Employment Contracts: Everyone needs promise protection

Employment Contracts: Everyone needs promise protection

By Bernard C. Dietz, Esq.

You would never think of buying a home without a written contract setting out all of the details of the sale. It would be impossible to buy a new car without signing a contract that sets out the price to be paid and the terms of the deal. And you can’t get a credit card without signing a formal application contract.

So why do people routinely accept job offers without written employment contracts?

employment contractsEmployment contracts aren’t just for CEOs

Your job is the source of the income used to pay for your house, your new car and your credit cards, yet very few people have written contacts with the companies that hire them detailing the terms of their employment. Sure, CEOs and other senior executives have written contracts covering their jobs, but why don’t the rest of us?

The vast majority of the workforce would benefit from a written contract that covers how we’ll be treated, how we’ll be compensated, what we’ll be doing, and more. Otherwise, what governs all of the time we spend away from our families five or more days a week? It is important and prudent to ensure that promises made at hiring time will be respected during the course of employment.

The problems with verbal job offers

In general, at the time of an offer and acceptance of a new job, most new employees are verbally told the details of their new employment, including the rate at which they’ll be paid. But verbal offers are not good for employees for a few reasons:

  1. If the information is not written down and there is a dispute or misunderstanding as to what was said in the past, you will find it very difficult to prove your version of the original agreement.
  2. The manager that made all of the verbal promises may move to another part of the company, or quit, or be fired, leaving no confirmation of your agreement. (See: Gotcha! Get job offer concessions in writing!)
  3. The manager may not have been authorized by the company to make certain promises to you, and the company may refuse to stand behind the manager. The consequences can be profound if you have already resigned your old job and uprooted your family for the new one.

Unless the promises made at hiring time are somehow secured, it can be difficult or impossible — and costly — to enforce them.

An offer letter is not enough

Sometimes, employers provide new hires with an offer letter. This is a good start — a written document that could function as a contract, except that these letters often include statements that negate their contract value.

Problematic statements include:

  • “the terms of the offer letter are subject to change in the future,” and
  • “new employees agree to and are bound by the terms of our employee handbook”.

Too often, the new employee doesn’t get to see the handbook until after the hire is made, and the handbook almost always states that it is subject to change at any time by the company. (See Employers shouldn’t keep secrets from job applicants.)

When the terms of a job offer are subject to change, it isn’t good for the new employee. There are no concrete promises to ensure that the employee is getting (and giving) what was agreed to at the time the job offer was accepted.

At will: The mistake companies make

The number one reason employers are reluctant — or refuse — to provide employment contracts to the vast majority of employees is because:

“We want to be able to fire the employee if we feel they’re not working out, and we don’t want a contract to limit our ability to do this.”

This concern arises from the concept of “at-will employment.”

Simply stated, when a company hires someone at will, it can fire the employee for any or no reason at any time. (Likewise, the employee is free to quit the job.) Most states in the U.S. are considered at-will states, where the legal presumption is that, absent a contract stating otherwise, all employees are at-will employees and employers can fire them for any or no reason at all (other than for reasons of discrimination, of course).

But companies confuse at-will employment with employment contracts. Employers often believe that having a contract with an employee automatically eliminates the freedom of at-will status. This is simply incorrect.

More about employment contracts: Employment At-Will vs. The LeBron James Rule.
A true contract defines a term of time for the employment period, making the arrangement predictable for both parties. It can include an at-will clause. An essential part of the employment contract should be the term, or length of time, of the agreement, which may be six months, a year, or at will, which means “for as long as we both agree to keep it going but either party can end it at any time.” Thus, other important terms can be enforced without limiting the freedom to part company at any time.

The benefits of good employment contracts

When a company misunderstands at-will employment, it misses the clarity and benefits offered by employment contracts. With a well-written employment contract, settling disputes regarding an employment becomes a much simpler and less expensive proposition for both sides.

As with any contract, at the first sign of a dispute the contract can simply be reviewed to confirm the rights and responsibilities of each side. If the contract is not being upheld by the employer or employee and it can’t be resolved by discussion or negotiation, then a lawsuit may be filed. But of course, a central reason for a good contract is to avoid litigation.

When there is a written agreement to refer to, the decision of who is right or who is wrong may be decided quickly as a matter of contract law, rather than as a protracted matter of “he said-she said.”

A good contract protects promises

An employment contract doesn’t have to be a long, difficult document, and it can be tailored for any employee. First and foremost, the contract should protect promises made by both parties at the time of hiring. Both an employee and an employer should look for these simple but very important terms in a contract:

  • The position being offered and accepted
  • The compensation that will be paid
  • Whether the employment is for a set length of time or at will
  • Specifics regarding vacation time and sick leave and whether such time accrues from year to year
  • The responsibilities of both parties with regards to the work to be done and the work environment
  • Terms of separation in the event the employee is terminated or resigns, including guaranteed severance terms and pay, depending on whether separation is “for cause.”

