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On December 27, 2016

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Is your job search stuck?

Finding a job is not about prescribed steps. It’s not about following rules. In fact, job hunting is such an over-defined process that there are thousands of books and articles about how to do it — and the methods are all the same.

What all those authors conveniently ignore is that the steps don’t work. If they did, every resume would get you an interview, which would in turn produce a job offer and a job.

But we all know that doesn’t happen. That’s why I wrote Fearless Job Hunting.

Try Ask The Headhunter for free!

The key to successful job hunting is knowing how to deal with the handful of daunting obstacles that stop other job hunters dead in their tracks.

I didn’t bring you here just to sell you books for 40% off. Of course, I’d love it if you’d buy my books, but Ask The Headhunter regulars know I publish my advice for free. My business model is simple: If you love what you read here for free, you’ll see the value in buying my books. But that’s up to you. My job is to keep delivering tips and advice you can find nowhere else — tips and advice you can use now.

So try Ask The Headhunter for free!

Here are some excerpts from Fearless Job Hunting — and if you decide you’d like to study these methods in more detail, I invite you to take 40% off your purchase price by using discount code=MERRYATH. (This offer is limited — it’s good only until New Year’s Day!)

4 Fearless Job Hunting Tips

You just lost your job and your nerves are frayed. Please — take a moment to put your fears aside. Think about the implications of the choices you make. Consider the obstacles you encounter in your job search.

FJH-11. Don’t settle

From Fearless Job Hunting Book 1: Jump-Start Your Job Search, p. 4:
The myth of the last-minute job search

When you’re worried about paying the rent, it seems that almost any job will do. Taking the first offer that comes along could be your biggest mistake. It’s also one of the most common reasons people go job hunting again soon — they settle for a wrong job, rather than select the right one.

Start Early: Research the industry you want to work in. Learn what problems and challenges it faces. Then, identify the best company in that industry. (Why settle for less? Why join a company just because it wants you? Join the one you want.)

Study the company, establish contacts, learn the business, and build expertise. Rather than being just a hunter for any job, learn to be the solution to one company’s problems. That’s what gets you hired, because such dedication and focus makes you stand out.

2. Scope the community

From Fearless Job Hunting Book 3: Get In The Door (way ahead of your competition), p. 6:
It’s the people, Stupid

FJH-3You could skip the resume submission step completely, but if it makes you feel good, send it in. Then forget about it.

More important is that you start to understand the place where you want to work. This means you must start participating in the community and with people who work in the industry you want to be a part of.

Every community has a structure and rules of navigation. Figure this out by circulating. Go to a party. Go to a professional conference or training program. Attend cultural and social events that require milling around with other people (think museums, concerts, churches). It’s natural to ask people you meet for advice and insight about the best companies in your industry. But don’t limit yourself to people in your own line of work.

The glue that holds industries together includes lawyers, accountants, bankers, real estate brokers, printers, caterers and janitors. Use these contacts to identify members of the community you want to join, and start hanging out with them.

3. Avoid a salary cut

From Fearless Job Hunting Book 7: Win The Salary Games (long before you negotiate an offer), p. 9:
How can I avoid a salary cut?

FJH-7Negotiating doesn’t have to be done across an adversarial table — and it should not be done over the phone. You can sit down and hash through a deal like partners. Sometimes, candor means getting almost personal. Check the How to Say It box for a suggestion:

How to Say It
“If I take this job, we’re entering into a sort of marriage. Our finances will be intertwined. So, let’s work out a budget — my salary and your profitability — that we’re both going to be happy with for years down the road. If I can’t show you how I will boost the company’s profitability with my work, then you should not hire me. But I also need to know that I can meet my own budget and my living expenses, so that I can focus entirely on my job.”

It might seem overly candid, but there’s not enough candor in the world of business. A salary negotiation should be an honest discussion about what you and the employer can both afford.

4. Know what you’re getting into

From Fearless Job Hunting Book 8: Play Hardball With Employers, p. 23:
Due Diligence: Don’t take a job without it:

FJH-8I think the failure to research and understand one another is one of the key reasons why companies lay off employees and why workers quit jobs. They have no idea what they’re getting into until it’s too late. Proper due diligence is extensive and detailed. How far you go with it is up to you.

Research is a funny thing. When it’s part of our job, and we get paid to do it, we do it thoroughly because we don’t want our judgments to appear unsupported by facts and data. When we need to do research for our own protection, we often skip it or we get sloppy. We “trust our instincts” and make career decisions by the seat of our pants.

When a company uses a headhunter to fill a position, it expects [a high level] of due diligence to be performed on candidates the headhunter delivers. If this seems to be a bit much, consider that the fee the company pays a headhunter for all this due diligence can run upwards of $30,000 for a $100,000 position. Can you afford to do less when you’re judging your next employer?

Remember that next to our friends and families, our employers represent the most important relationships we have. Remember that other people who have important relationships with your prospective employer practice due diligence: bankers, realtors, customers, vendors, venture capitalists and stock analysts. Can you afford to ignore it?

* * *

Thanks to all of you for your contributions to this community throughout the year. Have you ever settled for the wrong job, or failed to scope out a work community before accepting a job? Did you get stuck with a salary cut, or with a surprise when you took a job without doing all the necessary investigations? Let’s talk about it! And have a wonderful New Year!

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Why am I not getting hired?

On December 19, 2016

In the December 20, 2016 Ask The Headhunter Newsletter, we address some of your biggest complaints about job hunting — why you’re not getting hired.

Question

Let’s look once again at the perennial problems job seekers continue to face:

  • “I don’t understand it. I must have responded to over 50 job postings in the last month, and I haven’t gotten a single interview.”
  • cane“I’ve completed over a dozen job applications, and I haven’t heard from one company.”
  • “The tight market puts employers and recruiters in the driver’s seat once again. Fewer jobs are available, and there’s a larger talent pool to choose from.”
  • “Companies that once had to make offers on the spot to snare candidates now have the luxury of time. They can postpone making hiring decisions until they find someone who meets all their criteria.”

