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Talking About Money

kalzumeus.com

381–390 of 412 posts

Re: Talking About Money

#381

Earlier quoted context omitted.

uh, well, my stumpers include, "why should we pay you 200 grand?" which should naturally flow into a conversation into the amount of value this particular engineer or executive will bring to my organization. here's another one: "how will you pay for yourself in 6 months?" i'm no longer technically competent enough to stump an extremely talented engineer on a technical question. not really sure where you get the 'supe…

By providing 101k of value? Do people know enough about what you do and how you do it to give this answer at interview stage?

yeah. when i hire sales guys, or product guys, they just tell me how much money they generated (or their products or teams generated) at previous companies. it doesn't always have to be a $ figure. sometimes it's, "my work at previous company X was used by Huge Company A, Huge Company B, Internal Division C, etc. here are my references."

these are just nuts-and-bolts dollars-and-cents conversations people have when hiring non-engineering professionals or executives.

you can talk about all of the above without actually stating how much money you made. it's moot. it's irrelevant. what matters is what they accomplished, if they are enthusiastic about doing the same for our startup, and how much money/compensation they need to feel good about it. i am trying to make people feel good about working for me! the first step is to have an honest conversation about everyone's needs (maybe requirements is a better word).

Re: Talking About Money

#382
post #380

Earlier quoted context omitted.

Howdy -- Matt Mullenweg here. First, I'm sorry that at some point in your hiring process you got that impression, it is not in line with our philosophy or our actions. We now employ 320 people in 36 countries and with at least that many distinct racial or ethnic backgrounds, including Indian. We aim to hire another 120 in the next year so disqualifying potential candidates based on something they are born with is not…

What about the accusation that you stop the negotiation when a candidate refuses to disclose their previous salary?

I wouldn't stop it -- I'd want to talk about it to understand why. If it was because they were following advice they read somewhere because worried it would influence their offer, I'd try to dispel that myth within the context of Automattic. If they didn't believe me, we probably don't have the level of trust needed to work well together.

Our culture is really built on two-way trust: since we're distributed and seldom see each other you don't know how someone is going about their work, and most of our HR policies come down to the honor system. The company places an incredibly amount of trust in employees, and vice versa people place a great amount of trust in the company, including that we'll do our best to treat them fairly. It's a responsibility the folks on the operations side of Automattic, including myself, take very seriously.

Re: Talking About Money

#383

Earlier quoted context omitted.

Yes, one might think so, but this was the CEO in question[1]. Edit, and so far as bluffing, could an employer legally ask for W2's to verify? [1] http://www.nytimes.com/2001/04/05/business/stinging-office-m...

I don't know about US, but in India, its standard practive to ask for previous paychecks.

It is standard to ask in Germany too. But do they get an honest answer or expect an answer at all? I always say what I want instead.

Re: Talking About Money

#384
post #380

Earlier quoted context omitted.

What about the accusation that you stop the negotiation when a candidate refuses to disclose their previous salary?

I wouldn't stop it -- I'd want to talk about it to understand why. If it was because they were following advice they read somewhere because worried it would influence their offer, I'd try to dispel that myth within the context of Automattic. If they didn't believe me, we probably don't have the level of trust needed to work well together. Our culture is really built on two-way trust: since we're distributed and seldo…

I still don't understand, why you think you're entitled to know a candidates previous salary. But yes, I wouldn't trust you with that information.

Re: Talking About Money

#385

>> Most important takeaway about salary negotiation, by the way: disclosing a previous salary is almost always against your interests because it pegs your new salary to that plus 5% rather than your value to the new firm minus a discount, which is a brutal mistake I had a phone screen with an HR drone once (Cerner Inc. to be exact \waves) part way thru she asked me my current salary. I declined to provide that inform…

I learned my lesson about this once. I accepted an offer at a company who wanted 10 years of my salary history. 10 years. So I provided it to them, and one of the companies (who was out of business) could not verify my salary (Pay stubs were not enough, they had to talk to someone). After this they said they may have "adjust the offer accordingly" and it would most certainly be less because the offer was based on my…

Please tell us the name of the company! Are they still in business?

Re: Talking About Money

#386
post #384

Earlier quoted context omitted.

I wouldn't stop it -- I'd want to talk about it to understand why. If it was because they were following advice they read somewhere because worried it would influence their offer, I'd try to dispel that myth within the context of Automattic. If they didn't believe me, we probably don't have the level of trust needed to work well together. Our culture is really built on two-way trust: since we're distributed and seldo…

I still don't understand, why you think you're entitled to know a candidates previous salary. But yes, I wouldn't trust you with that information.

I agree it can be uncomfortable for people, as is almost everything around compensation. I don't think we're entitled to know, but it is an expression of trust when someone shares it, and thus far with ~99% of people we've hired over 10 years it hasn't been an issue.

Re: Talking About Money

#387

Earlier quoted context omitted.

