Past experience

A long-time truism in successful hiring is the concept that the best indicator of a candidate’s future potential is past performance — evidence that the candidate can successfully accomplish the outcomes of the position. If a candidate was hardworking, highly motivated, and team oriented in their last job, the same is likely to hold true in the new job. Similarly, the candidate who consistently lacked enthusiasm and drive in their last position isn’t likely to turn things around in the next one.

The only caveat to this usually reliable principle: The conditions that prevailed in the candidate’s last job need to closely parallel the conditions in the job they’re seeking. Otherwise, you have no real basis for comparison. No two business environments are identical, and environment has an impact on performance. For all you know, certain systems or people in place in the candidate’s previous job may have been instrumental in their success (or lack thereof) — and you can rarely replicate such factors in your company (and may not even want to).

Interview impressions

Impressions you pick up during an interview almost always carry a great deal of weight in hiring decisions — and understandably so. Managers naturally place more trust in what they actually see and hear than in information from third-party sources. The problem with interview impressions is that they’re just that — impressions. You’re listening to answers and observing behavior, but your own preconceived perceptions and experiences almost always influence your judgment.

This doesn’t mean that you should disregard your interview impressions — only that you should keep them in their proper perspective with test results, references, and other information you’ve collected to evaluate a prospective hire.

Test/assessment results

Some people regard test or assessment results as the only truly reliable predictor of future success. The argument goes as follows: Test results are quantifiable. In most tests, results aren’t subject to personal interpretation. With a large enough sample, you can compare test scores to job performance ratings and, eventually, use test scores as a predictor of future performance.

The only problem is this: Some candidates simply don’t test well. They freeze up, which affects their ultimate scores. Other candidates may be clever enough to figure out what most tests are actually testing for and tailor their responses accordingly. So, if you’re going to use test results in your decision-making process, ensure the validity of the tests (whether they do, indeed, predict the quality of future job performance) and their legality (whether they comply with all state and federal laws and don’t result in discrimination). (See “Discovering the Truth about Background Checks,” later in this chapter.)

Firsthand observation

Call it the proof-in-the-pudding principle. Watching candidates actually perform some of the tasks for which you’re considering hiring them is clearly the most reliable way to judge their competence. That’s why more and more companies these days start out an applicant as a contingent, or temporary, worker, with the idea that if the person works out, they may eventually become a full-time employee.

Knowing what to rely on

Decision-makers in organizations with good track records of making successful hires don’t give themselves the luxury of relying solely on intuition. They use — and generally trust — their intuition, but they don’t focus on intuition as the sole basis for their judgments. The following list describes what these decision-makers rely on (incorporate them into your process):

• They have some sort of system in place. Their system is a well-thought-out protocol that assesses the strengths and weaknesses of candidates and applies those assessments to the outcomes expected in the job. They always make it a point, for example, to precede any face-to-face interview with a phone conversation. And they’ve established a set of steps that they routinely follow after they’ve interviewed a candidate.
• The system that they use, regardless of how simple or elaborate, is weighted. The system presupposes that certain skills and attributes influence job performance more than others do, and it takes those differences into account. They know, for example, that the personal qualities that underlie effective performance in sales aren’t necessarily the same ones that underlie effective performance in, say, administrative jobs.
• They constantly monitor and evaluate the effectiveness of the system. They always have an eye toward sharpening their own ability and the ability of others to link any data they obtain during the recruiting and interviewing process to on-the-job performance. If a particular type of testing mechanism is used in the selection process, the validity of the test (how closely the test results correlate with successful on-the-job performance) is monitored on a regular basis.

Setting up your own protocol — creating a scorecard

Some organizations invest a great deal of money in developing elaborate selection procedures, the express purpose of which is to make the candidate evaluation process more objective and accurate. Whether you want to go that route is up to you; the following describes the fundamental steps you must go through with all such processes, regardless of cost, to create a scorecard.

1. Isolate key hiring criteria.

   By this point in the hiring process, you should know what combination of skills and attributes a candidate needs to perform the job well and fit your company’s pace and culture. If you don’t, refer to Chapters 4 and 5.

2. Set priorities.

   You can safely assume that some of your hiring criteria are more important than others. To take these differences into account, and, depending on the nature of the particular position at issue, some employers may want to set up a scale that reflects the relative importance of any particular skill or attribute. For example, to ensure reasonable accuracy in assigning these values ask the following question: If the candidate didn’t have this skill or quality, how would it affect their job performance? The greater the effect, the higher the value of that skill or quality.

