Recruiters asking for current compensation

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boombaz
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Recruiters asking for current compensation

Post by boombaz » Wed Mar 18, 2015 9:31 pm

I've recently started looking for a new job. Today, I had calls with three recruiters and all of them asked me for my current compensation. I view this as none of their business and want to avoid anchoring a potential offer around my current comp. I declined to provide them with the information they sought.

Although I have rebuffed them for now, some of them implied that they would ask again before onsite interviews to make sure we are not wasting each other's time.

My understanding is that if they are paying market rate, we are already on the same page. It is up to them to make me an offer.

Am I justified in continuing to withhold my current comp? Do I have anything to lose by doing this?

StretchArmstrong
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Re: Recruiters asking for current compensation

Post by StretchArmstrong » Wed Mar 18, 2015 9:48 pm

If you are at a "market" rate then what is there to hide?? I've always been open with my salary when talking to a recruiter who is trying to help you get another job.

They need to see where you are at so they can try and get you a bump in pay. They get paid based on a successful placement and it is usually a % of your salary, so the higher the better.

If they don't know your salary, and you go through all the hoops of interviewing for a job, what happens if the salary isn't high enough? It could be "market" but there are always upper and lower deviations to any given rate. Then you turn down the job and waste everyone's time. Or you counter and ask for more and see if they budge.

leonard
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Re: Recruiters asking for current compensation

Post by leonard » Wed Mar 18, 2015 9:56 pm

"I signed a non-disclosure agreement with my current employer which prohibits disclosing confidential information. Salary is deemed confidential information at my current employer, and I want to honor that agreement. However, my desired salary is...."

Assuming of course you do have an NDA at your current employer.
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tylerdurden
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Re: Recruiters asking for current compensation

Post by tylerdurden » Wed Mar 18, 2015 9:59 pm

If you don't feel comfortable with revealing your current salary, you will at least have to state your salary expectations. Very few recruiters will want to go in blindly to a company with a potential candidate that doesn't have a salary (or hourly bill rate) in mind.

There are also some companies that will ask/require salary history. It's usually just to make sure you aren't asking for the moon compared to where you are currently. You will either have to reveal it at that point, or choose to find a different potential company to work for.

Personally, I am very straightforward with revealing my salary and stating what my expectations are when I'm on a job search. I leave a wiggle room for the right type of work, but I don't want to waste my time or their's on a potential job that won't even be close on salary.
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Louis Winthorpe III
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Re: Recruiters asking for current compensation

Post by Louis Winthorpe III » Wed Mar 18, 2015 10:10 pm

You view your salary as none of their business. I'd say that's an unrealistic approach. Every employer out there will ask what you're making now, and many or most won't proceed without you providing that information.

MutualFun
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Re: Recruiters asking for current compensation

Post by MutualFun » Wed Mar 18, 2015 10:15 pm

Perhaps you could ask them what the pay range is. If they are asking you, they probably already have a pretty good idea of the range.

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Wildebeest
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Re: Recruiters asking for current compensation

Post by Wildebeest » Wed Mar 18, 2015 10:22 pm

What is the secret about your current compensation? If the recruiter is good, they can probably guess your compensation within $ 1000 (if you are fairly paid).

If you feel, the recruiter may be of benefit to you, it is in your interest to be open and share all information, which may get you the best job.
The Golden Rule: One should treat others as one would like others to treat oneself.

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cheese_breath
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Re: Recruiters asking for current compensation

Post by cheese_breath » Wed Mar 18, 2015 10:38 pm

Deleted...
Last edited by cheese_breath on Wed Mar 18, 2015 10:42 pm, edited 1 time in total.
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cheese_breath
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Re: Recruiters asking for current compensation

Post by cheese_breath » Wed Mar 18, 2015 10:42 pm

boombaz wrote:My understanding is that if they are paying market rate, we are already on the same page. It is up to them to make me an offer.
No it's not. It's up to them to decide if they even want to talk to you. Most likely there are other candidates as qualified as you who will tell them want they want (need) to know.
The surest way to know the future is when it becomes the past.

