5 reasons employers shouldn’t make lowball offers….


5 reasons employers shouldn’t make lowball offers….

Date: 17 Aug 2022

Imagine rocking up to the gas station where the petrol is listed as being $2 bucks a litre, then saying you’re willing to pay a buck fifty. What do you think the response will be? “Next car in line please” most likely. Well, the same goes in the job market.

We get it…. Employers all want to make sure that they maximize their bottom line. Obviously, wages are a huge cost to service companies and directly impact the bottom line.

However there are certainly times when skimping on wages can hinder a business, especially when it comes to new hires.

1. Revenue degradation

Profit is a function of both revenue and cost. The revenue of a service firm is purely driven by the staff of that firm. Skimping on staff is likely to skimp on revenue

2. Staff will vote with their feet

You may think you got a great deal by lowballing a candidate in a bear market cus they’re desperate for a job. However, when the market improves, do you actually think they’re going to stick around when there are better offers out there?

All the time, effort, and cost of training that staff member goes out the door with them too.

3. A bad look for your business

Lowball offers is a clear sign of weakness. Really good candidates will smell this a mile off and will not take you seriously. It’s a tight-knit industry and they will probably spread the word.

4. Top candidates are not desperate

Top candidates are always in high demand regardless of market conditions. Even if they just happen to be unlucky enough to have been let go, through no fault of their own, by a company that is failing. They’ve usually got a substantial net worth to ride out a storm. They’ll also have plenty of interest from other good companies… who are probably your competition.

5. Put yourself in their shoes

Above all, put yourself in their shoes… how would you feel if you got a lowball offer like that?

You’ve dedicated years of your life to mastering your craft. You’ve been upfront about your remuneration expectations. You’ve invested your time and energy in the interview and testing process, then after all that the goal posts are moved and you get a time-wasting low ball offer…

It’s definitely going to leave a bad taste in your mouth and a very bad impression of the business.


At the end of the day, nobody is a winner from lowball offers.

The candidates will probably not accept, if they do, they’ll be outta there at the first available opportunity. It just turns out to be a waste of everyone’s time and money.

On top of that, they will probably spread the word amongst their industry colleagues that this business isn’t to be taken seriously.

You don’t want to throw your money away, but at the same time, you don’t want to be known as the cheapskate on the block(chain).

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