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- TSR #067: What Is The Salary Range?
TSR #067: What Is The Salary Range?
How to handle "Money-driven" candidates
Read time: 2 minutes
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Salary Driven
Recruiters are just human.
Whenever a direct question like this comes along and if it is at the front of any conversation, I can bet no recruiter is willing to divulge the salary range even if they know it. Greenhorns may do it but soon, they learn. :)
First of all, the candidate is immediately perceived as difficult to work with, even though their question is 100% legit.
Even for myself when I went for interviews several years ago, I laid out front my expectations.
So why are recruiters making such a big fuss over candidates asking the same of them.
You would believe there is double standard here. Well, there is.
Let me unpack the psychology here.
When a candidate says that directly, a mini red flag goes off. The recruiter is hyper sensitive and understood this person is not “cheap” and not only that, he/she has placed a strong priority on the compensation package. If this is not cleared, there is no way forward. Some recruiters walk away in despair and it is an immediate lose lose.
As a recruiter, how often are you given a blank cheque from your client?
Answer is never.
In short, 99.9% you will end up with a budget that falls short of those who are really excellent choices for the role.
And 99.9%, you won’t get these excellent choices.
You get tier 2 talent.
Tier 2 is actually the best because they are motivated and willing.
The tier 1 candidates circulate in a black market catered for them where they are usually headhunted and offered what they want.
It is like moving mountains.
Think Brian Niccol (Starbucks CEO). Extreme but not impossible. (Image credit: The Times)
Starbucks CEO Brian Niccol commutes by private jet as part of his compensation package
He gets US$1.6 million as base pay and the recruiter who fills this role on a 20% placement fee gets US$320,000.
It’s fun to think of these numbers but let’s come back to planet earth. These are rare and won’t be the run of the mill projects.
The typical project runs 20-30K a pop and that is already a good deal compared to agencies doing mass recruitment for massively discounted fees.
So back to the topic.
Recruiters generally feel that way because they know this won’t bore well and it is not because the expectation is high but rather the candidate prioritizes compensation upfront.
Again, there is nothing with prioritizing money. Inflation is real.
But what is “offensive” here is the lack of tact by the person asking it. There are a dozen and one ways to ask about compensation fit without sounding so curt.
This is a tell-tale sign that even if you get this candidate to the interview, he/she would be out by round 1 unless they meet a hiring manager who appreciates curtness in the pursuit of lost time.
This is how I would handle the candidate’s ask.
Q1: Sure, that is a good question and we should align for meaningful progress. I’m in favor of that. Before I dive into the numbers, can you share a bit about your career progression and what you would really like to see in your next role?
Q2: If the role fulfills that which you mentioned, what earning potential do you think is aligned with that?
Q1 draws out intrinsic motivations which are important because you can’t close a deal on salary. In fact, deals are not closed on salary. Then, on the basis of Q1’s answer, your candidate can provide a more meaningful reply to Q2 and in many cases, they will volunteer more details.
Sometimes, they may still be rather coy about it and instead of telling you they are seeking for $120,000 a year, they indicate their expectation for a 20% increment. At this point, you can do your magic if you are familiar with the market benchmark. Just ask them if 20% increment puts them at around $120,000.
Less confrontational and if you are spot-on with your researched guess (By the way, you should know your market), you win their trust and they exclaimed “Yes. Very close. By the way, is that the market norm?” They just revealed a burning question.
All you need is to answer that burning question factually and you would have converted a hard to close candidate into a trusted ally.
p.s. Tough candidates bring out your best.
p.p.s. A warm welcome to everyone who subscribed The Solo Recruiter. You are now a part of this Spartan tribe that are committed to getting results. This is episode 67 and I want to thank everyone for your support and questions.
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