Monday, April 19, 2010

Taking a Pay Cut

MSN Careers posted this article today. We talk with candidates every day who feel like they aren't getting a fair shake in the interviewing process because they are "overqualified". Try this approach next time you are interviewing for a job a level or two below your last position.

When Getting a Paycheck Means Taking a Pay Cut
By Harvey Mackay, author of "Use Your Head to Get Your Foot in the Door: Job Search Secrets No One Else Will Tell You"

All the stars are aligning. You've been offered a great opportunity, maybe even your dream job: the company you've admired, top-notch staff, terrific benefits, ideal location. You've aced the interview, and you know you'd be a perfect fit. What more could you ask for?

Maybe that's the wrong question. Maybe you should be asking, what less would you be willing to take?

A 2009 CNN Money report says, "With more than three job seekers for every opening, more workers are having to take significant pay cuts to find employment."

Many are out of work through no fault of their own and can't afford to wait for the dream job to open. Others discover the jobs they had weren't right for them -- too much responsibility, too many hours, burnout or philosophical differences. Whatever the reason, plenty of qualified people who are looking for jobs have real challenges convincing interviewers that they can work for less and be content.

What motivates hiring decisions
Shrinking company budgets force managers to get maximum bang for the buck while finding ways to maintain or grow business. Hiring decisions have greater impact when fewer employees must carry the load. A bad hire can be disastrous.

Try to explain to a hiring manager that you are interested in taking a job that includes a pay cut and a number of questions pop up: Were you overpaid at your last job? Will you jump ship the minute a more lucrative opportunity is presented? Will you be able to survive on a smaller salary? If you are such a bargain, why hasn't someone else hired you already? Do you have some ulterior motive?

Hiring managers look for competent people who are confident in their abilities. Your biggest selling point, surprisingly, isn't your price tag. You have demonstrated that you are flexible, willing to take on a new challenge, bring great experience with you and can't wait to get started. You are prepared to work as hard as you can to advance the company's goals. The interviewer is starting to wonder why any company would have let you slip away.

Being upfront
As an astute candidate, you know that salary negotiations come much later, after you have convinced the interviewer that you are the best candidate for the position. Be honest when you are asked why you are willing to work for less.

  • "I know that the market can't support my previous salary, but I have much to offer and can make a positive contribution to this company's success."
  • "I love my work and I was sorry when my former company eliminated our department. I am willing to prove my commitment by working for free for 60 days."
  • "My company relocated to another state. My wife's job is here, and we chose not to move our family even though it meant giving up my job."
  • "I know that times are tough everywhere, and I am willing to help the company move to profitability knowing that the employee contributions will be rewarded at a later time."

    Stating your reasons in direct, honest terms will mitigate fears that you are looking for a glorified temp job until something better comes along. Few companies have been exempt from downsizing or budget reductions. Relating that reality to your personal situation can reassure the interviewer that your expectations are reasonable.

    One cautionary note: Don't apologize for showing interest in a lower-paying job. Your worth can't be measured only in dollars.

    A pay cut may mean a better job or the path to one. Keep your options open.

    Mackay's Moral: You can move from survive to thrive.

    Harvey Mackay is the author of the new book "Use Your Head to Get Your Foot in the Door: Job Search Secrets No One Else Will Tell You," as well as The New York Times No. 1 best-sellers "Swim With The Sharks Without Being Eaten Alive" and "Beware the Naked Man Who Offers You His Shirt." Mackay is a nationally syndicated columnist for United Feature Syndicate whose weekly articles appear in 52 newspapers around the country, including the Chicago Sun Times, Rocky Mountain News, Orange County Register, Minneapolis Star Tribune and Arizona Republic.