The question behind all these plaintive protests is clear: Why am I not getting hired?

Nick’s Reply

Whoo-whee! It’s that time again — a difficult time for getting hired. (See The Third Fallacy.) Companies are indeed hiring. They’re just not doing it the way you’d expect. They’re in a hurry but they don’t want to make mistakes — though it somehow seems they don’t really want to make hires. Throughout Ask The Headhunter and throughout the year it seems we keep coming back to the same challenge: how to help employers make a decision — to hire you.

Be the right candidate

Consider the logic of the frustrated job hunters above. It’s not logic at all. It’s pure frustration that stems from not being the right candidate. Who’s fault is that? Difficult as it might be to hear this, please listen:

  • Don’t approach a company if you’re not the right candidate.
  • Don’t make rationalizations when a company ignores you.

It’s true that many companies are hiring more slowly, but that doesn’t mean they have the luxury of time. In fact, the opposite is often true. Some managers are under great pressure to fill precious slots before the year ends and budgets close (or are cut). Thus, employers are not hiring slowly because they can, but because they can’t get the right candidates. They are deluged with every Tom, Dick, and Jane who has a minute to submit an application — and those same managers are burdened with applicant tracking systems that can’t distinguish strong candidates from weak ones.

Remember that most hires are made via trusted referrals and personal contacts. Why? Because this is the most reliable source of good, appropriate candidates. When managers can’t get a hire through this preferred channel, they turn to lesser sources, like job boards and applicant tracking systems. They know the odds of finding a good candidate are low but they, too, are frustrated and desperate. They need to fill a job now.

Put that in your Santa’s pipe and smoke it — and you’ll sweep past your competition.

wreath‘Tis the season to be truly right. If you are the candidate a manager needs, you can capitalize on the rush to hire. You can give a manager the gift he’s been waiting for: your earthly presence. Help him to spend his budget and make the hire. Be ready to articulate your value, but do it face-to-face or on the phone — not via an application form or a resume.

These concepts and methods are laid out in how-to fashion in the Ask The Headhunter PDF books, and we’ll summarize some of them here.

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Make it personal

Like Baba Ram Das said in 1976, “Be here now.”

Getting hired means actually being there. A resume doesn’t cut it. An application doesn’t cut it. When you hide behind a form, you’re admitting that you’re not sure you’re the right candidate. You are afraid to face the manager because you have nothing compelling to say. If you’re the right candidate, then you have exactly what it takes to make a manager say, “Yes!”

There aren’t 400 jobs out there for you. You can be the truly right candidate for only one, or two, or maybe three different jobs. Pick them carefully. Study, prepare, create a business plan to prove your value to the specific manager, and go after those two or three jobs and no others.

Here’s the secret to showing an employer why she should hire you: Estimate as best you can how your work produces revenue or reduces costs for the company.

Excerpted from Fearless Job Hunting, Book 6, The Interview: Be The Profitable Hire, p. 8:

Identify your role in the profit equation
If you work in sales or product design, you help produce revenue by selling or by creating products. That’s good for the company. The more you contribute to revenues, the more value you add to the business.

If you work in information technology or in manufacturing, you have a daily impact on the company’s costs. (But, of course, every worker is part of a company’s costs.) High costs are not good. Your job contributes to the success of the business by helping minimize costs (also known as increasing efficiency) while performing a function necessary to help produce revenue.

The difference between revenue and cost is profit. So, regardless of what your job is, ask yourself what you do to enhance profits. Do you sell more stuff at higher margins, or do you do some other job smarter, faster, and cheaper? Explaining this to an employer helps you demonstrate your value.

Getting hired: Take the right path

The frustrated candidates who submitted the complaints above are not being dismissed because their resumes are lousy, but because they are cows. If you merely send in a resume, what’s the chance you are really the right candidate? If you rely on nothing but a dopey job posting, how can you know what a job is about or what a manager wants?

Please: Be realistic. Take the most reliable, proven path to a job. If you are really the right candidate, prove it by getting referred by someone the hiring manager trusts.

hollysprigI know I sound a bit harsh. My suggestions seem like an unreasonable burden on a job hunter. The notion that it’s up to you to pick the right job creates a daunting task. And making personal contact with hard-to-reach managers is so difficult. This is all very hard work.

Yep. But so is that great job you want. The task of finding and getting hired has never been easy. If you believe otherwise, it’s likely because the media and automated recruiting systems have brainwashed you and employers alike. (Zip Recruiter, anyone? Just watch applicants come rolling in! LinkedIn, anyone? Just watch opportunities fill your e-mail box!) You already know this isn’t simple. You already know that being dead-on for a job is a rare experience. But if you don’t make it happen, it’s not likely to happen on its own.

Take advantage of this high-pressure time when managers really do want to fill jobs. But don’t be casual about it. Be the right candidate who picks the one right company, the one right job, then picks up the phone and delivers the solution a manager has on his wish list.

Stand out

Who’s getting hired? The candidate who gets personal, picks the right companies, and delivers a solution to the right manager is who you’re competing with, whether she learned this approach from here or whether it’s just her common sense. Long-time ATH subscriber Ray Stoddard puts it like this:

“The great news about your recommendations is that they work. The good news for those of us who use them is that few people are really willing to implement what you recommend, giving those of us who do an edge.”

Lets review some key tips to help you get the edge you need over your competitors:

I hope Ask The Headhunter helped you get an edge in 2016. We will continue to discuss the details of the methods outlined here in upcoming columns.