I'm happy with your candor, at the same time you're displaying just about every trait that makes me loathe recruiters. It's refreshing to have this so out in the open, a bit like an SEO expert giving you the inside of his mind. Someone's current salary is none of your business, it's that simple and as a block of reasonably intelligent professionals we could simply all agree to never supply that information to the com…

Interesting response. Loathe recuiters? Let's take it easy on the echo chamber cliche here. Yeah, lots of bad apples out there, but ask any reasonable professional: a good recruiter is extremely valuable. You did forget that there are 2 types of recruiters: agency (outside) and corporate (inside). I, the agency recruiter, do not want to "dislodge" the candidate for the minimum amount required. Not because my fee will…

> Interesting response. Loathe recuiters? Let's take it easy on the echo chamber cliche here.

That's my personal opinion based on personal experience. Feel free to attribute it to others but the echo chamber does not factor in there unless you wish to consider my office part of the echo chamber.

> Yeah, lots of bad apples out there,

Present company, as always, excluded.

> but ask any reasonable professional: a good recruiter is extremely valuable.

A good recruiter is a good recruiter for their paymaster. I've yet to see 'reverse headhunting' where you submit your resume to a recruiter and they then go out to find the best possible position for you. So for now recruiters are exclusively working for companies looking to employ people.

> You did forget that there are 2 types of recruiters: agency (outside) and corporate (inside).

I've dealt with both, neither group to date has me particularly impressed. And I've dealt with them both as an employer and as someone who somehow made it onto the list of recruiters. Clueless wouldn't begin to describe them, they used to have a joke saying that 'those who can do, and those who can't teach', you could probably amend that with 'and those that can't teach recruit' and it wouldn't be too far off the mark.

> I, the agency recruiter, do not want to "dislodge" the candidate for the minimum amount required. Not because my fee will be higher with a greater salary, but because I'm actually incentivized to do what is best for both the employer & employee.

And what is that?

> This is called sales.

I don't particularly care about what you call it, to me it felt more like interacting with a class of buzz-word wielding vultures trying to make money from placing people based on an extremely limited understanding of what makes the tech world tick.

There are multiple ways to make money in any industry: you either dig for gold, you sell shovels to the miners or, in the case of the recruiters, you sell the miners to the mining company.

> When you do good by all parties to the transaction, it pays dividends long-term.

Yes, I'm sure it does. In the long term your loyalty has to lie with your repeat customer, the corporation that hires you. Since you are not going to get any repeat business from the individuals that you've placed (unless you're willing to risk that long term relationship, but there are plenty of other recruiters that will be more than happy to play the game again).

> So, no, we're not trying to "snag" them.

Said the fox to the chicken.

> I appreciate your paranoia, as you're not alone; many people dealing with bad recruiters probably need to vent.

So, many people dealing with bad recruiters on the one hand..

> But for the most part, your perception of the recruiting industry is different from the reality.

And yet my perception is different from reality. That's an interesting concept but I can't fit both of those into my head without significant cognitive dissonance.

Either my experiences match those of others and the venting has - as you apparently confirm - a basis in fact or my perception (and by extension that of all the others complaining about their experiences with recruiters) is wrong. You can't have it both ways.

And you conveniently forgot to address the main point I made and instead latched on to my 'perception issues'.

Re: Talking About Money

#388
post #380

Earlier quoted context omitted.

What about the accusation that you stop the negotiation when a candidate refuses to disclose their previous salary?

I wouldn't stop it -- I'd want to talk about it to understand why. If it was because they were following advice they read somewhere because worried it would influence their offer, I'd try to dispel that myth within the context of Automattic. If they didn't believe me, we probably don't have the level of trust needed to work well together. Our culture is really built on two-way trust: since we're distributed and seldo…

> If it was because they were following advice they read > somewhere because worried it would influence their offer, > I'd try to dispel that myth within the context of > Automattic.

If knowledge of a candidate's previous salary doesn't influence your offer, why do you ask for it and what do you do with it?

Re: Talking About Money

#389

Earlier quoted context omitted.

If that was the case, why couldn't they say "This position tops out at $80K, will that be a problem?"

Recruiter here. Good question. In the majority of cases, I would say your approach would be just as effective. However, I prefer asking because: 1) It's about gaining intelligence - not in a nefarious way. If enough candidates at the right experience level are giving me a range of $90K - $100K and the client still won't budge beyond looking at candidates in the $60K - $80K range, I can eventually come back to them an…

None of this makes perfect sense, and reads like just-so stories. On 1), you could just as easily say "of the 10 candidates you liked, 8 of them were still interested given the salary bracket." For 2), you could say "the job pays $X-Y, with flexibility on the top end if they really want you."

It's interesting ("gaining intelligence") to read an account of recruiter allegiances, though.

Re: Talking About Money

#390
post #384

Earlier quoted context omitted.

I still don't understand, why you think you're entitled to know a candidates previous salary. But yes, I wouldn't trust you with that information.

I agree it can be uncomfortable for people, as is almost everything around compensation. I don't think we're entitled to know, but it is an expression of trust when someone shares it, and thus far with ~99% of people we've hired over 10 years it hasn't been an issue.

Why should people express trust in you by deliberately sacrificing information relevant to their own interests before you've proven yourself trustworthy?
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