The last item is especially important if there is any post-employment non-compete agreement (NCA) or restrictive covenants. It’s fine to agree to stay out of your employer’s game, as long as you’re being paid to sit on the sidelines.

The contract should be signed by the company and the employee. If you’re the employee, you should store a copy in a safe place, like the safe deposit box where you keep the deed for your house and the title for your car. The contract for your job is at least as important as those documents.

Employment contracts are good for everyone

Having a written contract benefits both the employee and the employer because it makes a clear, definitive record of what everyone is agreeing to at the time of the agreement. These contracts are not just for executives, though an employment contract for an executive will be more complex and detailed than for a staff employee or a middle manager.

Anyone would rest more easy knowing that the details of employment are set down in writing, both to promote success of the working relationship and to avoid controversies. (See: Job offer rescinded after I quit my old job.)

Employment contracts are good for everyone. The main benefit for employers is that they don’t have to worry about potential verbal promises made by a rogue manager that could come back to haunt them. A company can, if it chooses, make it clear that the employment is not promised for any set length of time. The main benefit for employees is that they are protected if their management changes and if memories fade about promises that were made. The contract ensures promises will be kept.

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Bernard C. Dietz is a retired attorney.

I stopped shortchanging myself and my career

I stopped shortchanging myself and my career

A reader who’s been shortchanging their potential has an epiphany in the June 23, 2020 Ask The Headhunter Newsletter.

Question

shortchangingYou get a lot of questions. I thought you might enjoy an answer I discovered.

I finally ironed out the details of my new job and my relocation (very generous and I really expected nothing). During my morning shower, I had this fleeting thought, “Wow. They are really paying too much for me to take this job. With benefits like moving expenses, closing costs, salary and bonus, I am really being paid way too much for this job. I would have taken it for a lot less.”

Then I stopped and chided myself for these negative thoughts.

Obviously, I realized, I must be filling some need that they are willing to pay me this much for. And, I thought to myself, I am very good at what I do, I know the company, know the people and I know I will do a great job in this position.

Of course, I am sure there are cases where people are paid far more than they are worth for a job. But I realized this morning, really for the first time, how much I have shortchanged myself over the years by thinking things like:

  1. “Oh, I don’t think I could do that job,” or
  2. “They wouldn’t want someone with my background for that,” or
  3. “I know they wouldn’t be able to meet my salary for that position.”


I realized this morning that I have really been selling myself short in a lot of ways in my career, rather than “reaching for the brass ring,” and extending myself a bit farther to achieve more.

Now I know that the first step in looking for a better position is valuing yourself and what you can really do for an employer, regardless of your job history and industry background. Today I stopped shortchanging myself. The answer to my own doubts is that undervaluing myself is a mistake. I hope I never make it again.

Nick’s Reply

The Question in this column doesn’t always have to be a question! Your story is one of the most eloquent, wonderful expressions of newfound career wisdom I’ve ever read. And we could end this column right there. It’s enough to prompt discussion all by itself.

Becoming suddenly aware of how you’ve been shortchanging yourself and your potential is the kind of “Aha!” experience that will make others start thinking, too. That makes this epiphany as important as the questions I answer in this column. Thanks for sharing it.

Shortchanging yourself

I’ve experienced the kind of misgivings you have, and I’m sure many others have, too. We all doubt our worth sometimes. The three examples of shortchanging yourself that you shared are the kinds of doubts that stop us dead in our tracks. Rather than ask ourselves, “Why YES?”, we say “NO, but I don’t know why!” — perhaps because it’s easier!

For some people, self-doubt can be a serious problem called impostor syndrome. Most of the time it’s a passing worry that we overcome by recognizing and enjoying our achievements. Sometimes it’s debilitating and leads to needless failure.

While criticism and disparaging remarks from others can spark a crisis of self-confidence, we tend to doubt compliments and praise. Sometimes praise is casual and perfunctory; sometimes it’s genuine and well-deserved, like the exceptional job offer you received.

The best praise is our own honest judgment of ourselves that’s based on solid facts and success. I think your job-offer success is quite solid!

Shortchanging your potential

Every time someone asks me, How much money should I ask for? or, What am I worth?, I want to say to them, You’re shortchanging your potential! Don’t get stuck on what you’ve done. Plan what you can do by realizing your potential. That’s your worth.

People who acknowledge their potential know what they are worth. They have a power that surpasses the greatest negotiation skills. Their self-confidence is anchored in self-knowledge — knowledge of their skills and ability to create, fix or improve something, and to recognize opportunities they can capitalize on. That’s what the employer discovered about you. Now you see your potential, and that the money follows.

Potential value = more money

Once you accept your potential value, it’s easier to express it in terms of what another person (or business) needs – and that gets you more money. (For another approach to how to judge your own value please see The Cardinal Rules of Worth.)

Someone values you enough to pay you more, and now you know you deserve it. You’ll never be the same again for this realization. It will spur you to deliver even more value because now you know your value doesn’t depend on your credentials or on your history. It depends on what you can do. And that’s wonderful. Thanks for sharing your epiphany!

