I'm being lowballed. What should I do?
The company I used to work for recently shut down and I just received my first offer from a sizeable unicorn.
I am being massively low-balled (20% cut). And on top of it, it's an exploding offer.
I have a couple of interviews lined up (they start after May 28th) but at the moment, this is the only offer I have.
What should I do?
-
Hard negotiate? Leave the offer on the table if it doesn't work out.
-
Soft negotiate. Get the offer. Interview with other companies and try to get a better offer before joining (feels wrong)
Things to consider:
- I have 10+ months runway
- Last cash comp was 24L at 2.5YOE
I'm leaning towards 1.
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Suffering from success. 24L base for <2.5 yoe was already high. And that’s the reason why u have so much runway. Good luck on whatever u decide.
"Suffering from success" sounds very wrong, 24 at 2.5 yoe is standard at product companies if you are decent
Salaries have corrected a bit. Just few days ago another guy from uber with 67 ctc posted same hardship to switch at similar compensation. So basically ur choices are very limited and either u get a job in those companies or stay trapped. Btw his company shut so I am guessing they offered high cash component on VC money, otherwise this high cash component is only in few paymasters - which his company was not.
Dude soft negotiate and take the offer irrespective of them changing it or not. If something better comes up, you simply ditch this offer and take another one.
There is no right and wrong when it comes to business. If a company has audacity to lowball you, its completely fine for you to keep it as an open option while you try finding something that really works.
Objectively, this makes complete sense. It just gives me a lot of anxiety
Dont worry too much. Even if nothing interesting comes up in a month or so, you can take 20% pay cut as its no big deal in the current marlet conditions. Lets assume you find another job paying better in 2-3 months, you can easily take that up. Short stints are forgiven in the current market.
By any chance, if you end up working for this salary for a longer time, when the market starts catching up and gets to the peak, trust me this 20% is not going to make a dif as you get 50-100% hikes depending on your skills and portfolio in those markets. So chill and dont take life too seriously when its only 4lacs at stake. In true sense, it's only 2.8 lacs after taxes and it wont be a life changing amount for you.
2.8 is like a couple of trips to thailand. You can live without it for a year.
I don’t think it’s a lowball offer. Except for few very well funded startups which overpay for experience similar to yours, I think the current market rates are what are offered right now. I don’t think you’re being low-balled. I think your salary is being corrected.
I know this thing. When I was laid off from my previous company, I cracked Google, but they offered me 26% less than what I used to make. I took that selection email and used it to shop for more. Had to shop 5 offers to land 32% hike. It's hard but not impossible.
I had a CTC of 23 LPA, and later had to take CTC of 17 LPA with the thought of getting a better package, but I somehow settled well enough and in no rush to change. It's upto you whether you want to go for a immediate jump else won't join it or maybe you'll search something side by side. 10 months runway is almost zero, coz as soon as you'll be jobless for 3-4 months ( god forbid) a panic will be there and also you can't unsay the unexpected expenses.
Good luck.
Go to glassdoor or ambitionbox to check salary for same role / exp in the Company. If it's the same as what your offer is - then you are not low balled.
Even if you were to consider 20% cut as a step down, quantitatively it's 1 year of step down. At 2.5 YOE it's no big deal
Ultimately the decision to take or leave should be based on how they communicated this to you (did they inform you after everything was done, or was the salary range communicated up front) and your assessment of what the work is going to be, and if the culture is aligned with yours.
i’d say nothing bad abt option 2. Most companies by default don’t care about you, you should do what’s best for you!
Was going through comments and folks have mentioned 24 at 2.5 is too much/ too high.
I’m very surprised by that to be honest. If you are good at what you do this seems like a top 20% bracket of the CTC at that experience.
Not to discredit anyone’s views but want to understand the market better. For someone who graduated from tier-1 college and is doing better than 80% of his/her peers. Do you still think this is too high at 2.5 yoe.
To address your options pick 2, ask for sometime to join mentioning that you want to regroup yourself and stuff.
Don't feel bad about anything, ditch companies for higher packages they will ditch you in one blink for cheaper candidates
Bro the title is very very misleading, atleast change it yaar, 24 yr 24l is not low balling