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If you buy Ask The Headhunter PDF books in the Ask The Headhunter Bookstore, I’ll deduct 40% from your purchase price — no matter how many books you buy! Just use discount code=MERRYATH when you check out! (This limited-time offer for the holidays expires Jan. 1, 2017!)

christmas-treeI’m taking a break for the next two weeks — See you with the next edition on January 10!

Meanwhile, here’s wishing everyone a very Merry Christmas, Happy Holidays (no matter what you celebrate or where you celebrate it), and a Happy, Healthy, and Prosperous New Year!

How have you used the ATH methods to land the job you want, or to hire exceptional employees? What methods of your own have you used successfully? Please share, and let’s discuss — what matters most is what works best out in the field!

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How do I ask for 30% salary increase?

On December 5, 2016

In the December 6, 2016 Ask The Headhunter Newsletter, a reader wants a 30% salary increase to accept a big promotion and relocation.

Question

salary increaseAs a senior manager with a big manufacturing company, I lead a sizable sales team and have enjoyed good career growth over 18 years. I’ve been told I am a high-potential employee and they are considering me for a promotion to a director job at HQ or in one of our national regions, which would require a relocation. I’m ready to move, but I won’t do it without a considerable salary increase.

I have done some homework and 30% seems to be the right number. Our company typically would only give me a 10% raise. But my thought is that, if I am getting uprooted and taking on more pressure and responsibility, they need to compensate me for it. Is this a reasonable response to give them, or a bad one?

Nick’s Reply

Congrats on the good news. My view of this is, you put your proposal out there along with your justification, and that’s where the negotiating starts. But there are two potential issues.

  • Will you offend them because you dared ask for 3X what they were probably going to offer you?
  • Can you justify what you’re asking for?

Let’s consider the possibilities — and prepare for them.

The salary increase stinks

There’s not much you can do about management that gets offended easily, so you need to make a judgment. Could asking for so much get them upset? Are you prepared to deal with such a reaction? What I’m really asking is, would you decline the promotion — or quit — if they don’t give you what you think you’re worth?

Finally, have you prepared for the worst case — they dismiss you? (See Negotiate a better job offer by saying YES.)

You need to ask yourself what the odds are in each case, and you need to plan in advance what your response will be. Don’t wait to figure this out while it’s happening, because that’s when people make mistakes.

Your justification stinks

As far as salary surveys and what you’ve determined others are getting paid —that doesn’t matter to your employer. If they were looking at the same data you are, they’d give you 30%, right?

I believe people should be paid what they’re worth to a business. But I also believe it’s up to the employee or job candidate to demonstrate what they’re worth. The employer will not figure it out for you. Don’t rely on salary surveys like Glassdoor — your employer will tell you it’s not really relevant. (For other readers’ insights, see Am I chasing the salary surveys?) Best case, they’re looking to pay something “fair” that’s still a discount for them.

No matter what Glassdoor (or any survey) reports, all your employer has to say is, “Those positions don’t accurately reflect our company.” Or, your employer will bring out its own salary survey — which shows you’re not worth so much. (In that case, see Beat The Salary Surveys: Get a higher job offer.) If you base your case on such data, the negotiation will end there.

Make sure your justification doesn’t stink.

Be worth the salary increase you want

So here’s the only way to deal with this, in my opinion. The case you make for a 30% salary increase must address the benefits to your employer — not “what’s right” or “what everyone else is making.” That is, what will you accomplish during the next year, in this new job, that’s worth 30%?

Map it out. Produce a mini business plan that will convince them you’ve figured this out and that it’ll pay off for them, too. In my experience, that’s the absolute best way to negotiate a raise and a new job. (For a detailed approach to using a business plan to get what you want, see How Can I Change Careers? — it’s not just for career changers. Read “Put a Free Sample in Your Resume,” pp. 23-26.)

Compared to haggling about salary surveys, you’re far better off talking about your company’s business, its challenges and problems, and about a specific plan you’ve devised that makes you worth a 30% boost. The critical advantage of this approach is that it stimulates a discussion with your employer about something you’re expert at — your job. There’s the negotiating edge that can make all the difference.

Plan the outcome

There’s no reasonable or bad response to their offer. There’s what will work, and there’s what you’re ready to do if you don’t get what you want — assuming what you want is really that important to you. You must be ready to control the negotiation and to plan the outcome.

So there are really two challenges for you here.

  • First, can you demonstrate — hands down — that you’re worth what you’re asking for? (That is, worth it to the employer.)
  • Second, are you ready to walk away from this employer if you can’t get what you think you’re worth?

I wish you the best, and I’d love to know what you decide to do and how it turns out. I hope my comments help you in some way.

(Since you haven’t yet discussed this promotion with your company, there’s a completely different strategy you can follow. It’s covered in Fearless Job Hunting, Book 7: Win The Salary Games (long before you negotiate an offer), in the section titled “The Pool-Man Strategy: How to ask for more money,” pp. 13-15.)

Is a 30% raise even possible? How would you advise this reader? What are the angles and gotchas in this situation?

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The Salary Questions

On November 28, 2016

In the November 29, 2016 Ask The Headhunter Newsletter, a reader is puzzled about how to answer salary questions in interviews.

salary questionsQuestion

What’s the best way to deal with an interviewer who wants to know my salary history and salary requirements? While I know employers always ask this, I feel it takes away from my edge when I divulge that information.

Nick’s Reply

You’re absolutely right — to a point. When you show your salary cards at the wrong time, your negotiating edge disappears. When employers ask for salary requirements, they usually follow up quickly with a question about your salary history. Then they use your last salary to influence any offer they make. And that’s why you need to take control of the discussion.