Do you shortchange yourself? How do you calculate your worth — and then express it to get a better job offer? What metrics can we apply, other than a resume, credentials and experience? (Or is that all of it?)

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Job Search During The Pandemic

Job Search During The Pandemic

By Jason Alba

job searchBefore you think I’m an expert in the history of pandemics (check out this great infographic for a visual of pandemic history), I’ll admit that I’ve never experienced anything like what we are going through today. The world seems to be at a standstill with no more eating inside restaurants, all conferences postponed… even the Olympics have been moved.

Job panic in the pandemic

At first it seemed the biggest problem we’d face was getting toilet paper. Don’t get me wrong, not having ready access to toilet paper could be catastrophic. As time passes it seems that, without discounting the tragedy of illness and death, we are looking at economic crises that no one living has experienced. I’m seeing a lot of fear, panic and a lack of focus.

The first week people started working from home en masse, the comments I saw and heard were that people just didn’t know what to do. Routines were rattled and people wondered what this would mean for their jobs. Recruiters have been talking about hiring freezes. Recruiters, by the way, are like a canary in the proverbial coal mine when it comes to the economy.

Opportunities in the pandemic

Even then, with the confusion and major changes to life and work, some businesses are continuing with as much force as they had B.C. (Before Coronavirus). Some companies, such as delivery, shipping, and manufacturing, have announced massive hiring needs. Of course, these aren’t all executive jobs, or senior management jobs, but if a company is about to bring on thousands of new employees, they’ll have management and leadership needs they might not have had before.

I work with a Saas (Software as a service) company that is continuing to grow, close deals, and see expansion with current customers. The business success they are seeing isn’t related to current events. Rather, business must continue, and businesses continue to invest in growth and other initiatives. Businesses are even investing in employees. While you probably see hiring freezes in some companies, surely there are other companies that have their normal needs, or will have new needs. This becomes your opportunity.

Job search in the pandemic

Here’s what I know about the job search during this time: While some things will be different, other things will very much remain the same — especially what works. The pandemic makes it necessary to do more of what we know works best.

Jason Alba is creator of the 6-week Job Search Program, a daily web-based audio tutorial designed to help you get your next job. He’s also CEO of JibberJobber, the acclaimed contact-management system for job seekers.

Lets be honest: Much of the pain of a job search is in actually doing what it takes every day to achieve your goal. Job hunting is an iterative process. You must do many of the same tasks every day. The repetition can get tiring and lonely. It’s hard to keep up the necessary pace. It’s hard to stay motivated. Every day of the Job Search Program, Jason talks and guides you through your job search.

Frankly, one of the important things Jason delivers is the daily “kick in the pants” even the most astute job seekers need to keep them on track. Every day, Jason walks you through a series of High Value Tasks designed to help achieve your goal. Then you confirm your progress on his clever logging system.

I’ve known Jason for 15 years. He’s one of the few people in the job-search world I respect and admire. His program isn’t for everyone — but it’s the closest thing you’ll find to a daily session with a savvy job-search coach. (You’ll recognize lots that you’ve learned on Ask The Headhunter!)

Jason invites you to try the first 3 days of the 6-week-long Job Search Program for free, so you can decide whether it’s right for you. I’ve tried it, and I like it, or I wouldn’t be telling you about it. Judge for yourself. Try it out for free.

[Disclosure: This website earns a referral fee if you make a purchase.]

Networking will be more important. Jobs have always been filled based on trust and relationships. People hire who they know, or who is referred to them, or who somehow ends up on the radar. Networking doesn’t have to happen in person, though. When you think about networking as relationship building more than as a superficial exercise, you’ll find your networking efforts are more focused and effective.

Talking to the right person will be more important. I was talking to a colleague during a sales conversation and he stressed that we were not pitching to the right person. Our conversation was not even with a gatekeeper. While the other person was eager to hear what we had to say, they were neither an influencer nor a decision-maker. It was then I realized that talking to people was great, but talking to the right people was more important. This is as true in sales as it is in the job search.

Having the right conversations is even more critical. When you talk to the right people, make sure you have the right conversation. The conversation with a gatekeeper is different than the conversation with a decision-maker. In the job search you will talk to plenty of people who are not hiring managers, but they might help you network with hiring managers. Make sure you know which conversations to have with which contacts.

Follow-up is more essential. Unfortunately, networking in the job search means meeting a lot of new people, online, at networking events, or in outdoor venues when society opens back up. Meeting new people is important but it’s not enough. You must follow up. Not having a follow-up strategy is an indication you really don’t understand networking. As I mentioned, networking is about relationships, and you don’t form professional relationships with just one conversation. We need to have multiple conversations, and follow-up is a big part of that.

