Bait & Switch Job Offers

On January 19, 2015

In the January 20, 2015 Ask The Headhunter Newsletter, a job seeker interviews for a senior job only to receive a silly offer for a lower level job.

Question

I have not been on the job market since 2007, and after a layoff early October 2014 I am fighting my way through this job market. I have the background, experience, and personality a high tech company was looking for when they advertised a senior technical position at $96,000. After all the interviews, we seemed to be doing great, until my final face to face interview, where I was informed there are now two positions — one senior and one junior. During my initial screening with the company recruiter I was clear on my salary requirements.

When I recmousetrapeived the company’s offer letter, it was for $75,000, way below what we had discussed. I was insulted, shocked, and angry. When I called the recruiter, she stated there were a lot of strong candidates, that there were actually five positions, and that I fit better into a junior role at the salary offered. I replied that I applied for only the senior position at $96,000 and that there was no discussion of four other positions. I asked about the differences between the positions, and it’s clear from what the hiring manager says that there are none but the salary!

I want to send a response letter stating that I was a candidate for only the senior job, re-emphasizing my experience and expertise, and referencing the original senior salary range. What would you recommend?

Nick’s Reply

If you stand a few feet back from this and look at it for what it is, I think you’ll see the proper answer. I’m going to show you how to improve this job offer dramatically, but you must be ready to play this game for keeps.

First let’s do a reality check. This employer is playing you. You laid down the terms for the interview when you (a) applied for a senior technical position, and (b) when you stated your salary requirements and they agreed to proceed with those two understandings.

Now look at the facts:

  1. They offered you different job
  2. At a much lower salary.

We could just call this a stupid HR trick, but there’s another name for it: Bait and switch. A car dealer baits you with a test drive in a car you want to buy after you saw the price. You show up with a check, and they offer you a different car at a different price. You’d kick them down the street for switching the deal and wasting your time.

You did what you were supposed to do, so you’re thrown for a bit of a loop. You interviewed for a certain job at a certain salary level. They knew your expectations, and they agreed to proceed with the interviews. Then they changed all the terms and made a ridiculous offer. Had they made no offer, I’d just say the match didn’t work out. But this employer is clearly manipulating applicants. (I find this is most common with staffing firms that hire people and assign them to work for their clients. See Bait & Switch: Games staffing firms play.)

You’re trying to behave rationally, and you’re looking for a reasonable explanation and next step. The recruiter and manager should be trying to impress you — see Baiting the talent — but they are doing the opposite. They are breaking basic business rules and pretending the problem is yours.

But two can play at this, and you can play without doing anything unprofessional. First, you must decide that you are willing to walk away from the junior position at the junior salary. (If you’re desperate for a paycheck, then you know what you must do.)

What I’d do is sign the offer letter and send it back to them. But I’d cross out the salary and enter the salary you told them you wanted. Initial it. Cross out the junior title and write in the senior title you interviewed for. Initial it. Accept the position at the salary level you all discussed. Add a note that says:

“This is the job I applied for and that you interviewed me for, at the salary range we discussed. If you are prepared to sign off on the original terms as we discussed them, I am ready to start work in two weeks.”

Then let them figure it out.

My prediction is that you’ll never hear from them again. However, there’s a chance that, having a solid acceptance in hand, along with a start date, from a candidate they have judged worthy of hiring, they might negotiate a reasonable salary for the job you want. You’ve written your own ticket, and it’s up to them to join you for the ride. If they decline, you’ve lost nothing (having already decided you wouldn’t accept less) and you’ve preserved your integrity and self-respect.

For more about dealing with the final stages of the interview process, see Fearless Job Hunting, Book 9: Be The Master of Job Offers.

If they decline, write them off and move on. These are jerks of the first order and I’d never talk to them again. This is an unscrupulous recruiter who advertises a high-level, desirable job at a high salary to entice seasoned, experienced technical people like you to invest plenty of time in interviews — just so they can short-sell you on a lower-paying job that they’d prefer to fill with much more highly qualified candidates at a huge discount.

fishhookThey are con-men. You told me off-line who this company is: one of the biggest, most respected computer companies in the world — but it doesn’t matter. They’re still con-men.

Many, many people in today’s job market would fall for this and rationalize that it’s the best they can do. Maybe so — but when you add in a confidence game, we’re left with a bunch of self-deprecating job seekers who let themselves be suckered. Con-men love that.

I’d be interested to know what you do and what happens. The problem, of course, is that there are desperate job hunters who will accept any job under any terms and at any pay. This employer counts on that. It’s what’s wrong with our economy today: Crooks and suckers. They create a market that can’t last. It can only go south. For more about this, see Employment In America: WTF is going on?

(I mean no disrespect to job seekers who need to put food on the table and who will take any job to do so. I’d do it myself. But the economic reality is that being put in this position creates a vicious downward cycle that encourages more of the same from ruthless employers.)

There is nothing wrong with you or your expectations. If you can afford to walk away from this, I would not look back. Jerks make lousy employers. You need only one employer with integrity.

Did you ever feel pressured to accept a lousy offer for a job you never applied for? What’s the most bizarre job offer situation you’ve been in — and what did you do? Was I too tough on this reader? What would you advise?

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News Flash! HR Causes Talent Shortage!

On October 6, 2014

Hold the presses! I’m going to show you how HR created “the talent shortage.”