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Re: Recruiters asking for current compensation

Post by LeeMKE » Wed Mar 18, 2015 10:42 pm

Your current compensation WILL be confirmed during a pre-contract offer. Might as well make it easy and tell them up front. This has been SOP for over 15 years.
The mightiest Oak is just a nut who stayed the course.

boombaz
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Re: Recruiters asking for current compensation

Post by boombaz » Wed Mar 18, 2015 10:53 pm

To clarify, all of these recruiters work for the companies that I am interviewing with and in all cases they reached out to me.

Thanks @tylerdurden for the suggestion to think in terms of expected ranges. That makes this more stomach-able and makes me feel like I'd have more leverage when it comes time to negotiating the offer.

boombaz
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Re: Recruiters asking for current compensation

Post by boombaz » Wed Mar 18, 2015 10:56 pm

Also thanks, everyone, for resetting my expectations. This is really my first job search so I'm learning as I go.

yoasif
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Re: Recruiters asking for current compensation

Post by yoasif » Wed Mar 18, 2015 11:03 pm

It's somewhat surprising that this thread is full of people that seem to be going against common wisdom given by "best practice" job seeking coaches:
Employers don’t really require your salary history to hire you. But many do like to bully you into disclosing private, confidential information that will give them an unfair negotiating position. So they call it “the policy.”

I would never, ever disclose my current salary or salary history to a prospective employer even if it means ending the interview process. That is my advice to job hunters.

Ask The Headhunter: Never, Ever Disclose Your Salary to an Employer
Employer: What are your currently earning?

Candidate: I'd be glad to share not only my current earnings, but my whole salary history. But I think it's a bit too early to get into salary discussions. I'm sure you pay a competitive salary, don't you?

Employer: Well, yes, of course we do.

Candidate: Then we shouldn't have any difficulty with compensation if the fit is right. Let's explore that for now, if that's OK?
Should You Share Your Salary History?

However:
New research out of Columbia Business School found that using certain kinds of range offers (say, asking for a $100,000 to $120,000 salary), rather than a single number (asking for a $100,000 salary), can be beneficial in many types of negotiations, including setting salaries or pricing an item for sale.

...

Certain types of range offers worked better than others, researchers found. The most successful were so-called “bolstering” range offers, where a negotiator starts with the desired price and stretches in a more ambitious direction.

For instance, if you wanted a $100,000 salary, you’d suggest a $100,000 to $120,000 salary to your boss. In a series of experiments, the researchers found that these higher ranges frequently led to higher salaries for those making an offer, and didn’t damage relationships with counterparties.
My own strategy would be (based on the current research) to decline to offer my current salary, but offer a range offer with the lower number representing what you "want".

And...
boombaz wrote:Also thanks, everyone, for resetting my expectations. This is really my first job search so I'm learning as I go.
Please don't do this -- information asymmetry of this sort will simply serve to continue the depressed wages we have seen for decades.
Last edited by yoasif on Wed Mar 18, 2015 11:17 pm, edited 5 times in total.

privateer79
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Re: Recruiters asking for current compensation

Post by privateer79 » Wed Mar 18, 2015 11:11 pm

+1 for the "the range I'm looking for is X-Y based on the intangibles A,B,C of the work, and aspects i,j,k of the benefits package"

if they insist based on not wanting to waste time, you could always "helpfully" suggest "why don't you tell me the maximum salary they have approved for this position, and I'll let you know if its worth discussing or not" ;)

bluejello
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Re: Recruiters asking for current compensation

Post by bluejello » Thu Mar 19, 2015 2:51 am

I agree with the recommendations to NOT share your current salary.

Do you have a good idea of the types of roles that you are looking for? If so, I would use Glassdoor to gather info on what the market rate for those roles are in your city. Specifically look at the companies that you are actually interested in and figure out what they are paying. Then give that to the recruiters as your "targeted compensation".

