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 Using your new salary as a benchmark, Advice appreciated

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TSpastafreak26
post Aug 13 2022, 11:58 AM, updated 4y ago

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Doesn't feel like the title is properly worded. Here's some context. Writer with 2-3 years experience, currently averaging around 7-8k in salary. Recently accepted a managerial position. Job has steep learning curve with zero room for error. Furthermore, found out managerial position is actually just customer service in disguise, huge huge disconnection. 1 week training + 2 weeks of work later, one day boss and HR comes with a performance plan hinting about laying off if no improvement is demonstrated in the few weeks to come. Have since explored the job market and attended 1-2 job interviews, nothing exciting or fitting, just actively preparing plan B when shit hits the fan. So far, the companies I interviewed at are offering significantly lower than what I am earning now. One company even slashed asking salary to RM3k.

Consulted friends and ex-workplace mentors and they have all urged me to not accept jobs lower than my current offer, even if the position or job scope is something that I enjoy doing. They say if you take a job offering lower than what you're paid now, your new salary will serve as the benchmark for your next jump. Really?

What am I supposed to do then? Thankfully no financial commitments, but not exactly the type of person who wants to sit around unemployed for a long time. A little scary to be unemployed in a time when everyone you know is either jobless or financially struggling.
kitchong
post Aug 13 2022, 12:27 PM

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Good afternoon.
Did you find out what the average salary at your field and current position is?
TSpastafreak26
post Aug 13 2022, 12:50 PM

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QUOTE(kitchong @ Aug 13 2022, 12:27 PM)
Good afternoon.
Did you find out what the average salary at your field and current position is?
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Not sure if I'm understanding this correctly, do you mean the field that my current position is? Or my current field vs. my current position.


intensecooling
post Aug 13 2022, 04:44 PM

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QUOTE(pastafreak26 @ Aug 13 2022, 11:58 AM)
Consulted friends and ex-workplace mentors and they have all urged me to not accept jobs lower than my current offer, even if the position or job scope is something that I enjoy doing. They say if you take a job offering lower than what you're paid now, your new salary will serve as the benchmark for your next jump. Really?
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Interesting, im not sure about this tbo.
But based on previous experience, it could be. Due to some company asking for payslip , some they don't.

There's reason when your friend telling you this, it could happen.
HumbleBF
post Aug 13 2022, 06:54 PM

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That is true that new salary = your current benchmark. I've joined a MNC company from another MNC company and they can only give MAX 35% of what my previous pay was. I was told that as my ex-manager is at my new company and he told me he can't go any higher as this is the company's policy.

Even though what I'm having now is in the lowest category among all others they hired...
Mavik
post Aug 13 2022, 07:17 PM

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QUOTE(pastafreak26 @ Aug 13 2022, 11:58 AM)
Doesn't feel like the title is properly worded. Here's some context. Writer with 2-3 years experience, currently averaging around 7-8k in salary. Recently accepted a managerial position. Job has steep learning curve with zero room for error. Furthermore, found out managerial position is actually just customer service in disguise, huge huge disconnection. 1 week training + 2 weeks of work later, one day boss and HR comes with a performance plan hinting about laying off if no improvement is demonstrated in the few weeks to come. Have since explored the job market and attended 1-2 job interviews, nothing exciting or fitting, just actively preparing plan B when shit hits the fan. So far, the companies I interviewed at are offering significantly lower than what I am earning now. One company even slashed asking salary to RM3k.

Consulted friends and ex-workplace mentors and they have all urged me to not accept jobs lower than my current offer, even if the position or job scope is something that I enjoy doing. They say if you take a job offering lower than what you're paid now, your new salary will serve as the benchmark for your next jump. Really?

What am I supposed to do then? Thankfully no financial commitments, but not exactly the type of person who wants to sit around unemployed for a long time. A little scary to be unemployed in a time when everyone you know is either jobless or financially struggling.
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Yes it will, I went through the same mistake 8 years back and it has been my biggest regret of career choice ever.
SUSCoolStoryWriter
post Aug 13 2022, 07:43 PM

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My case was different i went from 6k to 4k then 7k.