3. Evaluate candidates on the basis of the weighted scale you established in Step 2.

   This segment of the process is the tricky part. Instead of simply looking at the candidate as a whole, you examine each of the criteria you set up, and you rate the candidate on the basis of how they measure up in that particular category.

   This weighted system of evaluation considers the performance priorities unique to each of the key hiring criteria. It helps ensure that the requirements of the job reasonably align with the strengths and weaknesses of the candidate.

Say, for example, that one of the candidate’s strengths is the ability to work as part of a team. The candidate’s rating on that particular attribute may be a 5 on a 5-point scale, but the relative importance of teamwork to the task at hand may be anywhere from 1 to 5, which means that the overall ranking may end up as low as 5.

A weighted system gives you an opportunity to see how well candidates measure up against one another and how closely their skills and attributes match the job requirements. In other words, it allows you to create a scorecard. You must be careful, however. The effectiveness of this system depends on two crucial factors: the validity of your hiring criteria and the objectivity of the judgments that underlie any ratings you assign to various candidates.

Tables 9-1 and 9-2 demonstrate how a weighted evaluation system works. Notice that the candidate under evaluation in Table 9-1 is relatively weak in two hiring criteria — previous experience and computer skills — but is much stronger in the criteria that carry more weight. The candidate’s aggregate score, therefore, is higher than that of a candidate who meets only the technical requirements of the job.

Factoring in the intangibles

The really tough part of any evaluation process is attaching numerical ratings to the intangibles: those attributes that are difficult to measure but are just as critical as the tangible ones. They may involve so-called soft skills such as communication or coaching skills. They may be character or personality traits that the company desires in its employees, or beneficial for a particular position. Intangibles are, by their very nature, more subjective and more difficult to define and identify. Yet, looking for and identifying these helps you select the best fit for the job and the company.

The following sections cover those intangible factors that you commonly find in the criteria for most jobs, along with suggestions on how to tell whether the candidate measures up.

Anchor yourself to the hiring criteria

The hiring criteria based on the outcomes of the job in the position success profile that you establish from the beginning should serve as your strict guide throughout the evaluation process. If, in looking ahead, you decide to change the criteria, fine. Just make sure that you aren’t changing criteria simply because you’re enamored with one particular prospect and decide to change the ground rules to accommodate that candidate.

Anchoring yourself to hiring criteria helps to prevent three of the most common pitfalls in hiring:

• The halo effect: Becoming so enraptured by one particular aspect of the candidate — appearance, credentials, or interests, for instance — that you let that aspect influence all your other judgments
• The cloning effect: Hiring someone in your image even though someone with your particular mix of skills and attributes clearly isn’t qualified for that particular job
• How much you “like” the candidate: Hiring someone because they’re friendly and “likeable” versus evidence that they’ll be successful

Take your time

The more pressure you’re under, the greater the likelihood of rushing the decision and ending up with someone who not only isn’t your best choice but whom you’re also probably going to end up firing — with all the disruption that firing someone entails. Keep in mind the main pitfall of acting out of urgency: You overestimate the qualities of candidates who may be only marginally qualified to fill the job. If you’re worried about finding someone right away, see whether you can bring in a temporary replacement to keep projects on track as you continue the search.

Cross-verify whenever possible

Whatever else they may disagree on, most hiring experts contend that you can never have enough information from enough different sources. So, try not to rely solely on any one source, whether interview impressions, résumé data, reference checks, or assessment data. Cast a wide net and pay careful attention to discrepancies.

Get help, but avoid the “too many cooks” syndrome

A smart practice — particularly when filling a key position — is to get input from others before you make a final choice. Involving too many people in the final decision, however, is a mistake. If too many people have a say, the likely outcome is a compromise choice. Instead of getting the best employee, you end up with the candidate who’s the least objectionable to everyone.

Try to restrict your circle of decision-makers to three to five people who understand the job, your company’s culture, and the personality and working style of the potential hire’s manager. As I discuss in Chapter 8, you can gain these additional perspectives on candidates by holding multiple and panel interviews. When it comes time for the final decision, these same people can help you choose the best applicant.

Don’t force the issue

The recruiting process sometimes uncovers a “dream” employee — except for one problem: The candidate’s skills and attributes don’t match the hiring criteria of a particular job. The best thing to do if you find yourself in this situation is to see whether you can find another job in the company that better suits this particular candidate. The worst thing that you can do is try to put a good worker in the wrong job.