Also, I've generally not found recruiters to be very useful in my job searches. Rather, I've found that going through my network (alumni network, friends in the industry, etc.) and LinkedIn are much more effective. You can also try making a target list of companies you'd be interested in working for and going directly to them.

Best of luck.

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Re: Recruiters asking for current compensation

Post by bluejello » Thu Mar 19, 2015 2:54 am

LeeMKE wrote:Your current compensation WILL be confirmed during a pre-contract offer. Might as well make it easy and tell them up front. This has been SOP for over 15 years.
Perhaps in some industries, but I've never personally experienced this (as a candidate or as a hiring manager). Most times when a candidate is interviewing they are still employed, so how could the prospective employer confirm current compensation without letting the candidate's current company know that they are looking?

HardSphere
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Re: Recruiters asking for current compensation

Post by HardSphere » Thu Mar 19, 2015 6:25 am

boombaz wrote:To clarify, all of these recruiters work for the companies that I am interviewing with and in all cases they reached out to me.

Thanks @tylerdurden for the suggestion to think in terms of expected ranges. That makes this more stomach-able and makes me feel like I'd have more leverage when it comes time to negotiating the offer.
Uh, wait, when you say "work for the companies" do you mean as employees of those companies, or as third parties contracted by those companies to do a search? Because they're under different incentives.

An internal recruiter is one who works directly for the company as an employee. If you tell them how much you make, you should expect an offer not much higher than that. When you deal with those types it's better to mention what your minimum requirement is for salary, if it comes up at all and you have a plausible number.

A third party recruiter is a contractor who gets paid a percentage of your salary if he successfully places you; if he doesn't place a candidate he gets paid nothing. You should tell him what you make, as that will make it easier for him to negotiate an offer with his client that will be accepted and that will pay him his cut. Just remember when talking to them that their clients are the companies searching for candidates, not you.

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Re: Recruiters asking for current compensation

Post by Gropes & Ray » Thu Mar 19, 2015 6:40 am

In my recent career exploration I told the recruiter and the interviewer how much I make. It didn't change the fact that I wouldn't move firms for less than a 20% increase, and I expected to negotiate salary anyway.
Last edited by Gropes & Ray on Thu Mar 19, 2015 6:50 am, edited 1 time in total.

vested1
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Re: Recruiters asking for current compensation

Post by vested1 » Thu Mar 19, 2015 6:46 am

boombaz wrote:I've recently started looking for a new job. Today, I had calls with three recruiters and all of them asked me for my current compensation. I view this as none of their business and want to avoid anchoring a potential offer around my current comp. I declined to provide them with the information they sought.

Although I have rebuffed them for now, some of them implied that they would ask again before onsite interviews to make sure we are not wasting each other's time.

My understanding is that if they are paying market rate, we are already on the same page. It is up to them to make me an offer.

Am I justified in continuing to withhold my current comp? Do I have anything to lose by doing this?
I'm of the opinion that you have more to lose than to gain from disclosing your current salary. I am currently being pursued by two different firms.

The first knows what I'm currently making because several of the officers, including the one who contacted me, recently worked for my current employer as 2nd level managers and above. They are being somewhat coy in following through with their promises, assuming that I am desperate for more compensation. They know exactly what my requirements for compensation are and keep contacting me with assurances that they are close to hiring me when contracts with a prospective client are in place, but they haven't followed through with a commitment.

The second asked for my current compensation in the same sentence that they asked me for my desired compensation. This opened the door for me to ignore the first question and answer the second. Since I'm being paid below industry standards I didn't what to provide fuel for a lowball offer. When I replied with my firm six figure amount the recruiter said immediately that the figure was reasonable and would not be a problem. I held my composure even though this would amount to a 70% raise in compensation. Their pursuit of me is progressing to the final stage.

Don't sell yourself short at the beginning of negotiations.
Last edited by vested1 on Thu Mar 19, 2015 6:56 am, edited 1 time in total.

