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?

: :

Back to Top

My references died: how do I get more?

On November 9, 2016

Quick Question

How should a person deal with the fact that his best references for a job have died?

Nick’s Quick Advice

references

Sorry to hear it — but it’s actually a problem we headhunters encounter from time to time. It’s a very real problem, and a challenge, but you must address it. People who can endorse us are actually all around. You just have to stop and see them. That’s how you’ll develop the new references you need.

References are everywhere

Consider people who worked in your department or in related departments. Your best advocates don’t need to be your ex-boss or even someone you worked with directly. For example, if you’re an engineer, there are probably people in your old employer’s manufacturing, quality, and sales departments who can probably speak about you.

Who else saw the work you were doing? Not just other employees — but perhaps customers, vendors, and consultants who worked with your company. Anyone you did work with can speak up for you. But you have to ask them.

Call, don’t e-mail

Call them. Don’t send an e-mail request. References are a personal favor, so demonstrate that you’re willing to make your request personally.

Don’t start by asking them to be references. Just reminisce — try to get them to talk about their memories of when you worked together.

How to Say It

“Hey, remember the X project we both worked on… What did you think of how it turned out?”

Then lead them into a discussion about stuff you worked on. Get them to talk about it. If they can discuss it a bit, you’ve got a reference.

Here’s the magic

Helping people talk about your work and past performance helps them formulate what they’d say later as references. It’s your job to help them talk about it. Then, when you ask them to be a reference, they feel like they’ve got something to say. (See Don’t provide references, LAUNCH them.)

Does this sound like manipulation? It’s not. It’s like priming a pump. By helping people remember, you help them find the phrases they need to talk about you to an employer. Just do it honestly.

(If you’re an employer, see References: How employers bungle a competitive edge.)

Ever provide a surprising reference that helped you land a job? How would you advise this reader?

: :

Back to Top

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?

: :

Back to Top

SevenFigureCareers: Threats and fraud

On October 5, 2016

When someone threatens a member of this community, I get upset. For the past 10 days I’ve been doing research on SevenFigureCareers to find out who’s behind it. I found myself going down an Internet wormhole. Now I’m back out.

sevenfigurecareersSevenFigureCareers

SevenFigureCareers claims to be a “Recruiter Network” with “over 2,400 Associates” and “Over 1,600 Private Equity Contacts.” For a fee, it will give you “Access to Confidential Jobs” and “Hidden Opportunities.” (See SevenFigureCareers: Had an encounter?)

After John Rice [not his real name] had a bad experience, he found the Ask The Headhunter community was already talking about SevenFigureCareers. So he posted in the comments section, and requested more information from others.

Within a matter of minutes, he sent me an e-mail:

“Hey, Nick — Please take down the post I made today re: Arthur French.”

As long as someone isn’t playing games, I respect a reader’s wishes. We all sometimes blurt out something in a discussion forum that we wish we could take back. So I removed John’s comment, but I asked why he wanted it taken down. “Call me,” he wrote back.

Threats

Rice was irritated and worried.

“As soon as I posted my comment, I got an e-mail instantly from an attorney in Texas. Cease and desist, it said. Then somebody else from SevenFigures contacted me and said, if you take it down we won’t sue you. That’s when I contacted you.”

7f-threat-xI asked John if he’d called the lawyer. Of course, he said. He left a voicemail because no one answered — but the lawyer never called him back.

Much of a headhunter’s time is spent doing research, specifically, checking people out. It’s hard to hide from me if you’re trying to do business with me. Or if you’re causing trouble.

When I research people, I go to independent sources where I know I’m getting information they cannot manipulate. The State Bar of Texas was my first stop. And there was the lawyer in the directory — same name, different phone number. His record was reported as clean.

I wanted to make the call myself, but I know better than to interfere in a legal matter — so I asked John to call the lawyer at the number I’d found listed for him on the State Bar website. John’s my kind of guy — he didn’t hesitate and was excited about getting to the bottom of this.

Fraud

We both expected we’d find a kind of Better Call Saul attorney — a slime who would write a nastygram like that for a fee. What troubled me was how sloppy the e-mail was. I’m not a lawyer, but my lawyer has taught me enough about contracts and legal documents that I couldn’t imagine a real lawyer writing crap like that.

John called back shortly.

“Nick, I can’t believe it. He says he didn’t write the e-mail. Had nothing to do with it. But he’s pissed off.”

Frankly, I couldn’t believe it, either. Who would be stupid enough to impersonate a lawyer so brazenly?