Avoid the “top of mind” syndrome

Do your best to stay alert to any extraneous factors that may distort the selection process. Employers tend to choose some candidates over others, for example, not because those candidates are more qualified but because they’re interviewed later in the hiring process and are fresher in the minds of the interviewer. The best way to avoid this pitfall is to keep your focus on the hiring criteria, no matter what.

Checking hard-to-check references

Getting a candid reference from an employer can be challenging because previous employers, who know that both saying too much and saying too little can have legal consequences, are increasingly wary of being specific about past employees and their work histories. Although companies have been sued for not disclosing enough information about former workers, others have paid enormous settlements because they provided negative references — whether true or false.

Because of these difficulties, rushing through the reference-checking process — or bypassing it altogether — to make a quick hire may be tempting. But getting reliable information from former supervisors and peers is an important task to complete before selecting someone as an employee of your company.

Here are some tips on approaching this often-difficult process. Like much of the advice in this book, these tips apply to you directly if you’re the hiring manager; if you’re not, they’re for you to communicate to line managers who are spearheading the hiring process in your organization.

• Let the candidate know that you check references. Be clear with candidates from the outset that your organization will be checking their references. Checking references is perfectly legal as long as the information being verified is job related and doesn’t violate discrimination laws. Informing applicants that you’re checking usually helps ensure that the answers they give you during the interview are truthful, especially when you start the interview by saying, “If we’re interested in you, and you’re interested in us, we’ll be checking your references.”
• Don’t delegate it. If the employee will report directly to you, you should check the references. No matter how thorough a delegate or deputy may be, the hiring manager will have corollary questions that may not occur to others. Also, calling someone at your same level may establish greater camaraderie that can prompt a more honest and detailed reference. Furthermore, checking references yourself is a great way to gain insight from a former supervisor on how best to manage the individual. If you lack the time to do the complete job, then compromise by assigning just part of the reference checking to capable coworkers in your group. Handle one — preferably, two — yourself.
• Use responses from the interview. Asking candidates during the job interview what their former employers are likely to say about them can provide you with a good starting point for getting the former employer to talk openly. You can start out by saying something such as, “Joe tells me that you think he’s the greatest thing since sliced bread,” and have the employer take it from there. You may not get a totally frank answer, but you can get valuable comments and insights. After all, candidates must assume that you’re going to check out their answers.
• For the best responses, pick up the phone. The best way to communicate with references is via phone. Emailing companies is usually ineffective. Calling gives you an opportunity to ask spontaneous questions based upon what’s said in response to one of your primary questions. You can often detect enthusiasm, or lack of it, if you pay attention to tone of voice.

The online tools include Sample Reference Check Questions you can use when contacting a candidate’s references.

Using your own network for checking

You don’t need to limit your search for reference information to only those people the applicant suggests. You may find people in your own circle of professional acquaintances or friends with firsthand knowledge of the candidate who probably aren’t as reluctant as a former employer may be to level with you. Also, ask the candidate’s references for names of other individuals you may contact for information.

Try to be fair, however, if you get information that puts the candidate in a bad light. Try to get verification from one or two other sources, just to make sure that what you’re hearing isn’t sour grapes from one specific individual.

Online reference checking: Proceed with caution

Advances in technology and more sophisticated online search capabilities have increased the popularity of reference checking via the internet. The practice will undoubtedly grow as more record holders create databases that employers can easily access. (See the next section.)

Everyone knows about the practice of searching for a person’s name online to see what comes up. Social media offer other means of accessing information online. Some employers also access blogs and personal websites. My recommendation here: Proceed carefully. Although this approach can reduce costs and sometimes yield faster results, you also must understand that much of the information on a candidate you discover can be either erroneous or irrelevant. A person’s digital footprint also can reveal facts that are illegal to consider in a hiring decision, and your company’s review of online information can raise privacy concerns. The same legal constraints that govern interviewing apply to reference checking. Online reference checking should be viewed as a complement to, not a replacement for, traditional methods. A web search is no substitute for personal assessments of the work quality and professionalism of candidates that carefully selected individuals can offer. Inaccuracies exist in many online data records, and some forms of investigation require written permission from the applicant and are subject to other legal limitations.

Understanding the basics: Background checks 101

Background checks are conducted by authorized parties such as the federal government or private companies and organizations. They should be conducted in compliance with all applicable laws that govern both the employer and the authorized party conducting the search.

The process typically includes the following:

• A request for information from the applicant
• A review of any documents submitted by the applicant
• A search of government records and databases

The contents of a background check vary depending on the industry and the type of job an applicant is seeking, as well as the employer’s preference. The most common background checks consist of criminal history, education, and previous employment verifications. These reports can also include results of pre-employment drug testing. The goal is for an employer to feel confident a new hire will not bring foreseeable trouble to the workplace.