There’s no puzzle here, if you keep your objectives straight. Your goals should be to:

  1. Avoid divulging salary history.
  2. Determine your worth with respect to this job.
  3. Express your desired salary as a range you can justify, and
  4. Negotiate a salary that reflects what you can contribute to the company’s bottom line.

Rather than go through the steps, let’s look at the underlying logic. How you apply these ideas is up to you and depends on the situation and on your good judgment.

When salary questions come up, profit is the issue

My advice is to turn any salary questions around and ask what exactly the employer wants you to accomplish for its business. But be even more specific than that.

How to Say It
What kind of profitability goals do you have for this position?

The more the employer expects you to contribute to the company’s profitability, the more you should be paid. Remember that every job contributes to profitability, either by increasing revenue or decreasing costs. If a manager thinks a question about profitability is odd, reconsider whether you want to work for him. This is someone who may not have a job himself in three months.

How to Do It: The PDF book, How Can I Change Careers? — which is for anyone who wants to stand out in a job interview, not just for career changers — provides detailed exercises to help you demonstrate and justify your value. See the section titled “Put A Free Sample in Your Resume.”

Salary history is confidential

In my opinion, discussing salary history is a no-no. It’s no one’s business. Some employers will object, but keeping your past salary confidential is pure common sense because it directly affects your ability to negotiate.

Although an employer may suggest that your old salary is a good indicator of your value, the truth is that it’s up to him to make an independent assessment of your value to his business. Your salary history is personal and confidential, and in some cases your prior employment agreements may even prohibit you from divulging it because it is also confidential to your old employers.

If you still have trouble with this logic, ask yourself, Would an employer divulge the salary history of the job you’re applying for?

How to Do It: Keep Your Salary Under Wraps shows you how to say NO when employers demand your salary history, to make them say YES to higher job offers. Learn how other Ask The Headhunter readers avoid disclosing their salary history politely but firmly. (This PDF book comes with a bonus audio lesson.)

Know what you want

Now let’s talk about your salary requirements. It’s a legitimate question for an employer to ask, as long as it’s couched in a larger discussion about how you will contribute to the bottom line. As we said above, the more value you can contribute to the work, the more you’re worth. There’s no way to provide a desired range until you know what the job entails and what the expectations are — and that requires some discussion. That’s not a cop-out or a clever response to the question. It’s the truth.

But, at some point, it makes perfect sense to decide what salary range you want and to share that information. (Wait until you’re satisfied the employer is one you want to work for, and that this is a job you want.) I think this actually gives you a negotiating edge because it establishes a level of agreement before you get to the offer stage.

When you share your desired range at the proper time, the employer should either agree that he will continue the discussions in good faith based on that range, or you should terminate your discussions. For more about this, see How much money should I ask for?

How to Do It: “The Poolman Strategy: How to ask for more money” is one of the key sections of Fearless Job Hunting, Book 7: Win The Salary Games (long before you negotiate an offer). Many years ago, my own lawyer taught me how to start a negotiation. In this lesson, I teach you how to dominate talk about salary.

Negotiate responsibly

Some people believe you should hide your requirements until an offer has been made. They seem to think that if you divulge what you would accept, the employer will low-ball you. This is nonsense. If you present a well-thought-out range, it gives you room to maneuver based on how well you can articulate your value.

No employer is secretly thinking, “Gee, I was going to offer 50% more than he’s asking for. Lucky me!”

It just doesn’t happen. While some employers are looking for ridiculous bargains, I think you will find that an employer’s target compensation is probably somewhere in the ballpark. (If it’s not, you walk.) When salary questions arise,providing a range and being able to justify it opens the door to a responsible negotiation.

It’s easier to negotiate the right deal when you’ve demonstrated good faith — and firmness — by demonstrating your worth and sharing your goals with the employer.

How to Do It: I know you’ve asked yourself this question — “Am I unwise to accept their first offer?” I cover this in detail in Fearless Job Hunting, Book 9, Be The Master of Job Offers. You’ll also learn a surprising tactic: How to say, “I accept your offer, but I’d like more money!”

Do the salary questions make you nervous in interviews? How do you handle them? What additional tips would you give this reader?

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Job promotion or more work for less pay?

On October 17, 2016

In the October 18, 2016 Ask The Headhunter Newsletter, two readers try to avoid getting suckered into a job promotion that’s really two jobs for one salary.

Question #1

My boss has asked me to take over someone else’s role on top of my own. The company was paying the other person to do the other job that I’d be adding to my own work. What percentage salary increase should I be given to take on the second job?

Question #2

job promotionHR came to me and discussed an opportunity that I might be interested in. However, instead of hiring someone else, HR proposed to my boss that he offer me this position while I keep my current position. It’s basically a dual role — two jobs.

The salary increase is only about $200/month. It’s very low considering I’d be saving the company a lot of money if they don’t have to hire another person. I told my boss I’m not happy with the salary bump and explained to him why. He seemed open to reviewing the salary depending on what HR comes up with.

Well, my current role does not compare with any job titles in the salary survey our HR manager uses. She compared my position to job titles that aren’t my job. So it makes no sense how she came up with the proposed salary increase. In any case, the additional role will require about 3-5 hours a week. The salary bump covers about 1.5 hours of additional time per week.

How do I negotiate this with my boss? HR’s inaccurate information shows my salary is already high compared to the salary survey, and to what everyone else makes in the organization.

Nick’s Reply

I could hand you a hundred bucks, smile and tell you I just gave you an opportunity to make more money. And it would be true, and a hundred extra bucks is a good thing, but is that a negotiation?

You’d ask me what I want you to do for the hundred bucks, and that would be the start of a negotiation. But a good, honest negotiation requires more.

When a labor union and management are working out a new contract, they do “fact finding.” When two parties discuss doing a deal, they produce a “term sheet.” Those are two ways of saying you’re putting the facts on the table. The reason these two readers are confused and at a loss is because HR has given them no facts.