These have been the basics of job search for decades. Unfortunately, for many years job seekers have relied on job boards to do most of their work. Why network when you can almost anonymously upload a resume, without talking to humans? For introverts, this was like a dream come true. For everyone else, we felt forced to do job search that way, lest all the good jobs were posted and filled with job-board applicants.

The truth is, plenty of jobs were found by the principles above. This was true during great economies and horrible economies. Even while everyone seems to be working from home, who you know and who knows you is as important today as it has ever been. In fact, today it’s more important.

Jason Alba is the CEO and creator of JibberJobber.com, a web-based CRM-like system that organizes and manages a job search and networking. He recently created The Job Search Program, a six-week tutorial framework in which Alba guides a job seeker through planned, daily tasks necessary to land a job.

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Headhunter demands I quit my job before his client will interview me

Headhunter demands I quit my job before his client will interview me

In the June 16, 2020 Ask The Headhunter Newsletter an executive gets an ultimatum from a headhunter.

Question

headhunter demandsI am an executive at a large U.S. bank. I was approached by a headhunter and have had serious and positive discussions with a company he represents. We were at the next stage of me speaking with the CEO of the company. However, it turns out that the company is a business client of my bank and the CEO of the company is good friends with my boss. On account of this, the CEO is not comfortable meeting with me. The headhunter informed me that the CEO has asked me to resign or notify my boss of my intention to resign before he will meet with me and resume discussions. While they have indicated that they would then “fast track” the process immediately after that, it’s not a guaranteed offer. This seems absurd to me. The headhunter tells me this is not unusual at my high level, but I have never heard of such a practice. What are your thoughts?

Nick’s Reply

This is a good example of the headhunter’s version of mixed signals. “Let’s talk about a job!” Then “We can’t talk to you about a job!” Not unless you quit your job first. Go, then stop, then go? What’s behind all this? The headhunter’s naivete or the CEO’s incompetence?

You’ve had multiple interviews with the company. They have undoubtedly read your resume and know where you work. So does the headhunter and the company’s HR department, which knows the company’s recruiting policies. Now the CEO interjects and implies there’s some sort of conflict in even talking with you because he’s your boss’s friend and the company does business with your bank.

What a mess. How absurd. How unprofessional. Why did they bring you in to interview at all?

Recruiting conflicts?

Perhaps the CEO thinks he’s a paragon of ethical behavior in not hiring anyone that works for any of his friends or who works at any company his company buys from. He has manufactured a significant and risky constraint on who his company can hire.

Podcast

Last week I chatted with Mac Prichard on his “Find Your Dream Job” career podcast. Have a listen: Choosing your target companies, with Nick Corcodilos.

I might understand if you worked for a customer of the CEO’s company. Then the CEO might risk losing the account. But would the CEO forego hiring an employee of the electricity provider that services his building? A lawyer from the company’s law firm? An employee of a restaurant the CEO frequents? A programmer from Apple if the company uses iPhones? Where does it end?

The only true conflict would be if the company’s contractual relationship with the bank forbids the company from recruiting its employees. I’ve never heard of such a thing. (However, it is common for a contract between a headhunting firm and its client company to forbid the headhunter from poaching the client’s employees. But that’s a different story.)

Friends and fiduciaries

If the friendship between the CEO and your boss is the issue, then that CEO should stop recruiting anyone. How many friends does he have and at what companies?

The CEO has a fiduciary obligation to his company. This means he must act entirely on his company’s behalf and best interest. That includes when hiring. Unless there is some contractual or legal obligation preventing him from recruiting and hiring you, the CEO may be violating his obligations to his board of directors. His duty is to hire the best candidates, whether his friends like it or not.

Do you think the CEO disclosed to his board all the companies where he has friends, and from which he will not recruit candidates (like you)? Does HR know which companies represent forbidden fruit? Apparently not. That headhunter certainly doesn’t know.

The CEO’s company will have no access to all those potential candidates (like you). The company would be foolish to limit its access to good candidates.

Headhunter demands it

Far more bizarre is that the headhunter demands you resign your current job just for the chance to meet with his client. Absurd? It’s insane, irresponsible, kooky and the sign of an employer you should cross off your list and warn your friends about.

Additionally, the headhunter’s explanation is disingenuous. If the company has a no-recruit list and your bank is on it, why doesn’t its headhunter know about it? Why did he recruit you from your bank, on behalf of the CEO’s company,  and put you through multiple meetings? The headhunter is wrong. He owes you a big apology for his and his client’s unprofessional conduct. (For more about how to deal with headhunters in such situations, please see How to Work With Headhunters… and how to make headhunters work with you, pp. 26-33.)

Off the rails

This is so far off the rails that you might consider having some fun with it. Tell the headhunter you’ll quit your job if the CEO will write you a check for a year’s salary if he doesn’t hire you for at least a 15% compensation increase within 3 months. You want the check now. You will refund the money if the CEO hires you.

Alternately, tell the headhunter you want to hear this directly from the CEO. You want to see the “no-poach” agreement the company has with your bank. You’ll get none of this, of course, but it’s a conversation I’d love to hear!

