One of the most debated issues in IT recruitment involves navigating situations where a candidate changes their terms after accepting an offer.
Rather than just discussing this matter, we aim to share strategies for addressing and possibly preventing such challenges.
A common scenario in recruitment involves a candidate who sails through each interview stage. Initially, they state their desired compensation or are presented with preliminary figures that align with their expectations. Everything seems to be proceeding smoothly. Then, when the job offer arrives, the candidate expresses a desire for a higher salary.
Some recruiters may find this situation unsettling, but there are more effective ways to address it. Before delving into these approaches, let's explore the underlying reasons.
Rather than just discussing this matter, we aim to share strategies for addressing and possibly preventing such challenges.
A common scenario in recruitment involves a candidate who sails through each interview stage. Initially, they state their desired compensation or are presented with preliminary figures that align with their expectations. Everything seems to be proceeding smoothly. Then, when the job offer arrives, the candidate expresses a desire for a higher salary.
Some recruiters may find this situation unsettling, but there are more effective ways to address it. Before delving into these approaches, let's explore the underlying reasons.
What drives this behavior?
Our experience in IT recruitment has highlighted four primary reasons why a candidate revises their demands after receiving an offer:
- Competing Offers: This is a prevalent scenario where rivals present more attractive terms. The IT interview process is lengthy, spanning from 2 to 6 months, and top-tier professionals are unlikely to invest such a duration with a single prospective employer out of fear of rejection.
- Unspoken Adjustments: During the interview process, a candidate's financial expectations may evolve, but they do not always vocalize these changes. Recruiters should anticipate these "unspoken adjustments." Inexperienced recruiters may be reluctant or forget to gather feedback, necessitating proper training for new recruits.
- Negotiation: Sometimes, a candidate simply seeks to negotiate, which is a reasonable expectation. They may believe the role warrants a higher salary or have received advice from peers to engage in negotiations.
- Hidden Agenda: In cases where a candidate engages in this behavior, it is often strategic. They had likely planned this approach from the outset and were holding their cards close.
How to address this?
Addressing the issue of a competing offer presenting better terms at the final negotiation stage can be challenging. It is wiser to prevent this by posing pertinent questions during initial interviews:
Throughout the interview process, emphasize the value of your offer. Shift the candidate's focus not solely on the monetary aspects but also on the comprehensive benefits package, encompassing insurance, company-funded training, relocation assistance, and more. An effective tactic is to objectively enhance the initial offer as the interview process unfolds.
For instance, if the initial offer was $60 000, but the recruiter discerns that a specialist of this caliber typically commands at least $72 000 in the market.
Addressing the "unspoken adjustment" issue involves training and coaching for recruiters. It's essential to bolster their skills in sales, negotiation, and comprehending candidate psychology. Often, recruiters concentrate solely on communication skills and terminology when interacting with IT professionals, which is insufficient for fruitful recruitment.
If the candidate initiates negotiations, attentively listen to their arguments. In cases where their demands are justified, consider making partial concessions. For instance, if they request a 10% salary increase along with relocation expenses, you might agree to one of these or provide a well-reasoned decline.
When a candidate employs the "Hidden Agenda'' approach, where they state inflated terms without substantiation and adamantly refuse to discuss the conditions, addressing the situation might prove challenging. Nonetheless, it is worth making efforts until the last possible moment. The primary recommendation is to attempt to avoid such scenarios from arising in the first place. Pay close attention to the candidate's negotiation style, as rudeness in communication tends to manifest well before the final negotiation stage.
Additionally, do not hesitate to decline a candidate at earlier stages of the recruitment process if it becomes apparent that they are not a suitable fit for the company.
- Exploring Other Options: Is the candidate actively considering alternative companies and roles?
- Market Research: Have they conducted research on current market conditions?
- Evolving Expectations: Have there been changes in their salary expectations, and if so, what has prompted these adjustments?
Throughout the interview process, emphasize the value of your offer. Shift the candidate's focus not solely on the monetary aspects but also on the comprehensive benefits package, encompassing insurance, company-funded training, relocation assistance, and more. An effective tactic is to objectively enhance the initial offer as the interview process unfolds.
For instance, if the initial offer was $60 000, but the recruiter discerns that a specialist of this caliber typically commands at least $72 000 in the market.
Addressing the "unspoken adjustment" issue involves training and coaching for recruiters. It's essential to bolster their skills in sales, negotiation, and comprehending candidate psychology. Often, recruiters concentrate solely on communication skills and terminology when interacting with IT professionals, which is insufficient for fruitful recruitment.
If the candidate initiates negotiations, attentively listen to their arguments. In cases where their demands are justified, consider making partial concessions. For instance, if they request a 10% salary increase along with relocation expenses, you might agree to one of these or provide a well-reasoned decline.
When a candidate employs the "Hidden Agenda'' approach, where they state inflated terms without substantiation and adamantly refuse to discuss the conditions, addressing the situation might prove challenging. Nonetheless, it is worth making efforts until the last possible moment. The primary recommendation is to attempt to avoid such scenarios from arising in the first place. Pay close attention to the candidate's negotiation style, as rudeness in communication tends to manifest well before the final negotiation stage.
Additionally, do not hesitate to decline a candidate at earlier stages of the recruitment process if it becomes apparent that they are not a suitable fit for the company.
Summary
The situation where a candidate changes their decision after receiving an offer is a common occurrence in hiring, so it's essential to learn how to handle it!
There are four main reasons when a candidate changes their decision: a better offer, a "silent price increase," simple negotiation, or the "secret joker."
You can work with the first three situations, but it's better not to allow the last one because rectifying it at the job offer stage would be extremely challenging.
Regardless of the situation, remember that you should persist until the very end and have faith in success!
By the way, there are even more challenging situations: when everything appears to be going well after receiving an offer, but when it's time to start working, the candidate suddenly changes their decision and declines to cooperate. In such cases, the costs are higher, and typically, you have to start everything from scratch. But we'll save that discussion for another time.
There are four main reasons when a candidate changes their decision: a better offer, a "silent price increase," simple negotiation, or the "secret joker."
You can work with the first three situations, but it's better not to allow the last one because rectifying it at the job offer stage would be extremely challenging.
Regardless of the situation, remember that you should persist until the very end and have faith in success!
By the way, there are even more challenging situations: when everything appears to be going well after receiving an offer, but when it's time to start working, the candidate suddenly changes their decision and declines to cooperate. In such cases, the costs are higher, and typically, you have to start everything from scratch. But we'll save that discussion for another time.