Forum Replies Created
January 30, 2018 at 10:58 am in reply to: Can a new employer find out about previous salary? #848
@tommy I really don’t think you know enough about my business to second guess the rationale. You also appear to be making the erroneous assumption that the P45 data is available at interview stage. It isn’t. At least not usually as a P45 is issued post-current employment. It’s only useful later as a means of veracity-checking. You claim there’s an information imbalance. There isn’t. Every company’s accounts are freely available online for candidates to study. And, in the case of a plc, detailed analysis of productivity numbers, ie profit per hire. You also have the right at interview to request a detailed copy of the company’s latest accounts Far from being outraged, I’d be rather impressed at a candidate who took his or her job hunt that seriously.
The biggest issue for businesses in my sector (IT) isn’t driving down wages for profit. It’s hiring highly paid specialists to deliver corporate objectives. But maintaining a level playing field between employees of a given skill level is vital. If you breach your pay bands for one developer, you run the risk that the other ninety nine of them get wind and become demotivated, leading to mass resignations. I can’t remember the last time I tried to depress a potential recruit’s salary aspirations for my own gain. But I have to think of all the other staff every single time.
Owing to experience, I have a good feel for every candidate’s “correct” salary in the above context. Now, if they are honest with me about their current earnings, we can have a constructive discussion about the value of the role, taking in the wider issues of training, development and job satisfaction. If all they want to do is drive up the offer without reference to a verifiable reality, that doesn’t just make the conversation difficult, it tells me their priorities are skewed (see my earlier post) which probably costs them the job.
As ever, it’s a balance and if I ever find myself engaged in a wage-cutting cartel I’ll give myself a good talking to. For now, however, you’re miles off mark.
January 30, 2018 at 10:54 am in reply to: Can a new employer find out about previous salary? #845
@carlson I’m sure it varies from company to company, individual to individual, but it’s surely very poor negotiation by the hirer not to use current earnings as a means of reining in excessive demands. In my experience many potential recruits have unrealistic financial expectations which prevent them from accessing jobs that could catapult their careers. It’s often fatal to their progression.
The guiding principle in building your career is to find the most challenging and most promising job with a reasonable salary attached. And certainly not the best salary with a job attached. This is particularly true over the first 10 years of a career. Focusing on money above all often leaves you looking up at the heels of those who understood that mantra first.
Know your value and negotiate hard. But put development before earnings. The person above you earns more. So become him or her.
January 30, 2018 at 10:52 am in reply to: Can a new employer find out about previous salary? #843
It wouldn’t bother me, especially if you were involved in a sales role or any role where you would be negotiating on behalf of your employer. Pay is a negotiation: you told them how much you were willing to do the job for and they decided that your services were worth that rate because they couldn’t find anyone else capable of doing the job who would do it for less. End of story.
Your previous salary is irrelevant, they’ve got no right to base their offer on it, that is tantamount to an anti-competitive practice because it reduces competition between employers on pay and incentives for employees to change employers.
When you attend an interview, the employer has very little time or information on which to base their assessment of your skills. Previous earnings is one of the only pieces of hard data that expresses the informed view often of one’s direct competitor. Why would you not insist on knowing that information? Recruitment errors are extremely costly. Frankly I wouldn’t even dream of offering a job to anyone without an appreciation of their current earnings. One does expect and allow for a bit of exaggeration, however. We know what our competitors pay and can usually adjust for the fibs when composing our offer.
And I always check the P45 for lies. If someone has snuck a fib past one of our hiring managers, we don’t raise it with them. After all they might be worth the big hike. But the expectations of the employee’s probation become more onerous. It’s a risky business to promise too much with exaggerated claims.
All that said, it’s a negotiation so good luck to the OP.
January 30, 2018 at 10:51 am in reply to: Can a new employer find out about previous salary? #842
Seriously with that job application, I said that the new employer can’t just base an offer on my current P45 because of the amount of overtime I was working, which didn’t appear on P45 but which was pretty much relied upon for financial survival. THAT is when you can make up a number, as it is variable and hard to trace.
There isn’t a separate tax record for overtime. All your pay, overtime included, either ends up on your P60 while still an employee or your P45 at termination. Either that or you would have been party to illegal tax evasion. If someone said this to me at interview I’d know for certain they were either a dishonest job-seeker or an indiscreet tax cheat.
There are better ways to negotiate a good deal.
January 30, 2018 at 10:46 am in reply to: Can a new employer find out about previous salary? #838
I told the new company a different figure in regards to my current salary. Actually, I told them I was earning 14k more than what my real salary really is (this additional 14k is the market rate for my position).
I am now worried …
You should be worried. You lied. What a great start to a working relationship.