By David Wolfe
If your best offer is $100,000, make it.
We see hiring managers make the mistake of offering less and trying to negotiate. Many people, especially millennials, are leaving jobs because they don’t feel valued and appreciated. So, if the first impression they get from you is that you’re low-balling them, it resonates with them and can also say to them, “We do not value and appreciate you.” I recommend making your best offer first versus trying to negotiate back and forth. It says you value them and want them. And even if you do overpay somebody by a little bit, that’s going to pay dividends in the end with retention.
In fact, I believe it’s always better to pay more for every position you’re recruiting for. Pay 10 percent to 20 percent more than the market value. That person will feel like you really want them, and you don’t have to worry as much about them being picked off for a higher-paying job later. It’s not really a win if you pay someone less, because they are more likely to leave you for a higher-paying position later. You also don’t have to be as concerned about giving raises. If you already started them off high, they might not be expecting raises every single year.
Paying a little bit more creates a sense of trust between employee and employer. And it gets the relationship off on a good foot. There’s going to be enough things that could go wrong during their employment, it’s so important to start it on the right foot by making a good and generous offer versus trying to low ball and negotiate.
Include Bonus Compensation
Most of our hospital systems really miss out on go-getter A-players because hey don’t let them know about their bonus system. That’s a big selling point to somebody who is really driven. You need to advertise that upfront, in the job description and the final offer.
Be specific. “You can earn $20,000 to $40,000 a year depending on productivity benchmarks.” That can be a really big selling point.