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8foot7
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Re: Recruiters asking for current compensation

Post by 8foot7 » Thu Mar 19, 2015 6:53 am

Agreed on the difference between third party recruiters and internal recruiters.

If a 3rd party recruiter, give the number and couch it with your desired salary. You're sort of (not quite but almost) playing on the same team.

For an internal recruiter and any discussions with your prospective employer directly where a 3rd party recruiter was not involved, do not reveal your current compensation. There is no benefit to you and only downsides from revealing that number. If you're underpaid, they'll anchor to a modest raise from where you are now vs. market. If you're overpaid, they will adjust their offer to market or decline to pursue you anyway. If you're paid market, and they're going to pay market, you've gained nothing.

Tips for declining
* Salary is confidential at your current employer
* I am sure you do not want your employees sharing sensitive compensation data with your competitors so I'm hopeful you can respect the fact I can't reveal my own (works well if you are interviewing with direct industry competitor)
* I'd rather focus on the total compensation package you may be offering after we figure out if this is a good fit for both of us
* My current salary does not reflect the position and responsibilities that your prospective position includes
* I am not allowed to share my current salary but my total compensation package is in the range of high fives, low sixes, mid sixes, etc.
* I will be happy to share how my current salary compares to the salary range you are planning for this position once I have that information

Remember also that interviews for management positions also involve seeing how you handle the negotiation of the position. If they're hiring you into a position wherein you'll be hiring others, your tactics and strategy during your hiring negotiations will likely inform their view of how well you will do hiring someone to work for you.

The bottom line: if they want you for a job, they should pay you in the range that intersects what you ask for and what they've budgeted for. Your current compensation if you are the right fit for the job is immaterial. Do not let employers play these games with you.

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8foot7
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Re: Recruiters asking for current compensation

Post by 8foot7 » Thu Mar 19, 2015 7:03 am

LeeMKE wrote:Your current compensation WILL be confirmed during a pre-contract offer. Might as well make it easy and tell them up front. This has been SOP for over 15 years.
This is absolutely not a universal truth. Perhaps a poll is in order.

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Re: Recruiters asking for current compensation

Post by SpaceMonkey » Thu Mar 19, 2015 7:10 am

The most important part of salary negotiation is knowing what you are worth. In my opinion, there is no real downside to disclosing your current salary as long as you also articulate what salary you are looking for in your new position and you are willing to walk away if they don't offer you that. You need to know what the "market rate" is going in (because the recruiters will know) and whether or not you are being significantly underpaid in your current role.

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Re: Recruiters asking for current compensation

Post by KlangFool » Thu Mar 19, 2015 7:20 am

Gropes & Ray wrote:In my recent career exploration I told the recruiter and the interviewer how much I make. It didn't change the fact that I wouldn't move firms for less than a 20% increase, and I expected to negotiate salary anyway.
Gropes & Ray,

But, how would you know that you stop yourself for a 50% increase by doing that?? You would not know unless and until they reveal the salary range of the job.

KlangFool

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Re: Recruiters asking for current compensation

Post by KlangFool » Thu Mar 19, 2015 7:21 am

8foot7 wrote:
LeeMKE wrote:Your current compensation WILL be confirmed during a pre-contract offer. Might as well make it easy and tell them up front. This has been SOP for over 15 years.
This is absolutely not a universal truth. Perhaps a poll is in order.
8foot7,

I had worked for 20+ years across 10+ jobs. This is never true.

KlangFool

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Re: Recruiters asking for current compensation

Post by KlangFool » Thu Mar 19, 2015 7:24 am

SpaceMonkey wrote:The most important part of salary negotiation is knowing what you are worth. In my opinion, there is no real downside to disclosing your current salary as long as you also articulate what salary you are looking for in your new position and you are willing to walk away if they don't offer you that. You need to know what the "market rate" is going in (because the recruiters will know) and whether or not you are being significantly underpaid in your current role.
SpaceMonkey,

There are two sides to that. You do not know the employer side. You do not know how much you are worth to the employer. Aka, how desperate that they are?? This is especially true for specialized skill area.