Good for you for stepping back for a reality check. You’re dealing with a very naïve headhunter and with a CEO that’s mismanaging his company, from the HR department up to the C-suite.

Perhaps he should hire his friend (your boss) to protect their friendship. Maybe that’s what he’s planning anyway.

On to the next!

What do you make of this bungled recruiting episode? Has a headhunter ever issued bizarre demands like this? What would you do if you were the candidate? What would you say to the CEO and the headhunter?

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Podcast: How to choose your target companies

Podcast: How to choose your target companies

Choosing your target companies, with Nick Corcodilos

Source: Mac Prichard’s “Find Your Dream Job”

target companies

If you’re job hunting, it’s likely because you ended up in the wrong job, to begin with. How do you ensure that it doesn’t happen again? You stop applying for jobs, says Find Your Dream Job guest Nick Corcodilos.

Instead, you go after specific companies. And because every company needs profitability, you need to show hiring managers how you can increase their bottom line or save on costs. Nick also suggests learning enough about the company that you can show them how your specific skills apply to their specific needs.

Continue reading

Nick’s take

Many thanks to Mac Prichard for his hospitality and for having me as a guest on his top-rated career podcast. Mac asked good, insightful questions and I did my best not to slip up! Hope you’ll have a listen. We can discuss your questions and comments below! Hope you enjoy this podcast!

 

 

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Employer refuses to negotiate job offer? Try this.

Employer refuses to negotiate job offer? Try this.

How to Respond to “Take It or Leave It”

Source: Harvard Business Review
By Anyi Ma, Yu Yang and Krishna Savani

negotiate job offer

Have you ever heard one of these statements in the midst of a negotiation?

“That’s the best I can do. Take it or leave it.” Or, “I simply can’t make any more concessions. Sorry.”

Lots of negotiators use soft ultimatums like these to elicit concessions from the other party, and research shows that they are often successful in doing so. So what can you do when you are at the receiving end of such ultimatums? How can you persist to obtain a better deal for yourself?

Our research identified a surprisingly straightforward way to successfully navigate ultimatums: think about all the choices that you and your negotiation partner have in the negotiation. Or as we think of it, adopt a choice mindset.

Negotiators in a choice mindset received better outcomes in the end. Indeed, we found that the choice mindset improved negotiation outcomes in a wide variety of contexts, such as buying a used car, negotiating a job offer, and negotiating a B2B sale.

Continue reading

Nick’s take

You get a job offer. You try to negotiate it. They tell you they can’t or won’t. Take it or leave it. I usually advise a candidate to accept an offer if it’s within a few bucks of what they want. Don’t negotiate for its own sake or “because they expect you to.” But if you really think you’re worth more, never fold when the other guy gives you an ultimatum. This surprising research offers a sanguine strategy to get what you want. What I love about this method is that no salary survey data is required to make your case, and “integrative negotiations” can be a win-win.

Do you fold when the employer tells you the job offer is not negotiable? Or do you engage anyway? How do you go about it? What works for you? Did you ever blow it by going too far? Do you agree that “integrative negotiations” are possible when negotiating a job offer?

 

 

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Which managers hire the best?

Which managers hire the best?

In the June 9, 2020 Ask The Headhunter Newsletter a manager asks how managers hire.

Question

managers hireWhen you’re hiring, how do you know who you want to hire? By that I mean, how do you identify the job you need done, the skills and potential for growth you require in a job candidates? I admit I’ve made some hiring mistakes as a manager, but it’s awfully hard to pinpoint what I’ve done wrong. It’s just as hard to figure out what I did right when I picked my best staff members!

Nick’s Reply

I don’t think the problem for most managers is knowing what they want. If they don’t know what work needs to be done, they have no business managing.

Managers hire for profit

If you have doubts about what a job is all about, here’s a good test: It must involve work that is profitable to the company. If it’s not profitable, question the legitimacy of the job.

Of course, this means you must understand how the work of each one of your employees fits into the big profit picture. Most managers I’ve said this to roll their eyes and tell me they’re not finance managers and it’s not their job. If they really believe that, they need to sit down with their company’s CFO and figure it out. Profitability is every manager’s job. Or, why are you even a manager?

The problems with hiring

But let’s focus on hiring.

I think the challenge for most managers lies in the faulty hiring process they’ve been taught. This process emphasizes talk rather than demonstration, and personality rather than ability. It hampers their ability to hire well.

There seem to be two main problems with how managers hire.

Problem 1: Hiring to the job description

Most managers know what they need to get a job done. However, they are usually saddled with over-written, static job descriptions that better serve the requirements of a Human Resources applicant tracking system (ATS) than the ever-changing needs of their company.

Don’t believe me? Is your own job and the work you do today the same as your original job description? How much has your job changed since you started it? (I’ve asked this question of hundreds of times. All I ever get is bitter laughs.)