Is this a real job promotion?

So my advice to both readers is, get the facts on the table. HR would rather talk about “an opportunity” and “more money,” but what HR started with is three facts you don’t have but need:

  • 2 job titles
  • 2 job descriptions
  • 2 salaries

I’d leave your boss out of this, for now. Go to the HR manager. Find out whether this is a real job promotion or just more work for less pay.

salariesHow to Say It

“Thanks for this opportunity. I’d like to make sure I understand it. May I please have copies of my formal job description and the written description of the job you’d like to add to mine, along with the actual titles of both jobs? I know what my salary is, but I need to know the salary of the other job. Then I can consider the work you need me to do and what it’s worth.” 

What you’re really saying to HR is, I expect you to do your job. We all know what job titles and job descriptions are. Now you need to see them, and that’s HR’s job. Because, when did you ever take a job without a title or description — or without knowing the salary? That’s why you’re confused and at a loss — it’s understandable. (See Roasting the job description.)

Don’t be a sucker

There’s a special term for giving you a second job without paying two salaries. That’s not a job promotion. The employer is suckering you.

A raise is a good thing, even if you have to do more work to get it. Usually, that’s called a promotion. (See Promotion, raise, bad vibes… How to Say It.) What both these stories have in common is employers that want to save lots of money — an entire salary in each case — while sharing only part of the savings with the sucker who will have to do all the extra work. And we don’t even know exactly what work.

In a well-run company, HR would combine two jobs, create a new job title, define new objectives and performance criteria, assign an appropriate salary, and put all that in writing. Only then would HR approach an existing employee and offer the newly defined job promotion with a higher salary.

But this isn’t about offering an employee more money to do more work. In these two cases, this is about duping an employee into doing two jobs without paying two salaries.

Don’t be a sucker. The only way to negotiate combining two jobs is to know exactly what’s required of both jobs, and exactly how much each job is worth before they are combined. There: Feel better?

Assess the risk

I always tell you never to take anyone’s advice about your career choices — including mine. Consider the advice, apply your best judgment, and make a sound decision. As in all things, assess the risk. Your first concern should be whether your employer will fire you if you decline the added work — or label you “Not A Team Player” and fire you later if you don’t play along with this HR game. And it is an HR game: HR doesn’t want to do this properly.

Decide what kind of risk you are willing to take if you can’t get your employer to handle this to your satisfaction. Just be careful: If you agree to this without a fully defined new job description, there will be no defined metrics your boss can use to judge whether you’re doing what’s expected. That puts you in a precarious spot. (See Don’t suck canal water.) Likewise, you can’t negotiate a new salary without knowing both old salaries.

What I’d do is get the facts, so you and HR are starting at the same place. There’s nothing wrong with your employer trying to save money by combining jobs. What’s wrong is lazy HR departments skipping the hard work of doing this right, in writing, and with full disclosure. Assuming you want the additional work and salary, tell your boss you’d love a job promotion.

How to Say It

“I think it’s best for our company, for you and for me if HR would define this as a new job, with a full description, a new salary, and clear metrics for success. And I think the best way to do this is for you — as the manager — and me and HR to meet to discuss how to define it all. I’d be happy to help!”

Don’t negotiate in a vacuum

It’s no accident in either case that HR and the boss are talking with you in isolation. They’re doing this in a vacuum to avoid discussion. I think your best negotiating position is at a table with both your boss and HR present.

I think your boss has to lead this effort, because HR has clearly shown it’s got no idea what you actually do and how it compares to jobs in the salary surveys. (By the way: I think salary surveys are useful generally speaking, but when used to assign a salary to a specific employee, they’re the pits! See Am I chasing the salary surveys?, and Beat The Salary Surveys: Get a higher job offer.)

For the reader in Question #1 who asks what percentage increase is appropriate, I don’t like to negotiate in percentages — and you should not negotiate in a vacuum, either. I think you have to sit down with your boss and HR to figure out how much more work you’d be doing, how much value you’d be adding, and how much your employer will be saving. There’s no way to just toss out a number — you must negotiate by discussing the newly defined job and salary. (For a complete approach to justifying a higher salary by using a business plan, see How Can I Change Careers?, pp. 8-12. This PDF book isn’t just for career changers; it’s for anyone who wants to stand out in a job negotiation.)

More gotchas

Both readers who submitted the above questions face an added dilemma. If the second job can be added to yours satisfactorily, then HR erred in creating the second job to begin with. Why was it separate? Don’t compound HR’s mistake by letting the HR manager sweep the second job under your job by calling it “a job promotion” without creating a new title, job description and salary. You need to know exactly what the second job was — you’ll be responsible for it! So get those documents I bulleted above.

The reader who asked Question #2 has an extra problem. Clearly, HR doesn’t understand the work you do, your job title, or your salary — none of it maps to information HR has on file. How can you negotiate adding an undefined second job to your job if HR doesn’t have the correct definition and salary for your existing job?

These are more gotchas that point to serious mismanagement of human resources at your companies. Don’t take the fall for HR’s failures.

If negotiations fail

If either of you is uncomfortable with taking on the extra work, or with how negotiations go, you can always decline “this opportunity” — and let your employer just re-fill the vacant job (or find another sucker).

Please keep in mind: If your employer is really determined to dupe you into doing more work with inadequate pay, the only exit from this quandary may be out the door to a new employer.

I’ll leave you with a joke. A person’s standing at a bar enjoying a drink. Up walks an attractive face — and says seductively, “For a hundred bucks, I’ll do anything you want.” The drinker smiles beguilingly and slaps a hundred dollar bill on the bar. “Paint my house.”

An extra hundred bucks isn’t always an opportunity.