In order for a market to exist, there needs to be more than one of you. And, both of you are applying for the job.

KlangFool

vested1
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Re: Recruiters asking for current compensation

Post by vested1 » Thu Mar 19, 2015 7:32 am

SpaceMonkey wrote:The most important part of salary negotiation is knowing what you are worth. In my opinion, there is no real downside to disclosing your current salary as long as you also articulate what salary you are looking for in your new position and you are willing to walk away if they don't offer you that. You need to know what the "market rate" is going in (because the recruiters will know) and whether or not you are being significantly underpaid in your current role.
It depends on your situation. You are being scrutinized in every possible way by the recruiter, and if you are currently being paid below industry standards it can raise doubt about why you would accept such compensation. They may assume that something in your past performance made low compensation possible. Explanations may appear more like excuses. Complaints over current compensation, or complaints about your current or past employers in general can raise red flags.

I agree that you should be willing to walk away from an offer if it doesn't meet your expectations, but the prospect of rejection should be handled with a bit of finesse. If you are asked for a range of compensation that you would accept, make it an extremely narrow range and they will get the message.

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Re: Recruiters asking for current compensation

Post by TomatoTomahto » Thu Mar 19, 2015 7:48 am

bluejello wrote:
LeeMKE wrote:Your current compensation WILL be confirmed during a pre-contract offer. Might as well make it easy and tell them up front. This has been SOP for over 15 years.
Perhaps in some industries, but I've never personally experienced this (as a candidate or as a hiring manager). Most times when a candidate is interviewing they are still employed, so how could the prospective employer confirm current compensation without letting the candidate's current company know that they are looking?
I think a W2 or pay stub would answer the question without letting the cat out of the bag.

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Re: Recruiters asking for current compensation

Post by TRC » Thu Mar 19, 2015 8:27 am

boombaz wrote:
Am I justified in continuing to withhold my current comp? Do I have anything to lose by doing this?
I don't think you should withhold comp details. This is sort of a 101 question for job searching. I've had a bunch of recruiters call me and I tell them up front what I'm making and what I'd need to see in order to be interested. They are working on your behalf with no cost out of your pocket. FWIW - I'm in the final stages of accepting an offer and the employer requires 5 years of W2s.

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Re: Recruiters asking for current compensation

Post by HomerJ » Thu Mar 19, 2015 8:29 am

boombaz wrote:Although I have rebuffed them for now, some of them implied that they would ask again before onsite interviews to make sure we are not wasting each other's time.
Tell them what you are looking for, not your current compensation... That will solve the above problem.

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HomerJ
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Re: Recruiters asking for current compensation

Post by HomerJ » Thu Mar 19, 2015 8:30 am

TRC wrote:FWIW - I'm in the final stages of accepting an offer and the employer requires 5 years of W2s.
Wow... I've never seen that before... That seems almost illegal. But my gut instincts have been wrong before... :)

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HomerJ
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Re: Recruiters asking for current compensation

Post by HomerJ » Thu Mar 19, 2015 8:32 am

yoasif wrote:My own strategy would be (based on the current research) to decline to offer my current salary, but offer a range offer with the lower number representing what you "want".
This.

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Re: Recruiters asking for current compensation

Post by SpaceMonkey » Thu Mar 19, 2015 8:38 am

vested1 wrote:
SpaceMonkey wrote:The most important part of salary negotiation is knowing what you are worth. In my opinion, there is no real downside to disclosing your current salary as long as you also articulate what salary you are looking for in your new position and you are willing to walk away if they don't offer you that. You need to know what the "market rate" is going in (because the recruiters will know) and whether or not you are being significantly underpaid in your current role.
It depends on your situation. You are being scrutinized in every possible way by the recruiter, and if you are currently being paid below industry standards it can raise doubt about why you would accept such compensation. They may assume that something in your past performance made low compensation possible. Explanations may appear more like excuses. Complaints over current compensation, or complaints about your current or past employers in general can raise red flags.