I recently did a Talk to Nick consultation that illustrates why employers aren’t filling important jobs — while they complain there’s a talent shortage. The real talent shortage is in corporate management, where hiring is treated as an expense rather than an investment. Here’s what crummy job offers cost employers.

In the October 7, 2014 Ask The Headhunter Newsletter, a job seeker turns down a lousy job offer:

I heard from my old employer today. I got an offer that’s approximately the same amount I was getting paid when I left five years ago!

Background

low-offer“Mark” (not his real name) is a successful engineer who asked me for help in 2012 — to land a better-paying job elsewhere. He succeeded, and since then his engineering skills have grown and he has developed expertise in operations and quality assurance. This talented R&D engineer can now convert technically challenging concepts into products ready for production. His skills and abilities are far more valuable today than they’ve ever been. He contacted me again a few months ago when a manager at his old company encouraged him to apply for an R&D engineering position — in other words, to return.

After an hour’s consultation with me, Mark had a series of interviews, including a meeting with the manager who knew him so well the first time around. Here’s what Mark reported happened next.

Mark’s Story

I heard from my old employer today. I got an offer that’s approximately the same amount I was getting paid when I left five years ago! I declined to state my current salary in the screening interview, and instead explained the salary range I’d expect for an engineer with my experience. The personnel jockey replied that, “You know you will have to provide this at some point to move forward.”

I suspect the HR people pegged me based on my last known salary. If I had stayed with this company for five more years, I would be making more than the offer — a figure around my current salary.

I negotiated with the hiring manager, but HR handled the offer. There was some motion on their side, but only in the form of a one-time check that had large strings attached. The deal fell through. Companies succeed in spite of themselves!

The reasons why they could not improve the offer were as bizarre as some of the excuses I used to hear on my personnel reviews about why I could not be rated higher. In my conversations with the hiring manager, he stated that they recently lost a good employee in much the same way they lost me. I just chuckled. Thanks again for your assistance.

Nick’s Reply

The McQuaig Institute (a developer of talent assessment tools) recently polled over 600 HR professionals. The #1 reason they lose job candidates — reported by 48% of U.S. companies — is because the offers they make are too low.

HR knows where the talent shortage comes from: Lousy job offers.

Peter Cappelli, a human resources and labor researcher at the Wharton School, confirms that “employers can’t get candidates to accept jobs at the wages offered.”

Employers know exactly what the problem is, but they play dumb.

Cappelli points out, “That’s an affordability problem, not a skill shortage. A real shortage means not being able to find appropriate candidates at market-clearing wages. We wouldn’t say there is a shortage of diamonds when they are incredibly expensive; we can buy all we want at the prevailing prices.”

loserEmployers today refuse to pay market salaries and wages, then blame the labor force. (See How to decide how much you want.) That’s how HR — which took control of your job offer — lost you, along with other employees, and created the talent shortage at this company. This is how HR turns companies into losers.

It can be hard to swallow the reality that a company just isn’t going to make a prudent decision when it makes a ridiculously low job offer. I can’t tell you how many times I’ve advised clients to raise offers — after I’ve shown them what it’s going to cost to leave work undone. Crummy job offers also cost employers their reputation — in their own professional community when word gets out that their offers are too low.

Many just don’t get it. Employers incorrectly view hiring as an expense rather than an investment with an ROI. The great irony is, the actual extra dollars spent on higher offers are almost irrelevant when compared to the value the new employee will create. The more subtle lesson that some companies — but not most — learn is that enhancing an offer can make a new hire happy, more loyal, and more productive. Money doesn’t buy love, but it can buy better work.

However, Cappelli points out that corporate accounting systems do not track the cost of leaving a job vacant, making it appear that the “cost savings” of leaving the job empty translate into “profit.” (Yes, I’m still laughing my A off at that one. Call it revenge against the bean counters!) A crummy job offer costs an employer — and our economy — quite a lot.

Employers are shooting themselves in the foot when they make silly job offers. An engineer plus five years’ more experience, plus expertise translating designs into buildable, quality products, plus the maturity to work across corporate departments is worth more than the same engineer five years ago.

Except to a cheap employer with a serious talent shortage in the executive suite.

Good for you for rejecting a lousy offer. I realize not everyone can afford to do that. (See Turn down that job offer.) I think such jobs get filled because employers wear applicants down and convince them that “this is the way it is, and you should accept it.”

In Pursue Companies, Not Jobs, I suggest that you (or anyone) should pick a good company, take the best job you can get there, and navigate the company once on board to get to the jobs you really want in time. It’s all about the quality of the company and the people. Salary is such a small component of a company’s business, yet HR is so focused on it that enormously bad business decisions are made over a few bucks. (Meanwhile, HR blows billions on job boards, applicant tacking systems, and other automated “tools” to help it make more low-ball offers to save money… gimme a break!)

Your old boss confessed to you what crummy salaries and job offers do: They make talent disappear. So you don’t need a news flash — you already know.

Thanks for sharing the outcome. Seriously – move on to a better opportunity. Start picking your next target, and be ready to express your desired salary range, and to negotiate a fair compensation package. You’ll learn more in Fearless Job Hunting, Book 9: Be The Master of Job Offers, and in Book 7: Win The Salary Games (long before you negotiate an offer).

Have employers created the talent shortage? Are they paying for crummy job offers in ways they don’t realize? Have you been smacked with a ridiculous offer? What implications do you think this has for our economy?

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