But its really risky and god only know. DONT DO IT.
mataharih
post Aug 13 2022, 09:43 PM

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Don’t do it…unfortunately, most workplaces will look at your most current salary to calculate your offer. You’re better off trying to find another position with the same salary.
TSpastafreak26
post Aug 14 2022, 02:27 PM

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Oh wow, thanks for the advice guys. Didn't know this is a thing... Truly appreciate the candid opinions.
SUSBlackagar Boltagon
post Aug 14 2022, 02:33 PM

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Why not return to your writing job of rm7k?
TSpastafreak26
post Aug 14 2022, 02:48 PM

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QUOTE(Blackagar Boltagon @ Aug 14 2022, 02:33 PM)
Why not return to your writing job of rm7k?
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That would have to depend on whether I can successfully find a writing role that offers that much, as creative talents are underpaid here. Sadly, there's a part of me the regrets taking up my current job because of the kerfuffle that is happening. All things said, will most likely reject the offer that slashed my salary by so much and continue looking for something that can afford to pay me the figure that I'm currently earning.

sweet_pez
post Aug 15 2022, 11:56 AM

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QUOTE(pastafreak26 @ Aug 13 2022, 11:58 AM)
» Click to show Spoiler - click again to hide... «

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Sadly that's the situation where yes, most companies generally take yr latest salary package as benchmark because that's what you're getting at the moment.

The job market is a little unsteady at the moment. The ones hiring doesn't mean they're entirely doing well/ expanding. Definitely continue to job hunt, and if you're really desperate perhaps give yourself a small margin of lower % that you can accept (ie. 5-10% lower if the right job offer comes in). Once they offered to you, try to nego for them to meet your pay. If they ultimately still couldn't then it's in your hand whether to take it up or let go.

In the meantime you're job hunting, negotiate with current company to give you time to meet your KPI. Try to prolong the "laying off" and see if you're able to hold them off for few more weeks or a month. But of course, you'll have to do your homework to come up with a good improvement plan.
ongss
post Aug 15 2022, 01:03 PM

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If still in the same industry, same field and similar role, yes, most employers will use last drawn salary as the benchmark and have the policy of not exceeding 20% - 35%.

If different roles and different fields, it is quite unlikely. If you faced such a situation, just tell the interviewers that you opted for lower pay previously in order to capture the oppotunities and learn new skillset.

On the other hand, in order to excel yourself in the career path, you have to make sure that your skills and experiences are in demand. Prospect employers locate you by paying head-hunters to search. If your skills are common and you have to constantly look for another opportunity to get your increment, then, you are subjected to this sort of benchmarking.
coolguy_0925
post Aug 15 2022, 04:15 PM

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QUOTE(ongss @ Aug 15 2022, 01:03 PM)
If still in the same industry, same field and similar role, yes, most employers will use last drawn salary as the benchmark and have the policy of not exceeding 20% - 35%.

If different roles and different fields, it is quite unlikely. If you faced such a situation, just tell the interviewers that you opted for lower pay previously in order to capture the oppotunities and learn new skillset.

On the other hand, in order to excel yourself in the career path, you have to make sure that your skills and experiences are in demand. Prospect employers locate you by paying head-hunters to search. If your skills are common and you have to constantly look for another opportunity to get your increment, then, you are subjected to this sort of benchmarking.
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Just sharing since I read the above

The recruitment firm who called me up told me current market rate is only 10% to 15%

I was like... yawn.gif
GambitFire
post Aug 15 2022, 04:29 PM

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QUOTE(coolguy_0925 @ Aug 15 2022, 04:15 PM)
Just sharing since I read the above

The recruitment firm who called me up told me current market rate is only 10% to 15%

I was like... yawn.gif
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Yup same here I was told by recruiter average increment when changing jobs now is about 15%..max 20%.. if its similar role and industry. Apparently job market is slowing down abit now compared to the last 6 months when it was hot. So if you're getting more then 20%, consider pretty good
ongss
post Aug 15 2022, 05:14 PM

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QUOTE(coolguy_0925 @ Aug 15 2022, 04:15 PM)
Just sharing since I read the above

The recruitment firm who called me up told me current market rate is only 10% to 15%

I was like... yawn.gif
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10% - 15% usually is for job hoppers that frequently change their jobs, like every year. 20% - 35% usually is for candidates with consistent and solid track records.