I agree that you should be willing to walk away from an offer if it doesn't meet your expectations, but the prospect of rejection should be handled with a bit of finesse. If you are asked for a range of compensation that you would accept, make it an extremely narrow range and they will get the message.
True. The most common cause for being paid below market, though, is that someone has been with one employer for many years. That's easily understandable by any potential employer, and doesn't need to be explicitly addressed by the applicant.

In my experience, if the potential employer asks for your current compensation it is usually in the initial application phase when you are being screened by their HR department. I don't think it's productive to negotiate about giving or not giving salary details at that particular stage. They're as likely to just set you aside and move on to the next person. My strategy would be to give them what they ask but then make it irrelevant by making clear what your expected salary range is.

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Re: Recruiters asking for current compensation

Post by KlangFool » Thu Mar 19, 2015 8:48 am

SpaceMonkey wrote: My strategy would be to give them what they ask but then make it irrelevant by making clear what your expected salary range is.
SpaceMonkey,

But, in many employers, the HR policy limit the pay raise to X% (15 to 20??) over your current pay. So, once you tell HR your current salary, you had limited your up side. In fact, the hiring manager cannot offer you more even if he / she wants to. It will take a VP to over-ride the HR policy.

KlangFool

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Re: Recruiters asking for current compensation

Post by SpaceMonkey » Thu Mar 19, 2015 8:51 am

KlangFool wrote:
SpaceMonkey wrote: My strategy would be to give them what they ask but then make it irrelevant by making clear what your expected salary range is.
SpaceMonkey,

But, in many employers, the HR policy limit the pay raise to X% (15 to 20??) over your current pay. So, once you tell HR your current salary, you had limited your up side. In fact, the hiring manager cannot offer you more even if he / she wants to. It will take a VP to over-ride the HR policy.

KlangFool
I don't think I've ever heard of such a thing for new hires, though I admit I'm not an HR person. I know such policies exist for internal raises. But I think most of the time the hiring manager gets a salary range for the vacant position approved in advance of interviewing any candidates.

fanmail
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Re: Recruiters asking for current compensation

Post by fanmail » Thu Mar 19, 2015 9:03 am

OP, I understand your skepticism, but this info could help you.

'I currently make x. I like it here. I would be open to looking at promotional opportunities elsewhere, but I would only do so for the right fit. I would expect a range of y to z in order to leave.'

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Re: Recruiters asking for current compensation

Post by fanmail » Thu Mar 19, 2015 9:05 am

Although if you've started looking, you don't really have the I like it here chip to play.

Gropes & Ray
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Re: Recruiters asking for current compensation

Post by Gropes & Ray » Thu Mar 19, 2015 9:11 am

KlangFool wrote:
Gropes & Ray wrote:In my recent career exploration I told the recruiter and the interviewer how much I make. It didn't change the fact that I wouldn't move firms for less than a 20% increase, and I expected to negotiate salary anyway.
Gropes & Ray,

But, how would you know that you stop yourself for a 50% increase by doing that?? You would not know unless and until they reveal the salary range of the job.

KlangFool
In law firms there is a range for associate salaries that employers just aren't going to exceed. There is no chance that I would get a 50% raise unless I moved to Manhattan. I know I'm lower in the range for my experience in my city, but in order to want to move I would have to get an offer closer to the top of the range. I don't think most industries are as open about compensation as law (you can go to nalpdirectory.com to see what firms are paying new grads in your city, and extrapolate from there), so ymmv.

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Re: Recruiters asking for current compensation

Post by DFrank » Thu Mar 19, 2015 9:28 am

LeeMKE wrote:Your current compensation WILL be confirmed during a pre-contract offer. Might as well make it easy and tell them up front. This has been SOP for over 15 years.
Confirmed how?