With John’s permission, I called the lawyer myself. He said the threatening e-mail “was definitely not from me.” However, he had done some work for “a SevenFigures entity” about a year ago but had not had any relationship with them “for quite some time.”

The lawyer

He didn’t recognize any of the names connected to the firm that Rice and I shared with him — including Arthur French –, but he would not go into the details of work he had done for his client. This is exactly what a lawyer should say.

Since he had spoken to Rice, he said he had been “trying to figure out who was behind that e-mail” but has not been able to. He closed by saying he was going to contact his old client, and the Texas Bar Association, because he was “extremely concerned about the use of my name.”

Was he telling the truth? He was being as cagey as a good attorney should be, and I have no concrete evidence that he was involved, so I am not publishing his name unless I learn otherwise.

Meanwhile, I shared the e-mail with a New York consumer class action attorney. His comment:

“Engaging in the unauthorized practice of law is a crime in Texas (and every other state). See this link: http://www.txuplc.org/. Please keep me updated.”

What matters most is that the e-mail threat came from a sevenfigurecareers.com address, and someone at the firm was impersonating an attorney. That’s a crime. Fraud. [UPDATE: Shortly after this article was published, the SevenFigureCareers website was shuttered.]

The phone number

A search for the telephone number of the lawyer in the e-mail turned up a surprise: a press release (dated September 1, 2016) on Online PR Media about “7F-SevenFigCareers” including a media contact named Philip A. Alia. (I’m disclosing the PR agent’s name because, unlike the lawyer, he has made his connection to SevenFigures public, online.) Beneath his name is a contact number: the same number under the lawyer’s name in the threatening e-mail.

What putz would put out a fake threat from a lawyer and list a phone number that traces back to his own company’s press release? (See Stupid Recruiter Story #1.)

I tracked down Alia like I did the lawyer — through other independent sources. He’s a public relations consultant, and said he had done just one press release for “CR Nicholas” at SevenFigureCareers in December 2015. He admitted he didn’t even write it. He just placed it in the media. Alia also knew Arthur French, who is quoted in the press release. But Alia said he had done no other work for them. When I pointed out the September 1, 2016 press release, he seemed genuinely surprised. He had nothing to do with it — so I suggested he might want to bill them for it. There is no indication Alia has any other connection to SevenFigureCareers.

Alia’s experience seems to mirror the lawyer’s. One assignment for each, then SevenFigures appropriated their names and used them fraudulently. In the case of the lawyer, someone at SevenFigureCareers impersonated a Texas attorney to threaten and intimidate John Rice.

I won’t stand by when scammers threaten members of this community.

7f-logoEarlier today the SevenFigureCareers.com website was altered. The 7F logo is gone as is much of the promotional verbiage. Most of the site is now locked down behind passwords. If you type the URL into your browser, the site comes up. But if you click a link to get there, the site yields a blank page with “Nope” in a box at the top. (But if you then put your cursor at the end of the URL in your browser and hit Enter again, the site comes up.) It seems they are trying to avoid inbound links from other sites — like from this article.

7F

It turns out 7F has an interesting history. It’s an old Texas cattle brand, originated by the grandfather of a rancher whose business has long been registered as 7F, Inc. with the Texas Secretary of State. We had a long talk. He and his brand have got nothing to do with SevenFigureCareers — but he sure wants to know who’s using his grandfather’s brand as their logo.

How does a phony recruiting firm operate? See 7F: Anatomy of A Recruiting Scam.

: :

 

Back to Top

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?

: :

Back to Top

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?

: :

 

Back to Top

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?

: :

Back to Top

When headhunters on LinkedIn are scammers

On August 29, 2016

In the August 30, 2016 Ask The Headhunter Newsletter, a reader cautions you to think twice before sending your information to “headhunters” you don’t know. They’re likely scammers.

Question

scammersI recently had an experience with a headhunter(?) I do not know who sent me an unsolicited pitch to look at a job listing in my field in my city. The pitch was sent via LinkedIn with an attachment. I do not open attachments from people I do not know. This brings up the issue of cyber security in dealing with any kind of pitch about a job.

To confirm who I was dealing with, I called the main office of the headhunter’s firm. I got an answering service. Then I called the number the headhunter posted on LinkedIn, but got a vanilla message which did not identify the headhunter or the firm.

A reputable headhunter:

  • will have a voicemail message that clearly identifies the office and the person.
  • will not send an unsolicited attachment via LinkedIn.