When a manager interviews to fill the job description, that may satisfy HR. But is it going to meet the manager’s changing, evolving needs? Worse, is HR sending candidates to the manager just because their resumes and applications contain words that match words in the static job description?

Hiring to the job description is a mistake. (The problem of job descriptions themselves is for another discussion.)

Problem 2: Managers hire people they like

Generally speaking, managers are schooled by HR experts in the art of interviewing, if they’re schooled at all. But, what does HR know about hiring anyone but HR staff? HR is not schooled in specific work disciplines like engineering and marketing. Consequently, HR’s interview instructions tend to emphasize only general attributes, mostly relating to personality and attitude.

Managers that know what they want often don’t dare ask candidates to deliver it because to do so would violate the traditional rules of interviewing. Whoever heard of putting a job candidate in a room with all the tools they need and asking them to demonstrate how they would do the job?

Instead, managers learn to sit and talk banalities with applicants. Even managers who know what work they need done end up hiring workers based on irrelevant rules and criteria that have been hammered into their brains by an antiquated and ineffective employment system.

An executive of a multinational telecommunications firm complained to me that his company keeps making the same mistake. “We hire based on personality,” he said. “More specifically, we hire people we like because the interview methods we use don’t really reveal whether the person can do the work.”

Put another way, managers focus too much on who they want, rather than on what work they need to have done. “To hire” does not mean to acquire a worker; it means to acquire the use of (that is, pay for) certain services to get certain work done. The focus must be on the person’s services and on the work. Unfortunately, most managers have absolutely no concrete proof that a job candidate can do the necessary work until after they hire them to do it. This never comes up in the interview, because the manager is too busy trying to “assess the candidate.”

Can the person do the work you need done?

The hiring process has become warped into a personality assessment. Consider the common questions asked in interviews: What is your greatest strength? Your biggest weakness? Where do you see yourself in five years? Such questions are so general and meaningless that hundreds of books are available to teach you how to respond with equally trite answers. But what has any of this to do with the work a manager needs done? Next to nothing.

In what I call The New Interview, the manager and the candidate work together on a “live” problem or task. This maintains a focus on the work that needs to be done, rather than on the keywords in a job description. The best example task is one that clearly affects the profitability of the department. My guess is that, if you were to review your interviews against the success of your hires, either you’ve just gotten lucky some of the time, or your best hires actually showed you they could do the work.

In my experience, if an interviewer conducts such a working meeting with sleeves rolled up and focuses on an actual work task, the candidate will quite naturally reveal their personality, attitudes, skills, growth potential and “fit” on other scales. It comes out in the conversation and in the shared experience of working together during the meeting — just like it does at work. No clever interview questions are required. (You’ll still learn whether you like the candidate, but your opinion will be based mostly on whether they can do the job!)

What’s a manager’s job?

If you’re a regular reader, you’ve heard me say this before. A good manager should be spending 10-15% of their time every week identifying, recruiting and cultivating people to fill current or future positions. Hiring is a key management function and you need to develop your skills to do it well.

A job candidate must be able to do the work. If you don’t — or cannot — directly assess this, why are you even a manager? I mean no offense, but I suggest you think about it.

If you’re a manager, how do you hire? Do you put 10-15% of every week into hiring? Who was the best “hiring” manager you’ve ever known, and how did they do it? What are the worst hiring practices you’ve encountered?

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Too busy to hunt for a job

Too busy to hunt for a job

In the June 2, 2020 Ask The Headhunter Newsletter a reader worries about being too busy to find a new job.

Question

too busyBefore this coronavirus thing hit I had decided it’s finally time to leave my crummy job. I say crummy but it pays the bills. With record numbers of people having no job at all, believe me, I’m grateful I have a job. I took on more tasks from people who were furloughed. But I could become one of those millions out of work any day now. Guess you could say I’m scared. The thing is, even though I’m working from home, there’s no time to look for a job! Is it unreasonable to want a better job right now? How do I do it while working and during this COVID-19 disaster? Thanks!

Nick’s Reply

The world could be ending and you could still hate your job. One has nothing to do with the other. I’m glad you’re able to separate how you feel about your job from the fact that you need it for an income. There’s nothing wrong with wanting to get a better job even when jobs may be hard to come by.

You cannot ignore the coronavirus and the shutdown and the gradual reopening of the economy, but you can’t control any of that, either. Let’s focus on a problem many people have whether times are good or bad: they’re going about their job search all wrong. You can do something about that!

Too busy to search for a new job

My favorite excuse for conducting an inept job search — or for not starting a job search at all —  is, “I’m too busy working to find a new job.” Don’t blame your busy schedule for your career woes. You must make time. (Believe it or not, employers have a complementary problem: Small Business Owner: I’m too busy to hire help!)

People offer this excuse because they have the wrong idea about what constitutes a job search. You may be surprised to learn what smart “job hunting” really requires. It isn’t scouring job postings or sending out resumes. It isn’t going on informational interviews. It isn’t taking a sick or personal day when you can, to contact your network and to call prospective employers.

