R. Gaines Baty is president of R. Gaines Baty Associates Inc., a
retained executive-search firm in Dallas.
- We've heard recruiters
talk about "candidate greed." How does it typically reveal
itself?
Frequently, it starts with vague answers to compensation questions.
Employers will ask what you make, because right or wrong, most offers are based
on what the job pays and what you're currently making. Most companies want to
come up with a good number that is a combination of those two factors. A lot of
times, a candidate will name an amount well above where they are now or that's
very unrealistic. For instance, they might say, "I won't move unless I get
a 25% or a 50% increase." They may be assuming that if they start high,
they can always come down. However, they may price themselves out of the
market.
Independent of that, candidates often embellish their earnings. You'll hear,
"Well, I'm currently at $200,000 a year." When you check into it, you
find out the person is making a $140,000 base salary, then has added the worth
of his benefits, plus a target bonus to come up with that number.
Another tendency is a phenomenon called salary creep. We'll talk with a
candidate about compensation and his chief criteria for selecting a job. Most
of the time, they say other factors are more important than money, which might
rank third or fourth in importance.
Then we get to the offer stage, and suddenly money becomes the most
important thing and the other factors fall off the list. And right when they
get the offer, a lot of people suddenly have gotten a raise or are about to get
one or have received another offer. This seems to jump out of nowhere.
- What's so bad about trying
to get all the compensation you can?
If you push too hard, you risk losing the deal altogether. I've also seen
employers get hard feelings about these types of tactics. They may feel they've
been gouged a bit. Now assume you get what you want. Once you're hired, you'll
make more than your peers. Who's most susceptible to a layoff? If you're the
top performer, that's one thing, but if you're one of 10 or 200, and you're
priced much higher than the others, who's going to get the hatchet first?
Probably you.
- What's the best way to
negotiate a pay offer?
We always recommend that both the company and candidate go into negotiations
with a win-win attitude. What that means is that the candidate doesn't try to
gouge the company and the company doesn't try to lowball the candidate. Each
might have come out a little better in the end if they had pushed, but this
way, they both win and get what they want.
- Has the recession dampened
candidate greed at all?
The recession has tempered it a bit, certainly among unemployed candidates.
Most companies feel the price of executives has gone down. Clients felt up
until the last six months to a year that compensation and salaries were
becoming very inflated, particularly in the technology world, and that now
they've come back to the ground. Most astute candidates are cognizant of this.
Companies aren't willing to break the bank and there's a lot of competition, so
you must be less demanding to be competitive.
We're also seeing candidates put less value on stock options. They aren't
viewing them as an incentive to accept a package. They're saying the base and
variable compensation are the package and "if something comes from the
stock, that's great, but I won't count on it."
- What kinds of attitudes
are you seeing among hiring managers now?
It's definitely a buyer's market. There are still opportunities available,
but not in the quantity that existed a year ago. Up until then, clients would
ask us to find a team of six or eight or 10 people, staff an organization or
build a management team. Now when they call, it's to give us one or two very
specific targeted searches.
Most companies are approaching hiring in a very selective manner. They're
looking for the right matches at the right price. Generally they have lots of
candidates to choose from and the interview process can be pretty grueling and
elongated.
This market puts a premium on creating a competitive advantage. You have to
find some way to get your foot in the door. Then you need really strong
interview skills. This involves good questioning and selling yourself
appropriately.
- What can get my foot in
the door with an employer?
There are a couple of things. One is more tangible, but harder to get at,
while the other is intangible. The tangible factor is whether you have applicable
experience and accomplishments -- the indications that you can do the job the
employer wants done.
It's a good idea to ask the company or executive recruiter key questions
about that, and then listen. If you're talking with the employer, ask what he
or she wants you to accomplish. If you're talking with a recruiter, ask,
"What does your client want to accomplish?"
You don't have a long time to find this out, so you have to be quick at
drilling down to the real issues and objectives behind the opening. Once you
have heard and understand them, you can effectively match your skills and
accomplishments to those requirements.
It's very important to be honest about whether you're right for the job. If
you really aren't a fit or you think it's a stretch, there's still a tendency
to want to get your foot in the door. But it's better to be honest and to help
the hiring manager or recruiter. Recruiters especially will appreciate that,
because they don't have to fight through all the questions to determine if
you're a fit. They'll remember that and call you back when they do have
something. A lot of times, a big part of the challenge for hiring managers is
determining if the candidate really has the skills or is just saying he has
them.