I know my company will not disclose anything more than an indication whether or not an individual is currently employed at the company. So it's all up to the employee whether they disclose and what they disclose.
Dave

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Re: Recruiters asking for current compensation

Post by KlangFool » Thu Mar 19, 2015 9:31 am

Gropes & Ray wrote:
KlangFool wrote:
Gropes & Ray wrote:In my recent career exploration I told the recruiter and the interviewer how much I make. It didn't change the fact that I wouldn't move firms for less than a 20% increase, and I expected to negotiate salary anyway.
Gropes & Ray,

But, how would you know that you stop yourself for a 50% increase by doing that?? You would not know unless and until they reveal the salary range of the job.

KlangFool
In law firms there is a range for associate salaries that employers just aren't going to exceed. There is no chance that I would get a 50% raise unless I moved to Manhattan. I know I'm lower in the range for my experience in my city, but in order to want to move I would have to get an offer closer to the top of the range. I don't think most industries are as open about compensation as law (you can go to nalpdirectory.com to see what firms are paying new grads in your city, and extrapolate from there), so ymmv.
Gropes & Ray,

It may make sense in your industry. But, it does not apply in IT/Datacomm/Telecom industry aka STEM world.

KlangFool

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8foot7
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Re: Recruiters asking for current compensation

Post by 8foot7 » Thu Mar 19, 2015 10:05 am

HomerJ wrote:
TRC wrote:FWIW - I'm in the final stages of accepting an offer and the employer requires 5 years of W2s.
Wow... I've never seen that before... That seems almost illegal. But my gut instincts have been wrong before... :)
I am always reluctant to say 'never,' so I won't, but I'm not sure I would go along with that request. I'm wondering what could possibly be the point?

I can confidently say however that I would never provide (a) 5 years' worth of a W2 in any event and (b) provide any W2s until a written, signed offer was in hand.
Last edited by 8foot7 on Thu Mar 19, 2015 10:17 am, edited 1 time in total.

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8foot7
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Re: Recruiters asking for current compensation

Post by 8foot7 » Thu Mar 19, 2015 10:06 am

KlangFool wrote:
But, in many employers, the HR policy limit the pay raise to X% (15 to 20??) over your current pay. So, once you tell HR your current salary, you had limited your up side. In fact, the hiring manager cannot offer you more even if he / she wants to. It will take a VP to over-ride the HR policy.

KlangFool
This. Now it can always be overridden for the right people, but why get roadblocks thrown up if you don't have to?

leonard
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Re: Recruiters asking for current compensation

Post by leonard » Thu Mar 19, 2015 11:36 am

Another strategy is to respond with "total compensation" - which is a grossed up number that includes salary, estimated value of benefits, bonus, perks, etc. etc.

Another option, though considered rude in some quarters, would be to respond to the question with your own question: "Does your company require an NDA for confidential information? What is your company's policy around such disclosures?"
Leonard | | Market Timing: Do you seriously think you can predict the future? What else do the voices tell you? | | If employees weren't taking jobs with bad 401k's, bad 401k's wouldn't exist.

edge
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Re: Recruiters asking for current compensation

Post by edge » Thu Mar 19, 2015 12:08 pm

Just give them a range and anchor it with the number you 'want'.

rickberg
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Re: Recruiters asking for current compensation

Post by rickberg » Fri Mar 20, 2015 10:33 am

DFrank wrote:
LeeMKE wrote:Your current compensation WILL be confirmed during a pre-contract offer. Might as well make it easy and tell them up front. This has been SOP for over 15 years.
Confirmed how?

I know my company will not disclose anything more than an indication whether or not an individual is currently employed at the company. So it's all up to the employee whether they disclose and what they disclose.
In my job search last year, all of the recruiters that I dealt with did inquire about my current salary. This is confirmed when during the background process (after you accepted your offer) - they will request a copy of your last pay stub. Whether or not a company will care if that number doesn't match what you say you made, I'm not sure.