If you don't mind I ask, how many years you have worked? And, for how many employers? Based on this info, I probably can find out whether the recruiter quote you correctly.

This post has been edited by ongss: Aug 15 2022, 05:16 PM
coolguy_0925
post Aug 15 2022, 05:25 PM

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QUOTE(GambitFire @ Aug 15 2022, 04:29 PM)
Yup same here I was told by recruiter average increment when changing jobs now is  about 15%..max 20%..  if its similar role and industry. Apparently job market is slowing down abit now compared to the last 6 months when it was hot. So if you're getting more then 20%, consider pretty good
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QUOTE(ongss @ Aug 15 2022, 05:14 PM)
10% - 15% usually is for job hoppers that frequently change their jobs, like every year.  20% - 35%  usually is for candidates with consistent and solid track records.

If you don't mind I ask, how many years you have worked? And, for how many employers? Based on this info, I probably can find out whether the recruiter quote you correctly.
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Recruiter is at hiring side, agree? brows.gif

At the end of the day, they want to close the case and if candidate asked for too much (or beyond budget) case not closed and they don't get paid

Even said that I will lose the opportunity if I push too hard

Well, isn't this is the only time to negotiate rather than regretting after joining?

Turned out hiring manager willing to give me the range ongss quoted

Never ask, never get
TSpastafreak26
post Aug 15 2022, 05:37 PM

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Hi guys, thanks for the guidance, truly.

Thank you sweet_pez for the kind words! Appreciate the wisdom about how every company is hiring is not necessarily thriving or performing. As it stands, my current company seems to fall in that category...

Unfortunately for my layoff or inevitable fate, it looks likely that they won't extend my PP. Despite my best attempts to show my improvement and negotiate for another week extra for leeway, they're not budging. It would however, be a miracle if I am still with the company week after next... Thankfully, I do have a part-time job that supplements me with a basic income to do things. Will just ride out the week and next week (hopefully) to perform to my best.
MeToo
post Aug 15 2022, 05:41 PM

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in general, new job WILL use your old salary as benchmark especialyl IF they are in the same field/same job description.

In certain niche market, things can behave very differently, for example my last move was a 100% increase with the understanding that I'm joining a competitor and my job is to bankrupt my old company/dept.
ongss
post Aug 15 2022, 05:59 PM

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QUOTE(coolguy_0925 @ Aug 15 2022, 05:25 PM)
Recruiter is at hiring side, agree? brows.gif

At the end of the day, they want to close the case and if candidate asked for too much (or beyond budget) case not closed and they don't get paid

Even said that I will lose the opportunity if I push too hard

Well, isn't this is the only time to negotiate rather than regretting after joining?

Turned out hiring manager willing to give me the range ongss quoted

Never ask, never get
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Here are some stories to share:

(1) The clients alway attempt to offer lower ranges. But, if that ranges of salary worked, their inhouse recruiters probably already filled the roles and they don't need to open the roles for the external ones.
(2) Most of the recruitment firms have multiple clients. Any hiring sides that are offering the ranges that don't match the market - basically the recruiters will not place the priority. So, it is not true that the recruiters are at the hiring side. Why waste time in mission impossible?
(3) Time is money for recruiters. Any recruiters who submit candidates with higher expected salaries are bascially wasting everyone's time including their own time. Cases like this will result - unpleasant candidate experiences, frustrated customers and own reputations. I don't deny some recruitement firms will submit candidates just to meet the KPI and service levels specified by the clients. But, that is suicide for that firms. Afterall, one day, the customers will get fed up. Also, candidate withdrawals are part of KPI to monitor.
(4) No doubt, some recruiters just want to earn their commission and push the candidates to accept lower range of salaries. But, again, if the candidates leaves before the warranty period, the whole cycle start again. So, smarter recruiters will not do so.

So, the answer - depends what types of recruiters you encountered. I guess you probably met the right one and you got the range you wanted. Congrats.

This post has been edited by ongss: Aug 15 2022, 06:02 PM

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