The intangible factor is the "connection" you make. The employer
or recruiter is looking for some sort of rapport and a sense that you have a
good attitude, lots of energy and are an accomplishment-oriented person. This
is sometimes less tangible, but the reaction formed to the candidate may be
more automatic. If the recruiter or hiring manager senses you have those things
and can make things happen, plus the right experience, they likely will be
interested.
- Do candidates often try to
oversell themselves to employers?
Yes. When you're good at making a connection, but you don't always have the
right experience, you sometimes can talk yourself into a job that isn't a good
fit. The downside of overselling your capabilities is that if you get the job
and you fail at it, you'll be laid off. Then you get in a cycle that's damaging
to your resume and your ego.
It's a mutual responsibility to determine if you're a good fit. That's
easier said than done when you have no money and you have to make your next
mortgage payment, but it's best to determine this. We spend a lot of time in
the interview situation drilling down to find substance. The way you do it is
to ask behavioral questions to get at the actual examples of what a candidate
has done.
A candidate who has asked the right question about the job can give precise
answers to interview questions. That's a good way to present yourself. But
really good personalities often can disguise the lack of skills, and some
people who don't have all the skills can learn them and do a great job. Hiring
isn't an exact science. However, the more clarity you can get about whether
this is a match from both sides, the more likely there will be a successful
employment relationship.
- What can I do to make a
good impression on an employer?
Ask questions about the criteria the employer is seeking and give truthful
answers. Demonstrate you have energy and a good attitude. By doing this, you
may get the opportunity to create a longer-term relationship. If an interview
doesn't pay off today, it might down the road.
- What do you think of
candidates who accept counteroffers?
It doesn't hurt to accept a counteroffer from your employer, if you don't
mind being manipulated, used and having a black mark against your integrity.
But ask yourself if you'll have to quit again to get the next raise. You always
have to wonder if accepting a counteroffer from your company will affect your
next promotion and if you'll be the first to go in a layoff.
Look at it this way. How would you feel if a company makes you an offer and
you accept it, quit your job, your spouse quits her job and you put your house
on the market? Then the company comes back to you and says, "Never mind,
we found someone we like better and we don't have to pay him as much
money." You made all these changes because you were counting on them. It's
the same when a person accepts a job offer. The employer terminates discussions
with other candidates and does many other things because it's counting on you.
To change your mind is disrespectful to the company and lacks integrity. In
most people's mind, it's a dishonest thing to do. If you make a commitment to a
new employer, it should be well-thought-out and your word should stand.
- Has a candidate ever gone
around you and contacted one of your clients directly about an opening?
Yes, it happens occasionally. Desperate people do desperate things. However,
it's ill-advised for a couple of reasons. We approach a relationship with our
candidates in a win- win way and we expect the same from them. For a candidate
to try to go around us is a big no-no. Because of the relationships we have
with our clients, I would be surprised if a company would respond to them. In
the rare times it has happened, the client has said, "We don't want to
touch the guy." They know the candidate lacked integrity, and we will get
paid anyway.
- What are some other
no-nos when working with recruiters?
It's important to be straight up. Don't play games. There should be no
misinformation. Don't circumvent issues. Be honest, respectful and helpful. If
you aren't dealing with a recruiter you can do this with, you should deal with
someone else. Most recruiters are honest, straightforward people and it's
important to not embellish, misrepresent or hide facts to get an interview.
Eventually those things will be discovered and will eliminate you from further
consideration. It may not be for this job, but for the perfect job that might
come up at a later point in time. Treat people like you want to be treated. In
the long term it may pay off.
- How should job seekers
view their prospects in 2002?
Generally, it's hard not to get discouraged in such a tight market. However,
job hunting is a game you can't quit. The only answer is to persevere, because only
those who do will get the prize. It's OK to get discouraged, but you have to
pick yourself off the ground and go out the next day with increased vigor and
enthusiasm.
Looking for a job is a full-time sales job, and the product you're selling
is your services. Many people don't feel comfortable selling anything, much less
themselves, so they're hard-pressed to promote themselves. There's also a lot
of rejection during a search, but you can't take it personally. This is a
business proposition.
For a lot of people, job hunting can be a blessing in disguise if it's
approached properly. You can learn marketing skills and the connections you
form will be valuable over time. If nothing else, you'll start to appreciate
what salespeople do on a daily basis.