Have you ever been faced with an “opportunity” that made you nervous because it was nebulous? Did you take it? Or what did you do? What additional tips and insights can you offer these two readers?

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Should I take a 30% pay cut to keep my job?

On September 19, 2016

In the September 20, 2016 Ask The Headhunter Newsletter, a reader doesn’t see a pay cut as a good deal.

pay cutQuestion

Yesterday my company, which is experiencing cash flow difficulties, asked me to take a 30% salary cut to keep doing the same job and still at full time. Do you have any tips on how to respond? I feel like I’ve been bushwhacked.

Nick’s Reply

The obvious answer is to tell them to shove it and quit.

But if that were your first choice, you wouldn’t be asking for tips. There are several ways you could respond, so let’s consider some of the issues before I offer some suggestions you could tweak to suit your needs.

Let me ask a key question:

Did they give you any indication or evidence that they expect to return your salary to normal again? When?

If they’ve communicated nothing about that, it’s a bad sign. If they’ve made promises, ask for it in writing. How they respond will tell you all you need to know about the company’s viability. Good management is honest with employees and makes and keeps commitments. A company that leaves you in the dark about what’s really happening is in more trouble than it seems. Don’t ignore signals about this.

You need to decide how much you need that cash flow yourself. That will dictate what you should do next: wait it out or move on immediately?

Another question:

Is there anything you can say or do that would bring your salary back up?

In other words, if you decline the cut, would they keep you on at your regular salary? I doubt it. So the choice is, do you accept the new terms while you look for a better job (without disclosing that’s what you’re doing), or do you quit and focus all your time on a new job?

Only you can answer that.

Negotiate a pay cut

This might work if your employer is likely to recover financially: Ask if they’d leave your salary at 100% on the books, pay you 30% less, and issue a promissory note for the balance. That is, an IOU. Then you might have standing to collect when they go bankrupt and a judge has to decide whose debts get paid first by the court.

Or, play tit for tat: Take the pay cut if they’ll take a work cut. Offer to work 30% fewer hours. Always be aware that opening a negotiation can result in the other guy withdrawing the deal entirely. That is, they might just tell you to leave now. But you could just leave now, too.

Fall back on this

Now I’ll give you my second best advice. Talk with a good employment attorney before you answer about the 30% cut. I know an attorney will cost you a few bucks, but consider how much that pay cut will cost you over the next one or two months. An hour with an attorney will probably seem like a good investment if your goal is to work out terms.

If you’re pretty sure the pay cut will turn into a layoff, start preparing now. Here are a few other issues to consider, from my PDF book, Parting Company: How to leave your job:

Should you volunteer to get laid off?

You might be able to get a severance package that costs the company even less than keeping you on at a 30% pay cut — if you volunteer to leave. (See pp. 26-27.)

Should you tell your boss you’re leaving?

Are you going to start a job search? Your boss probably wouldn’t be surprised — but I advise you not to disclose what you’re doing. If you’re going to rely on whatever meager salary they’re going to keep paying you, don’t risk it by appearing disloyal because you’re looking for a new job. (See pp. 38-39.)

If you’re ready to quit, see How should I quit this job? If you’re not going to read the book, at least read the article Parting Company: How to leave your job.

Stand up to downsizing

Are you pretty certain the company is going to fire you soon? From the book:

“Be smart. If you’re caught in a downsizing, don’t let yourself be pulled under by the current of panic. Everyone grabs the same life preservers: the job postings, the resumes, the cover letters and the random interviews. By that point, the channels of the employment system are clogged with so much competition that surviving the trip is debilitating, if not impossible.” (See pp. 23-25.)

In other words, don’t be the last one out the door pursuing the same jobs as your laid off co-workers!

Prepare and plan for the worst. When employers ask their employees for money — make no mistake, that’s exactly what this is — it’s a bad sign.

The only thing that would make me feel better is if your employer puts some skin in the game, too, in one of the ways I suggest above. But here’s my best advice: Immediately start a job search and get ready to move on — but be careful. (See How your old boss can cost you a new job.)

I wish you the best with this, but I doubt it’s going to work out well.

Did you ever take a pay cut to keep your job? How did it turn out? What would you advise this reader to do?

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Negotiate Even The Worst Job Offers: Say Yes, IF

On September 6, 2016

In the September 6, 2016 Ask The Headhunter Newsletter, a reader is frustrated with employers who are looking for top talent at discounted salaries to fill positions with fudged titles — but who won’t negotiate.

negotiateQuestion

I am a director-level, doctoral-level employee at a large healthcare company with over 15 years’ broad experience on the science side of medicine. I have been approached by several companies about potential positions. Some of the positions are extremely interesting and have broad organizational impact and a much larger sphere of influence than my current position.

However, when offers are made, they seem to all be at a “comparable” level — essentially lateral moves — with excuses of “We have eliminated the Senior Director level” or “We don’t implement the same titles at our company.” The compensation packages have been fairly anemic as well, with almost no increase in cash value and modest increases in stock or pension values.

What gives? Are these companies trying to get VP-level work for a Director level salary? When to push and when to walk? Thanks!

Nick’s Reply

Manipulation of salaries and titles is common — and I think your conclusion is correct. Even in a “talent shortage” employers think they can discount people and work, and some of the time they get a ridiculous bargain. The problem is LinkedIn and the job boards, which convince HR that the perfect candidate is available at a low price… now here’s the sales pitch… “if you just keep searching our database to find them!”

That’s how job boards make money: by selling silly ideas that suckers buy. That includes getting employers to keep paying to keep searching for that purple squirrel at bargain-store prices. The further problem, of course, is that many job seekers will fall for this manipulation.

We discussed negotiating recently in Negotiate a better job offer by saying YES. Now let’s go a bit deeper into this approach.

Lousy deals

Don’t tolerate lousy deals.