Social media has been used successfully by hackers and scammers to mimic real identities to get unsuspecting people to open attachments that contain malware. For high-tech firms, like the one I work at, these kinds of threats are well understood.

However, with the rise of ransom-ware and other forms of hacking for profit (e.g., stealing bank and credit card account information) the use of social media for social engineering is a real threat.

I suggest you post some advice for your readers about cyber security and how to avoid being taken in by scammers.

By the way: LinkedIn is a good vector for this type of social engineering attack because many people access it from work. If they open a malware-infested attachment, it could compromise a work computer along with its intellectual property secrets. So far, there has been no response to my voice mail replies to the headhunter, and I never touched the file attachment on LinkedIn.

Some headhunters who send unsolicited attachments might just be clueless. On the other hand, my experience is most recruiters send the job description after they’ve qualified the prospect as being interested, available, and a possible match for the job, not before. Do you agree?

Nick’s Reply

I agree, and you just wrote the warning you’ve asked me to give about e-mails soliciting you for anything. It’s all the more important when a scammer is connecting via LinkedIn to imply credibility.

Most likely, that’s not a headhunter at all, but a phishing expedition. It’s how scammers obtain personal information they can use to steal your identity. We can’t blame headhunters for something like this, because such scams routinely mimic anything that might lead a sucker to open an e-mail and an attachment.

(Let’s not leave the HR bogeyman out of this nightmare. See Big Brother & The Employment Industry: “All your employment are belong to us!”)

However, because the cost of entry to the headhunting business is virtually zero, we’re faced with loads of stupid, inept, and sometimes unsavory “headhunters.” I’d say 95% of those purporting to be headhunters are not. The most common among these are idiots dialing for dollars. (See Why do recruiters suck so bad?) They will solicit thousands of people they know nothing about via mailing lists. As you’ve noted, any good headhunter will know quite a bit about you prior to making first contact, or why would they bother spending their precious time?

2 rules of thumb

I think there are two cautionary notes here — call them rules of thumb to keep you out of trouble. First, assume any e-mail or attachment is a phishing tool. I think that’s a reasonable rule because most e-mail is junk of one sort or other. Very few mails constitute “signal.” Most are noise. So, be skeptical all the time and be very careful.

Second, if it’s a real headhunter, apply basic common sense and business standards. If the mail is from a headhunter you don’t know who clearly doesn’t know you, it’s probably a waste of time. Just because you really, really want a headhunter to find you a job doesn’t make it so. It just ups the odds that you’ll get suckered.

Drop this bomb on the headhunter

To test the sender, simply ask one of the many qualifying questions I list in How to Work With Headhunters… and how to make headhunters work for you. For example, drop this bomb:

“Please give me the names and contact information of 3 people you’ve placed and 3 managers who have hired through you.”

A good headhunter knows how to instantly defuse it by gaining your respect. He’ll ping you back to make sure you’re not going to waste his clients’ time — then he’ll give you his references. The rest aren’t worth dealing with — your question is like a bomb going off on their party. They know it’s all over.

If you’re considering doing something silly just because someone told you to — like clicking on an unknown attachment — ask yourself whether you’d do it in any other business context. If not, then don’t do it. (Would you hire a contractor to remodel your kitchen without checking some references first?)

Beware of fools

Of course, there’s another category of scoundrel — the naïve headhunter who doesn’t consider the risks she asks prospective candidates to take when she sends them solicitations. She’s not worth dealing with, either, because she’s the fool who will accidentally contact your current employer and present your resume for an open position — and possibly get you fired.

How to test for scammers

What you did to test for a scam is what I suggest in HTWWH:

  • Google the name of the person who solicited you. Is there evidence the person is affiliated with the firm?
  • Google the firm. Is the headhunter that contacted you listed on its roster?
  • On the firm’s website, look for names of the owners and for a bricks and mortar address.
  • Look up the individuals named, and find the address on Google Maps.

Then ask, does it all add up?

  • If there’s no connection between the headhunter and the firm evidenced online, don’t respond.
  • If the firm’s website does not list any names, or a street address, or any contact information that you can verify through an independent source, run. (If you do find an address on Google, there should be multiple references to it, or it’s probably phony.)
  • While some good headhunters work out of their homes and prefer not to list an address for privacy reasons, they should at least have a verifiable post office box.
  • Any real headhunter will have a verifiable phone number and friendly voicemail. Only a scammer doesn’t want to take your call!

referencesDid I say check references?