You can practice the best form of job hunting while you do your job.

Make time, take time, steal time

I make no judgments about it, but people shop online, read the news, check their social media and manage their investments while they work. Some even play games. Right or wrong, they literally create time for those tasks and still get their jobs done.

Even if you don’t do any of those things, even if you are hard at work all day long, you can make time to search for a job because you must if a new job is really important to you.

This might mean stealing time from other pursuits during your workday, and it might mean doing a bit less work for your employer. There, I’ve said it.

Every work day has its limits. When you agreed to do the work of others who were furloughed, you somehow blasted through those limits. Now you must retreat a bit, and still do your job. As you’ve noted, you could lose your job tomorrow, whether you’re doing your own job, or one and a half jobs, or two. So you’re at risk anyway.

As long as you’re doing a good job, you’re not stealing time from your employer. But you must do a bit less of your job to protect your having a job at all. Make time, take time or steal time from your day.

Job hunting on the job

So, how do you search for a job while working?

You might understandably respond that it’s not appropriate to search for a job during your work day. You might worry that it’s awkward or risky to have such conversations with people you work with. This is all about being thoughtful, tactful, discreet and careful. Don’t do anything that would risk your current job. Don’t do anything that feels wrong to you.

It involves talking with others about their work in the context of your work. If you talk with customers during the day, it’s about discussing your work and their work, and discreetly asking questions about their company — which could be your next employer.

If you deal with vendors, consultants and other professionals, remember that they have other customers like your company. Job hunting is about gently inquiring what other companies are doing. Which companies does your vendor or consultant admire and like doing business with? How’s that company doing during the crisis? Who are the “shining lights” at that company?

How to Say It
“I’d love to meet some people there — can you recommend a specific person I can talk with?”

If you use online resources to do your job, reach out to those resources differently. E-mail them. Call them. Have a good business reason for the call, then pause and ask them, “How are you doing through the crisis?”

You’ll find some are doing okay, some aren’t, and some face problems and need help. But almost every one of them will pause and share the moment with you. Take the opportunity to talk shop with them, express your interest in their work and in their company’s business, products or technology. (See Shared Experiences: The key to good networking.) Every one of those people knows other people in companies that might be your next employer. Ask for a casual introduction.

Don’t be surprised if they pick up on the opportunity to open up a bit with you, and wind up asking you for introductions to people you know.

Tap into the grapevine

Anyone you’re in touch with during your job is a potential link to a new job, as long as you don’t lead your discussion with “I need a new job.” First, you need insights and advice about other companies and managers that need help, even if they’re not hiring. Such discussions can turn you into the insider who’s “wired for the job” when one opens up or before it’s even advertised.

There is a grapevine of information about companies and managers that need help — and about who’s a good person to talk with about it. Don’t be too busy to set aside a few minutes every hour and tap into the grapevine.

Advice, insight & referrals

If you want to be more blunt and direct, make a list of people you talk or e-mail with (or with whom you could do so) in the course of doing your job. Make guesses about which other companies they likely have contacts in. The next time you communicate, try this:

How to Say It
“Hey, would you mind if I ask your advice about something not related to our work? If someone like me were interested in working for [company X, which your contact may work for, or which your contact has other business with], what kind of advice would you give me?”

If the response is helpful, take the next step:

How to Say It
“Is there someone at the company that you might suggest I get in touch with?”

We all know far more people in the world than we think we do — and every one of them is a potential introduction to your next boss. As long as you don’t come across as an opportunist who abuses relationships for personal gain, you can ask for advice and insight about other companies to get useful introductions.

While talking with people you interact with during your work day, there’s nothing phony if you ask:

  • Who do they think are the “shining lights” in the industry or business?
  • What articles, books or people influence how they do their job?
  • What are their thoughts and predictions about the industry?
  • What are their interests and aspirations? (Then you can share yours.)

This often — but not always — opens the door to discussions about careers, jobs, and — most important — about companies that need help.

Where jobs really come from

You can do all this in the course of doing your job, because the right people to talk to might be the ones you do business with: co-workers, customers, vendors, consultants, accountants, bankers and even investors, to name a few. These people are where jobs really come from.

If you’re busy doing your job, you’re not too busy to job hunt — because you’re probably already talking with someone that knows your next boss.

Don’t make the fatal mistake of thinking that actively searching for a job requires hours of surfing job boards, writing cover letters and filling out job application forms. That’s not how most jobs are filled.

Help managers find you

I think that, especially in a time when tens of millions of people are looking for work, managers are overwhelmed with incoming job applicants. The people they know and trust in their field are the most efficient and accurate sources of good hires. Your challenge is to tap into those channels of trusted referrals. While there are many such channels, don’t ignore your work contacts.

Make, take or steal time to protect your livelihood. An active job search is about taking an extra moment to connect with people you do business with on another level. It’s not about asking for a job lead, or even about disclosing that you’re looking. It’s about asking for their advice, their insights, and for introductions to people they know who might offer more advice, insights and information about companies and managers you might be able to help and want to work for.

