Fed Financial

Should my husband negotiate? Great question for a recruiter!?

My husband is going to be laid off tomorrow morning due to his company's financial loss. We will receive a severence package, but are not sure what the details will be (i.e. how much or if insurance benefits will offered). My husband received a verbal offer from another company today, but the salary was $10k less then what he told them he would require to make the move (interviewed before he knew he would be laid offed). My husband was told by the recruiter that the company's budget for this position was $20k less then my husband's requirement, so they did try to meet it by upping the salary $10k. Bottom line, the offer is good, but it's not what my husband was initially looking for money wise. I understand you only have one opportunity to negotiate. My concern is that they will pass on my husband. With the holidays coming up and our current financial obligations, is negotiating the salary worth the risk? How successful are negotiations? The recruiter is a 3rd party. The salary is an 80/20 split (salary+commission), so there isn't a way to request an additional bonus to up the bottom dollar. The cash bonus could be an idea. We can't afford to go more then a month with out a job.

Public Comments

1. don't count ur chickens before they hatch. remember, u're at the other end of the table. just take what they offer. bottom line - DON'T NEGOTIATE! DON'T EVEN TRY THINKING OF IT.
2. There's nothing wrong with him going back and asking that the money situation be revisited in six months with an x percent increase and have that written into the contract and signing on. It sounds like you are fine with him taking the job so there's nothing wrong with asking that.
3. This is not a simple answer. Was the recruiter your husband talked to a member of the company, or a third party recruiter with whom the company contracted. If a third pary, then your husband can still try to negotiate directly with the company. There is always a risk, the company could just walk away and no one really wants that. If they have already made the attempt to come up and meet your requirements then the chances are not good they will come up more. Another question is how long can your family afford to be without a job? If not long, then he may need to take what is offered. If you can go several months, then maybe he takes a harder negotiation line. In negotiating, there are options other than base salary. He could ask them to put some sort of performance bonus in place to possibly make up the other 10K. Or ask for a 10K signing bonus because it is a one time cash payment, and does not affect the base year to year. Good luck.
4. YES! ALWAYS NEGOTIATE! The company wants your husband. There is a need. The company is expecting you to negotiate. It is part of doing business. The company wants to hire your husband at the best possible price. Yes the budget for the position is 10k less than his previous salary. He can neg. for more money now, future salary increase in 90 days, EVERYTHING IS NEGOTABLE!. Remeber...this starting salary will determine all of his next raises..The average merit increase is only 3-4% per year. Do not leave money on the table. Stand your ground and compromise on a fair salary. They will not resind the offer. When they coma at you with....."THIS IS OUR FINAL OFFER" thats when you know they are at their end. Good luck to you and yours. Happy Holidays!
5. Since you are dealing with a 3rd party you are kind of in a bind. The 3rd party recruiter can be your friend or foe. If they have a very good relationship with the hiring manager and company and can read the situation well, then they may go to bat for you, but most likely they are trying to meet the client's need and place you to get their $15-30k commission. Do you know if the 3rd party is representing any other candidates for this job? If they have made an offer to your husband then it's likely your husband is their No.1 choice. So how much room do you have is what you want to know? If they've agreed to pay an additional 10k on the salary then they are pushing the envelope and won't be able to go much further. Unfortunately at this point the employer and you are wishing to deal directly since you know you can work out a solution, but the employer knows he's going to have to pay a commission to the recruiting agency. Asking for more on the base will go by deaf ears. What you can do is to propose a couple different options. You can go back to the original offer (minus 20k from your husbands current pay) and then ask for a $20k sign on bonus, or you can stay where he's at and ask for a $10k signon bonus. What's likely is the manager will agree but will cut it to a 5k bonus and that will be his final offer. Now the 3rd party wants to place you. We are coming up to the holidays and likely the hiring manager may lose his req and the 3rd party may not get this opportunity until the new year and you guys can't allow any downtime. So you'll have to play it by ear. Make sure to use your severance package as leverage. Your husband is their No.1 candidate, they want him. If you take the job, your hubby can always keep his feelers out if something else comes up with more pay. Who cares if he's only worked a few months, just leave it off the resume. Just see if you can get a sign on bonus. Good Luck!