-offer, documenting requests, complex multi-component asks | You control the framing, the recruiter can forward it verbatim to the comp team, and there is a written record | |
| Phone | Building rapport, understanding constraints, final negotiations, resolving stalemates | Real-time dialogue allows you to read tone, ask follow-up questions, and find creative solutions |
5 Word-for-Word Negotiation Scripts
Copy and adapt these scripts for your specific situation. Each is designed for a common AI/ML negotiation scenario.
Script 1: Initial Counter-Offer Email (With Competing Offer)
Subject: Re: [Company] Offer — Senior ML Engineer
Hi [Recruiter Name],
Thank you so much for the offer to join [Company] as a Senior ML Engineer. I am genuinely excited about the opportunity to work on [specific project/team], and the conversations I had with [interviewer names] reinforced my enthusiasm for the team and the mission.
I have spent the past few days carefully evaluating the offer and comparing it to my current situation and other opportunities I am considering. I want to be transparent: I have a competing offer from a peer company that values my total compensation meaningfully higher, particularly in the equity component.
Based on my research on levels.fyi and conversations with peers at similar levels, I believe the following adjustments would bring the offer in line with my market value and make it easy for me to accept:
- Base salary: $[X] (an increase of $[Y] from the current offer)
- Equity: $[X] over 4 years (an increase of $[Y] from the current offer)
- Signing bonus: $[X] (to help offset the equity vesting cliff in Year 1)
I want to emphasize that [Company] is my top choice, and I am committed to making this work. I believe these adjustments reflect the value I will bring to the team, particularly my experience in [specific AI skill]. Please let me know if you would like to discuss this on a call.
Best regards,
[Your Name]
Script 2: Counter-Offer Email (No Competing Offer)
Subject: Re: [Company] Offer — ML Engineer
Hi [Recruiter Name],
Thank you for the offer — I am excited about joining [Company] and contributing to [team/project]. I have reviewed the offer details carefully.
I have done extensive market research using levels.fyi and industry compensation surveys, and I believe the current offer is below the median for my experience level and specialization. Specifically:
- My 4+ years of experience building production ML systems, including [specific achievement], positions me at the upper range for this level
- My expertise in [LLMs/computer vision/NLP/etc.] is in exceptionally high demand, and I have received inbound interest from several companies
- The median total compensation for this role and level, based on verified data, is approximately $[X]
I would appreciate if the team could review an adjustment to bring the total compensation closer to $[target TC], either through increased equity, a higher signing bonus, or a combination. I am flexible on the structure.
I am very keen to join [Company] and want to make sure we find a package that works for both of us. Happy to discuss on a call at your convenience.
Best,
[Your Name]
Script 3: Phone Script for Discussing Counter
Recruiter: "I got your email. Let me share what the team came back with — we can increase the equity by $50K but the base is firm."
You: "I appreciate the team revisiting the equity — that is a positive step. I understand the base has constraints. Can we explore the signing bonus? A larger signing bonus would help bridge the gap in Year 1, especially given the vesting schedule. I was thinking $[X] would make the overall package work for me."
If they push back: "I understand there are budget constraints. What about [alternative]: could we revisit the level? I believe my experience in [specific area] aligns with [next level], and that would naturally bring the compensation in line with what I am looking for. Alternatively, is there flexibility on the annual bonus target or a guaranteed Year 1 bonus?"
Closing: "I want to reiterate that [Company] is where I want to be. I am not trying to squeeze every dollar — I want to feel valued so I can focus entirely on the work. If we can get to [specific number], I am ready to sign today."
Script 4: Asking for More Time
Recruiter: "We need a decision by Friday."
You: "I understand the timeline, and I want to be respectful of the team's planning. This is a significant decision for me, and I want to give it the careful consideration it deserves. Would it be possible to have until [specific date, 3–5 more days]? I have a few conversations I want to complete so I can make a fully informed decision. I am very interested in [Company] and want to make sure I am choosing it for the right reasons, not because of time pressure."
Script 5: Negotiating After an Exploding Offer
Situation: Company gives you 48 hours to accept or the offer expires.
You: "I appreciate the urgency, but I want to be honest — I am unable to make the best decision for either of us under a 48-hour deadline. If [Company] is confident I am the right person for this role (and the interview feedback suggests you are), then a few extra days should not change that. I am asking for [specific date] to give my full commitment. If the offer needs to expire for process reasons, I understand, but I would hope we can find a way to work together that does not start our relationship with a pressure tactic."
Note: Exploding offers are a red flag. Companies that use them often have retention problems. If they refuse to extend, consider whether this is a culture you want to join.
What to Negotiate Beyond Salary
If the company hits a wall on cash and equity, there are other valuable items to negotiate:
- Level / title: A higher level means higher comp bands, better refresh grants, and stronger future negotiating position. If you are borderline, push for the higher level.
- Scope and team: Which team you join affects your career trajectory, learning, and future exit opportunities. This is worth negotiating.
- Remote work flexibility: If the offer is for a lower-cost-of-living location, negotiate for full remote at the higher geographic pay band.
- Start date: Negotiate a later start date to take a break between jobs, or an earlier one if you need to start accruing equity sooner.
- GPU / compute budget: For research roles, your compute budget directly affects your ability to publish and advance. Some companies negotiate individual compute allocations.
- Conference travel budget: Attending NeurIPS, ICML, or KDD is both a career benefit and a retention tool. Ask for a guaranteed conference travel allowance.
Key Takeaways
- Always negotiate — initial offers are set at the 25th–50th percentile of the band, with room to move up
- Never disclose your current salary or desired salary before receiving an offer
- Use email for your initial counter-offer and phone calls for follow-up discussions
- Competing offers are the strongest lever, but market data and specialized skills also work
- Be specific: ask for exact numbers, not vague "more." Give the recruiter a document they can take to the comp team
- Negotiate beyond salary: level, team, remote flexibility, compute budgets, and conference travel are all on the table
- Always negotiate in good faith — the AI community is small and bridges matter