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HomerJ
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Re: Recruiters asking for current compensation

Post by HomerJ » Fri Mar 20, 2015 1:37 pm

KlangFool wrote:
SpaceMonkey wrote: My strategy would be to give them what they ask but then make it irrelevant by making clear what your expected salary range is.
SpaceMonkey,

But, in many employers, the HR policy limit the pay raise to X% (15 to 20??) over your current pay. So, once you tell HR your current salary, you had limited your up side. In fact, the hiring manager cannot offer you more even if he / she wants to. It will take a VP to over-ride the HR policy.

KlangFool
t's only true for current employees, not new hires... That's WHY people leave... Usually the only way to get a 20%+ raise is to switch employers.

chessmannextmove
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Re: Recruiters asking for current compensation

Post by chessmannextmove » Fri Mar 20, 2015 5:36 pm

boombaz wrote:I've recently started looking for a new job. Today, I had calls with three recruiters and all of them asked me for my current compensation. I view this as none of their business and want to avoid anchoring a potential offer around my current comp. I declined to provide them with the information they sought.

Although I have rebuffed them for now, some of them implied that they would ask again before onsite interviews to make sure we are not wasting each other's time.

My understanding is that if they are paying market rate, we are already on the same page. It is up to them to make me an offer.

Am I justified in continuing to withhold my current comp? Do I have anything to lose by doing this?
No. You should tell them. That's how a hiring mgr knows if they can afford you or not.

FrugalConsultant
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Re: Recruiters asking for current compensation

Post by FrugalConsultant » Fri Mar 20, 2015 8:48 pm

As for me, I've been in the IT field for 35 years on both sides of the hiring table. When I was the hiring manager, the HR folks did the initial screen and always checked to see if the candidate's compensation expectation was within the budget. That said, as a job seeker I would never tell a recruiter or prospective employer my current salary. I did give them my expected "total compensation" range. Total compensation is salary, bonuses and the company's contribution to insurance, HSA, 401k, ESPP. Also my time is worth money, so I factor in the commute time and PTO during the final negotiation.

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ClevrChico
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Re: Recruiters asking for current compensation

Post by ClevrChico » Fri Mar 20, 2015 8:55 pm

I would research the market rate, your needs, and tell the recruiter your range. This is completely acceptable. (See glassdoor to establish market.)

I wouldn't reveal your current salary. If it's too low, they'll think you're below average. You can't win. Research is the key.

During my last background check, I had to send a copy of my W2, so don't lie about your current salary if/when you reveal it.

Professor Emeritus
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Re: Recruiters asking for current compensation

Post by Professor Emeritus » Sat Mar 21, 2015 8:22 am

KlangFool wrote:
SpaceMonkey wrote: My strategy would be to give them what they ask but then make it irrelevant by making clear what your expected salary range is.
SpaceMonkey,

But, in many employers, the HR policy limit the pay raise to X% (15 to 20??) over your current pay. So, once you tell HR your current salary, you had limited your up side. In fact, the hiring manager cannot offer you more even if he / she wants to. It will take a VP to over-ride the HR policy.

KlangFool

When we sue employers we call this "purpetuating Discrimination " in some cases its a slam dunk

leonard
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Re: Recruiters asking for current compensation

Post by leonard » Sun Mar 29, 2015 10:30 am

ClevrChico wrote:I would research the market rate, your needs, and tell the recruiter your range. This is completely acceptable. (See glassdoor to establish market.)

I wouldn't reveal your current salary. If it's too low, they'll think you're below average. You can't win. Research is the key.

During my last background check, I had to send a copy of my W2, so don't lie about your current salary if/when you reveal it.
You gave someone your W2? What possible rational could they have for seeing that? As far as I know, W2's aren't required to initiate background checks.
Leonard | | Market Timing: Do you seriously think you can predict the future? What else do the voices tell you? | | If employees weren't taking jobs with bad 401k's, bad 401k's wouldn't exist.

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