As you found, in most cases there’s no “there” there. If the headhunter fails these tests, checking those references is absolutely critical.

These tests are not sufficient, but they are necessary and they’re a good start when performing due diligence. It’s not hard to determine whether someone is legit, but it’s very easy to be gullible and to get suckered. In this case, a fraud has contacted you — but people should expect that most e-mail solicitations are frauds. The trouble is, most people rationalize: “Hey, I don’t want to miss an opportunity! Besides, this was through LinkedIn.”

Wishful thinking and the pain of job hunting turn people into suckers. (LinkedIn does not confer legitimacy.) “Headhunter” is just another mask scammers wear because they know you’d love a new job. And random job solicitations are just another sign of lousy headhunters that aren’t worth your time or consideration.

(For more on this topic, see How to work with headhunters.)

Did you ever get scammed by a headhunter? Was it even a real headhunter? How do you vet job solicitations?

: :

Back to Top

Referrals: How to gift someone a job (and why)

On August 15, 2016

Question

I had to help out a former employee after we sold our real estate business. He was looking for sales opportunities. He did the usual thing of sending his resume via job boards and online applications, and had very little to show for it after a month or so. So I made a series of preemptive referrals.

The gift of referralsI told him to give me one day – and I cold-called companies across the metro area for six or seven hours on his behalf.

I found 12 companies (who were hiring) that wanted to see his resume and three of them wanted to get his phone number and call him right away.

How did I do this?

“My name is Kevin – I’m wondering if you can help me. I’d like to speak to a sales manager or the person that hires for sales. [I rarely have issues with them wanting to transfer me to HR – but it does happen.]

“Hi, [Sales Manager] – Kevin Downey here. I’m former owner of LOBC in Leawood, KS, and my former manager is looking for a sales position. Really good kid and as loyal as the day is long. I’d like to get his resume in front of you – if you’re hiring.”

I let them answer or ask questions.

It’s easy stuff. He had a job within a week.

[Reader Kevin Downey posted this story as a comment on another Q&A column. It’s so good, I wanted to highlight it here!]

Nick’s Reply

Your script is how I learned to place job candidates when I started headhunting. It’s perfect — for anyone.

What most people who are job hunting don’t realize is, all they really need is one former employer or boss, or someone they’ve worked with, to make those referral calls. They might ask, Why would anyone spend six hours making calls like that for me?

It’s a very smart investment for anyone to make, to help a good person land a new job.

How referrals pay you back

  • You as the referrer made a great new friend in the manager who hired that “kid.” You did that employer a favor!
  • You have a friend for life in the person you helped land a job.
  • Your reputation as a source of good hires will spread if you keep doing this. Establishing yourself as a credible hub of good business referrals will bring you loads of business for years to come — no matter what business you go into next. It may even lead you to a new job.
  • The universe shines more brightly on people who do favors that change lives.
  • Most important, you did a good deed — and no one has yet figured out how to calculate the total value of that ripple in the big pond of life.

Is it a lot of work to gift someone a job like this? You betcha. But, how much work is it to find yourself a job? Wouldn’t you love to have a favor like this come back around to you someday?

Employers actually pay for referrals

A personal referral is a fair investment for anyone to make, once they realize they will need a call like that themselves one day. I call it The Preemptive Reference.

For those who don’t realize it, this is what an employer pays a headhunter to do: make personal referrals, recommend someone, provide a reference to the employer in advance of a job interview. In other words, you’re doing most of the work for the employer. Employers love that. They’d rather hire someone through a trusted source than to wade through resumes and job applications from people they know nothing else about. They even prefer to pay a headhunter for referrals than to go find good hires themselves.

(Employers also offer referral fees to their own employees when they recommend a new hire. But there are two critical problems with most of these programs: The fee is usually too small, and there’s not enough proximity between the desired behavior (a referral) and the reward (the fee) to stimulate enough referral behavior that it makes a difference. These fees are paid months after the fact, and usually in small chunks.)

Investing in referrals pays — just don’t expect a return immediately or even from the person you invested in. The gift of a referral may get handed across many people before it comes back to you.

Many thanks to Kevin Downey for this lesson in how and why up to 60% of jobs are found and filled through personal contacts!

Have you ever done someone a solid of this magnitude? How do you define a “preemptive reference?” Has anyone ever gifted a job to you in this manner?

: :

Back to Top

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.

: :

 

 

 

 

Back to Top