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Multiple offers are making a comeback because overall the job market is candidate short. Although they aren’t as prevalent as before the financial crisis, they are causing headaches for the senior HR professionals who attended the recent eFinancialCareers roundtable in Melbourne.
One delegate said her firm has a take-it-or-leave-it approach to candidates who try to push up their pay via offers from other employers. “We say: ‘It’s our best possible offer, we’re not going to negotiate’.”
This means that good negotiators don’t get an unfair advantage over candidates who are just as qualified for the job, but don’t bargain as hard during the selection process. “We actually think it benefits job seekers because they know where they stand from the outset.”
Taking a tough line on multiple offers also prevents potential tensions when someone with an inflated salary joins the team. “It’s not fair to get an extra 10k if the person next to you, who’s been there for five years, doesn’t.”
Other tactics to tackle multiple offers include coaching line managers to ensure they don’t negotiate directly with candidates, and placing a tight time limit on acceptance. “We want to hire people who can make quick decisions,” said a roundtable panellist.
To avoid getting involved in salary bidding wars, it’s important for HR to emphasis other benefits such as international exposure and work-life balance. “And you have to ask whether it’s worth competing for someone who is driven purely by money. Is that the kind of person you want working for you?”
Some delegates have come across graduate candidates with multiple offers. “Not all of them handle the situation well – I’ve seen people accept two offers. But Melbourne is a small market and if you treat an employer badly, it can affect your chances in the future.”
As a candidate, have you had more than one offer? Let us know in the comments box below. You can also email your story to apac.editor@efinancialcareers.com.
Interesting article. You can see inside HR and how manipulative and selfish they are. Multiple offers are great for candidates. With the rapid increase in cost of living, competing for candidates drives salary levels upwards. It’s great! The financial services industry including banks, are extremely profitable and do what it takes to make a profit and these HR people have the cheek to imply that they do not want people who want to make a much money as possible. Really pathetic! I am a recruiter and I always try to get multiple offers for candidates!
HR often make the point about competing for candidates who are driven purely by money, but if a candidate has 2 equally attractive opportunities on his/her plate, a higher salary can be the distinguishing and deciding factor when they’re choosing.
And whilst I agree it’s good to have a discussion regarding salary expectations up-front so everyone is on the same page, in order to secure top talent companies have to be competitive in what salary they offer, which may mean paying that little bit more at the final stage. If you won’t negotiate you will be shutting the door to candidates who will end up going to competitors of yours who will.
Hi, long time reader first time commenter. I’ve dealt with HR in both Melbourne and Hong Kong (presently working). I’d like to think I’ve seen good and bad.
Their multiple offer comments seem shortsighted. The problem with “letting jobseekers know where they stand” is that you are likely to be left with jobseekers who don’t have a standing anywhere else. Most people in business are motivated to some degree by money, and rolling out the generic “work life balance” line isn’t going to differentiate your business against a better paying one at all.
Yes higher wages in the office will lead to friction by others who will then want a rise and this will potentially lead to either cost inflation or declining morale. But people aren’t cocooned in their work places. Word will soon get around that Company Y offers 20% more pay for the best candidates and those who can leave will. They’re not going to hang around because the less than stellar new employee you just hired is on the same wage.
Thats another thing that can effect morale – watching good people leave to be replaced by mediocre.
At the end of the day the company is its people, and it skimps on this investment at its ow
Um banking is capalist in nature. I always get rattled by these articles and people that suggest that an individual shouldnt want more money.
That is the way a banker/investment bankers brain operates daily. To make the most amount of money for your client.