How does anyone make time to search for a job if they’re too busy working? How can you be more efficient and productive when hunting for a new job? What are the best paths for getting to hiring managers? Is what I’m suggesting too risky?

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Zuckerberg plan cuts pay for up to 50% of Facebook employees

Zuckerberg plan cuts pay for up to 50% of Facebook employees

Facebook workers get remote work option-but it could come with a pay cut

Source: arsTECHNICA
By Timothy B. Lee

Facebook

“We’re going to be the most forward-leaning company on remote work at our scale,” Facebook founder and CEO Mark Zuckerberg announced in a Thursday livestream to employees. “I think that it’s quite possible that over the next five to 10 years, about 50 percent of our people could be working remotely.”

Some Facebook employees will be eligible to request remote work status and relocate to another metropolitan area. They might do this to be closer to family or to move to a city with a lower cost of living. But this option comes with a catch.

“Our policy here has been for years — is already — that [compensation] varies by location,” Zuckerberg said. “We pay a market rate, and that varies by location. We’re going to continue that principle here.” In other words, a Bay Area engineer who chooses to relocate to Omaha or Birmingham would take a pay cut.

Zuckerberg said, “we’re going to need everyone to tell us where you’re working from now.” He added that “we’ll basically adjust salary to your location at that point.”

Zuckerberg says that Facebook is “mostly going to rely on the honor code for this” — but not entirely. Facebook will check IP addresses to help detect people who lie about where they’re living.

“There will unfortunately have to be severe ramifications for people who are not honest about this,” Zuckerberg said. One reason for that, he said, is that Facebook needs to know where its employees live for tax purposes.

Nick’s take

Leave it to Silicon Valley’s greediest CEO to boost profits by leveraging COVID-19 to induce up to half his employees to move out of the Bay Area so he can cut their salaries. Hey — that’s how I read it. If about 50% of Zuck’s workers go remote, FB will effectively cut up to 50% of its payroll, using what he calls “the honor code.” Do ya think Zuck sends lower Facebook stock dividends to investors in Greybull, Wyoming because their cost of living is lower than his?

Is an engineer that lives in Silicon Valley worth less when they move to Biloxi? How about if they get hired while living in Altoona? Should FB employees with fat mortgages and Lamborghinis get paid more because their cost of living is higher? Did you know that “offshoring jobs” to save money includes moving them to Texarkana? How would you negotiate your compensation deal if you got an offer from Facebook?

 

 

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Don’t fall for A.I. video interview during COVID crisis

Don’t fall for A.I. video interview during COVID crisis

Emotion AI researchers say overblown claims give their work a bad name

A lack of government regulation isn’t just bad for consumers. It’s bad for the field, too.

Source: MIT Technology Review
By Angela Chen and Karen Hao

video interviewPerhaps you’ve heard of AI conducting interviews. Or maybe you’ve been interviewed by one yourself. Companies like HireVue claim their software can analyze video interviews to figure out a candidate’s “employability score.” These assessments could have a big effect on a candidate’s future. But many of these promises are unsupported by scientific consensus. There are no strong, peer-reviewed studies proving that analyzing body posture or facial expressions can help pick the best workers. The hype worries the researchers. Many agree that their work–which uses various methods (like analyzing micro-expressions or voice) to discern and interpret human expressions–is being co-opted and used in commercial applications that have a shaky basis in science.

An Illinois law regulating AI analysis of job interview videos went into effect in January, and the Federal Trade Commission has been asked to investigate HireVue (though there’s no word on whether it intends to do so).

Meredith Whittaker, a research scientist at NYU and co-director of AI Now, emphasizes the difference between research and commercialization.”We are particularly calling out the unregulated, unvalidated, scientifically unfounded deployment of commercial affect recognition technologies. Commercialization is hurting people right now.” (HireVue did not respond to a request for comment.)

Nick’s take

We’ve torn down and examined the video interview before, and HireVue’s version in particular. We keep doing it because it just keeps getting worse. Now, during the time of COVID-19, you’re going to have to do video interviews — no getting around that. But what kind of video interview you subject yourself to is another matter.

If an employer wants to meet over Zoom or Webex, that’s one thing. But if they want you to record a robo-interview video so that an A.I. (artificial intelligence) algorithm can then “analyze” your expressions, tone and body language to judge your “employability,” you need to hit the PAUSE button. The researchers behind this technology say it’s bogus to use it for job interviews and are calling for consumer protections. Maybe you should tell the employer that MIT says so. Then offer to do a Zoom meeting, maybe without video.

Are you willing to be judged by algorithms that A.I. researchers say should not be commercialized for job interviews? How do you say NO? What does it mean that MIT Technology Review, and possibly the Federal Trade Commission, are taking on this $25 billion industry? And what do leading HR executives who rely on  HireVue and other such systems have to say about all this? 

 

 

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