Thought and comments please…
I was forced to quit my job a couple of weeks ago. I am now two months away from completing two graduate degrees. I do have savings that I can live off for a while.
So here’s the deal. I received a phone call from my old firm, a huge multinational and have an interview set up for a position. However, this position is at a lower level than the one I had previously at the same company. That means less money and no yearly bonus. Now, I have the option of pasting for another position after staying in that position for one year. Further, I am working with a few recruiters, and although they have presented me to several firms, I have not heard from them(the firms) yet.
Yes, I left the old firm on very good terms. I am 99% sure I will get the position given my education, work history, references etc. Yes I still like and respect the old firm. The pay cut is steep, around 20k. As far as benefits are concerned, I require only health and retirement so the plethora of additional benefits a firm may offer are really a non-issue right now.
Should I pursue returning to the old firm or wait out for a position near or higher pay than my last position?
Any rational viewpoints and ideas would be greatly appreciated.
“A bird in the hand is worth two in the bush.”
Does that help?
Personally, I’d say this was worth pursuing with an end toward negotiating a better deal.
Listen. You have direct experience with THEIR operations, THEIR people, THEIR bureaucracy. You’ve furthered your experience and education since. THEY sought you out. There is no way you should be worth LESS to them than before.
Is your degree related to this work? Is the offer coming from an old mentor who is looking for some way to bring you back? How long ago did you work there?
My advice is:
- Absolutely DO NOT interrupt completing your degree for this.
- Ask flat out why this offer is less than your former pay. In my experience, the dollar offer comes from an HR rep, and it is perfectly legitmate to ask the basis for the offer.
- If the new job has similar responsibilities to the old, OR if it requires someone with experience similar to what you gained in the old job, then make them a counter-offer. Your previous pay, plus what you would be making had you stayed with the company (not including bonuses, of course. I’m thinking 3-5% per year).
Before accepting my current job, I got a lowball offer from the HR rep on the phone. I actually snorted (not intentionally, it just kinda slipped out), and asked how it was calculated. She gave me a song and dance about years of relevant experience and market value. I suggested that they were undercounting my years of relevant experience, and and gave them a number 15% high than theirs. I accepted 12% (which was about a 25% raise from the job I had at the time).
Important things to remember:
- If they want YOU (rather than an anonymous set of skills), they can reinterpret your work history and upgrade your value, if you can provide them with a rationalization to do so.
- Asking for a substantially larger salary than their initial offer is not a deal killer, for a person with unusual skills and knowledge. You may not get what you ask for, but you won’t be laughed out of the office; at worst, you’ll be given another chance to accept the first offer.
yojimboguy, you bring up some great points, thank you.
The reason I had to quit my last job was precisely because I was asked to choose between working for that company and finishing my education. I made my decision. Ultimately, that’s why I love ultimatums. I may not like the negative consequences of them, but ultimatums serve to reinforce my values.
The salary cap was give to me by an HR rep. And you’re right, I do know the upper limits that they are willing to pay, and it’s much higher. But then again, I don’t know their annual budget numbers allocated to salaries. I have only been away from the firm for a year and yes, I think that the level of expertise I have in financial modeling is pretty rare. I may be able to make a good argument for a higher pay rate to the actual hiring manager.
I’ll keep you guys posted. Thanks for the help.
OK. General Questions is for questions with factual answers. IMHO is for polling and such-like.
Off to IMHO.
DrMatrix - General Questions Moderator
I agree with what’s been said so far. Politely negotiate with them to see if you can increase the offer, but keep in mind that employers have the advantage right now. Whatever happens, my advice is to take what they offer in the end. Always remember… nobody is so good that they can’t be replaced. I had a motto that I used for years:
“Even when you are the top banana, some monkey has his eye on you… and he’s a lot more agile than you”.
In the last two years, I have adopted another motto, one that I repeat to myself every day at work:
“Last month, 20,000 people were laid off… I’m not one of them… I really LIKE my job today”.
In this day and age, playing hardball is like playing russian roulette with 4 loaded chambers. There are a lot of talented folks out of work that can do your job, and will happily do it for less, just to be working. Employers know this. Good luck to you:)