A top-level manager I know was downsized, and after a lengthy unemployment, he took a job for 20% less than he’d been making to do exactly the kind of work he’d been doing for five years. Two years later, he was downsized again, and took a 15% cut on the next job. Downsized yet again, he figured it out and got fed up after yet another employer tried to buy him at yet another ridiculous discount. He’s starting his own business while looking for a job suited to him that pays what he’s worth.

The explanations for reduced pay and titles that you’ve been given are self-serving excuses. Smug employers believe in Junk Profitability: “If we cut our costs when we fill a critical position, our profits will go up!” Then they act shocked – shocked – when the person they hire at such a discount bolts the first chance they get. “Disloyal, unreliable, over-qualified scoundrel!”

Force the other guy to negotiate.

Yes, IF: How to negotiate better deals

I showed the manager in the story above how to negotiate such job “opportunities.”

When an employer brings up a lower salary or lower title, don’t say no. Step back and ask yourself, Under what circumstances would you actually take this job? What salary? What authority? What responsibilities? What kind of work?

That’s called a term sheet. It’s the terms under which you’d take the deal.

Then say, “Yes, I’ll take the job IF…” and present your requirements to the employer as your counter-offer.

Include enough negotiable terms that you don’t come across as arrogant or unreasonable. But make sure you’re respecting what’s really important to you. Then let the employer consider what you’ve offered. If they want you and really need you, and they’re rational, smart business people, they’ll negotiate.

The aforementioned manager learned that many employers are not rational or smart — or they don’t really need to fill that job with a good candidate. Given the chance to negotiate, any savvy employer will do it, sometimes with a knowing smile. They’ll never agree to terms that are bad for them, but they’ll try to work out a compromise that’s good for you and for them.

The thing is, few candidates ever try this. They just skulk away or get angry. Don’t go away and don’t get angry. Open a negotiation. Know what you want. Ask for it.

If the employer won’t negotiate, then you will be glad you did more than hold your ground. You offered alternative terms that could lead to YES, but the employer walked away. (See The Bad-Business Job Offer: Negotiating not allowed!)

If they do negotiate, you’ve helped yourself and you’ve helped them fill a job under mutually good terms.

Negotiate even the worst job offers

I borrowed this advice from my own lawyer, who is also my best business advisor. He taught me long ago that, unless it’s a job or gig you really don’t want to do, never walk away over terms you don’t like. Offer terms you do like, and see where it goes. It’s a very empowering experience. (See “Am I unwise to accept their first job offer?” in Fearless Job Hunting, Book 9, Be The Master of Job Offers.)

You can control the terms of any job negotiation. Don’t be afraid or intimidated, especially if you’re going to walk away from the lousy offer they’ve already made you. You have little if anything to lose.

Whatever the outcome, you’ll feel like a million bucks because you managed the situation assertively and on your terms. If the employer balks, the rest is the employer’s problem, because they’re left with a vacant job that’s costing them every day.

Don’t say no. Say, “Yes, if…”

How do you turn job negotiations to your advantage? Do you negotiate just salary, or everything? Or do you just decide yes or no?

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Need a pay stub to hire me? Take a hike.

On August 31, 2016

This reader’s comment is an eye-opener — and a loud wake-up call to employers who demand to see an old pay stub before they’ll hire you. (From Goodbye to low-ball salary offers.)

From Not Desperate

pay stubI passed all of the pre-employment testing in the 95th to 100th percentile. I cleared the background, credit, reference, education and employment verifications and was told I was “cleared” as per the conditions of my signed offer letter.

Give us the pay stub

That was Friday afternoon. Monday morning, the day I was to give my notice to my current employer, the HR contact demanded a pay stub. I refused. I compromised and offered an HR contact who has historically been known to verify employment and salary range. The HR contact called my HR rep and confirmed the information verbally. That was not sufficient. They called me back several hours later and demanded the pay stub. I emailed my recruiter to state I would sleep on it and make my decision today.

No.

I stood firm in my decision and communicated to the HR contact and the team I was asked to join that I believe my current salary is private and confidential and that I would not submit to salary verification as a condition of securing or keeping my position.

I had declined a role that was $10,000 higher and came with 10 additional vacation days to accept this role that they were now demanding salary verification for. I am sure they will not back down and I am sure I will lose this opportunity.

myobIn the end, I win because I still have an amazing job (I am currently employed and not unhappy) and I have the opportunity to secure a position with an organization that will not play games with me after already determining I meet their requirements.

The organization is in a lose-lose situation. They lose me and they have no other candidates for this position. They will be starting back at square one. It felt amazing to stand my ground and remain true to my values and principles. Nick’s articles and comments provided the courage I needed to finally not cave. Thank you!

Nick’s Reply

Deciding to give up an offer over salary disclosure requirements is a personal decision. It’s pretty clear what my position is: Keep Your Salary Under Wraps. Your screen name says it all — if you’re not desperate, you don’t have to hand over a pay stub to anyone.

My guess is you taught this employer a frightful lesson: The “talent” is not a commodity.

I have a standing Q for HR: Give me one good reason why you need to know my salary. No one in HR has ever been able to give me a good reason. I invite more to try. (Please post your reason below.)

Here’s another question to HR: How many highly qualified, motivated job candidates will you lose to your competitors before you stop demanding confidential salary information that you don’t really need anyway? (We won’t get into the problem of how presumptuous and intrusive this is.) The market is shifting toward the talent, and you’re starting to look like a dope.

People sometimes ask, if you won’t show a pay stub to an employer — Should you disclose your salary history to a headhunter? There is a difference and it’s important to know how to handle both situations.

If anything I’ve written was helpful to you, I’m glad. Good for you for taking stock and keeping control of your career. While it may sound like sour grapes to some, I agree that what you see is what you get. Any employer hung up on getting your pay stub is going to be a bear to work with — and will go hungry waiting for a good hire.

Would you pass up a job to protect your confidential salary history? There are probably times you would, and times you wouldn’t. What are they?

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Q for HR: One good reason why you need to know my salary?

On August 8, 2016

Quick Question

I’ve been reading your posts about employers that won’t continue an interview if you won’t disclose your salary. (Goodbye to low-ball salary offers.) And I love the comments from people who see right through what HR is doing! Just how does anyone in HR justify this demand for private information?

matrix-bring-it-onNick’s Quick Reply

I have a standing challenge to anyone that works in HR: Give me one good reason why you need to know a job applicant’s current salary.

Many have tried, but no one can deliver a good reason, because there isn’t one. (If you work in HR and want to take your best shot, please post your response in the comments section below.)

But I’ll let an HR manager answer your question. She upbraids me for telling job applicants not to disclose their salary in a job interview. This is such a bold admission that I quote it in Keep Your Salary Under Wraps.

“Employers want your salary information because they believe that if you apply for a job that starts at $50,000, but you made $30,000 in the same sort of job at your last company, they’d be overpaying. They’d want the opportunity to buy you for $35,000 to start, saving them $15,000.

“The HR person who does that gets many kudos for their shopping moxie from their boss, and gets to keep their job and go on many more shopping trips.

“I’ve been a vice president of HR, a recruiter, a labor negotiator and a candidate, so I know from which I speak [sic]… I am so dismayed that someone pays you to hand out this kind of information.”

You can’t make up stuff like this.

The trouble is, you can’t make these kinds of HR managers go away, either.

I repeat my challenge. Give me one good reason why HR needs to know a job applicant’s salary. Bring it on.

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Goodbye to low-ball salary offers

On August 3, 2016

Question

f-off-2I read that Massachusetts made it illegal for employers to require your salary history when you apply for a job. I always thought this was wrong to begin with. It’s how companies “justify” low-ball salary offers. This seems to back up what you’ve been saying all along — but what about those of us who don’t work in Massachusetts?

Nick’s Reply

I told you so.

Job applicants have been getting screwed by HR departments since time immemorial through intimidation and badgering:

“We can’t proceed with your application until you tell us what you’re getting paid now. It’s the policy!”

This is a popular topic on Ask The Headhunter, and I advise people to just say NO. (See Salary History: Can you afford to say NO? and Keep Your Salary Under Wraps.) When employers demand to know your salary, it’s for just one reason: to low-ball any offer they make you.

And now everybody knows it.

It’s illegal to threaten job applicants

The state of Massachusetts just passed a law: Illegal in Massachusetts: Asking Your Salary in a Job Interview (New York Times). No longer will HR threaten to “end the application process” if you won’t tell your salary.

The dirty little secret is out:

“Companies tend to set salaries for new hires using their previous pay as a base line… which often leaves applicants with the nagging suspicion that they might have been offered more money if the earlier figure had been higher.”

Duh.

The impetus behind this new law is to end pay disparity between men and women. (See Don’t blame women for the gender pay gap!) But the problem is much, much bigger.

Employers are the dummies

When employers make job interviews dependent on disclosing your old salary, everyone gets hurt — men and women. Even dopey employers get hurt, because their silly insistence elicits guffaws and “Screw you!” from the best job seekers, who won’t be intimidated and won’t give away their negotiating edge.

The New York Times points out — duh — that:

“The new law will require hiring managers to state a compensation figure upfront — based on what an applicant’s worth is to the company, rather than on what he or she made in a previous position.”

Read the boldface again. Employers will have to figure out what you’re worth.

Jeez. What a concept for a business! What an indictment of the stupid employment system that HR departments have propped up for decades.

No competitive edge

Employers who base job offers on what another employer paid you are admitting five things:

  1. They really, really believe people (workers) are fungible — interchangeable parts.
  2. They’re incapable of assessing your value to their own business.
  3. They’re willing to judge you based on what one of their business competitors came up with.
  4. They believe your worth to one employer is the same as your worth to any employer.
  5. They have no competitive edge on judging value.

This new law is good for employers because it will force them to hire smarter and to be more competitive. Of course, they may need to fire their HR departments and whip their managers into shape. It’s time for employers to figure out how any new hire will contribute to the bottom line.

Jeez. What a concept.

Kudos to Massachusetts for being the first state to outlaw salary intimidation in job applications and interviews. I think the rest of the nation will soon follow.

noJust say NO

If you don’t live and work in Massachusetts, you still can and should say NO when employers demand your current salary. Smart employers will back off. The rest aren’t worth a job interview, because if they don’t take advantage of you up front, they’ll do it later.

Ask The Headhunter subscribers have been saying NO — politely, firmly and successfully — for a long time:

“The hiring manager more or less offered me the position on the spot and indicated a salary range that is roughly 40-50% more than I make now. Your two biggest lessons (at least for me) at work in the flesh: (1) Never divulge my current salary, and (2) Talk about what I will do, not what I’ve done.” -Rich Mok

“Despite both the headhunter and the company insisting I disclose what I was getting paid at my old job, I stuck to my guns and I was able to double my salary. Plus I got a signing bonus. That would have never happened in a million years if I had caved!” – Bernie Dietz

“I was headhunted for a lucrative job at another company and, following your advice, did not state my current salary, nor did I even hint at its range. Thanks to your book, Keep Your Salary Under Wraps, I ended up with a 40% increase on my previous job and salary! Thanks!” – Daniel Slate

Say goodbye to low-ball salary offers — at least those based on your old salary. Employers can still low-ball you. And the best way to avoid that is to be prepared to show why you’d be the most profitable hire. Don’t be a dummy yourself. See How do I prove I deserve a higher job offer?

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