Please note that this is an area in which to seek legal guidance, as California and many other states prohibit the use of credit reports in hiring decisions except in narrow circumstances.

Recognizing the different types of checks

Many different kinds of background checks can be run on job applicants. A check can include any combination of the following:

• Social Security number trace and address history: Doing a Social Security number trace and getting an address history comprise the starting point for any reliable background check. They allow you to confirm that your candidate is who they say they are. These checks reveal where a potential employee has lived and worked and provide other names or aliases connected with the candidate to check during the criminal screen.
• National Criminal Records Database search: This is useful for finding out whether applicants have committed a crime outside of the state or county where they live and work. Also known as the NCRD, the National Criminal Records Database includes hundreds of millions of records that can be searched quickly.
• Federal criminal records database search: A federal criminal database search pulls records from all U.S. federal courts and returns any violations of Federal laws. Federal violations include white-collar crimes, fraud, embezzlement, tax evasion, illegal sale of firearms, pornographic exploitation of children, and so on. Because of the nature of these crimes, federal criminal background checks are often performed on C-level executives, CPAs, financial and banking staff, and other employees with access to financial information.
• County/statewide criminal records checks: Most crimes are prosecuted at the state and county level, making the county/statewide criminal history checks a frequently used search. Statewide criminal checks search state criminal repositories (databases) for criminal records. These databases typically contain felonies and misdemeanors committed by an individual. All felony and misdemeanor crimes (which make up most crimes) are tried at local jurisdictions and filed in county courthouses. These records are housed in the 3,200+ counties in the United States and contain the most accurate and up-to-date information.
• Federal and state fingerprint-based checks: A fingerprint background check can show Criminal History Record Information (CHRI) if a match is found. Fingerprint-based checks are frequently conducted as a part of the pre-employment background checking process and are mandatory for such employers as law enforcement agencies, fire departments, hospitals, airports, and public schools. Fingerprint-based checks are also required for certain types of professional licenses, including licenses for attorneys, realtors, physicians, brokers, pharmacists, and casino workers.
• Credit report check: Credit report checks obviously check credit and cover a lot of personal information including present and past addresses, Social Security number, as well as any present or past debts, payments, and late payments. As noted previously, this is an area in which to seek legal guidance because California and many other states prohibit the use of credit reports in hiring decisions except in narrow circumstances.
• Education verification and credentials check: You can also verify the educational background and professional credentials of applicants. With an education verification, you can confirm whether the applicant has received the diplomas, degrees, and certificates your positions require. An education verification allows you to see every educational institution the applicant has attended, attendance dates, and any diplomas, degrees, or certificates that were awarded. For positions requiring professional licenses, you can also request a professional license and credentials check. This type of check reveals whether the person has the required licensure and if their license is current, valid, and in good standing.
• Employment verification: While a job candidate will likely disclose their past work experience on their résumé and job application, conducting a background check that includes employment verification allows you to be sure they have the experience they claim to have. This includes checking their past job titles, time frame of employment, salaries, and more.

• E-Verify: E-Verify is an online system created and operated by the United States Department of Homeland Security. Employers use E-Verify to determine their employees’ U.S. citizenship or right to work for a company in the United States. This ensures that employers uphold employment laws and refrain from receiving legal repercussions or loss of business.

  While E-Verify technically isn’t a background check, it’s a system enrolled employers can use to verify the eligibility and identity of an employee. This check is performed online and compares information supplied on the I-9 form with government records. There are a few key differences between E-Verify and the I-9 form. Form I-9 is required for all employers, but E-Verify is voluntary for most.

Wading through the murkiness of background checks

Many factors contribute to the complexity of background checks:

• No central information source: It may come as a surprise to you that no single, national source of information exists for most types of background checks. Criminal records, for example, are generally maintained by individual states or counties, many of which don’t store them electronically.
• Possibility of flawed data: Another issue is reliability. Even the most comprehensive checks yield flawed or incomplete records with greater frequency than some employers realize.
• Need for retesting: The frequency with which you conduct background checks must also be a factor in deciding whether to use these methods for evaluating prospective new hires. Academic credentials must be verified only once, but a drug test or criminal background check can become out-of-date almost as soon as it’s conducted.
• Legal restrictions: Further adding to the complexity of conducting background checks on job candidates are federal laws governing them, as well as state laws that can vary considerably from one to another. For example, if your company uses an outside agency to furnish background information, you may be required, under federal law and the laws of some states, to provide applicants certain disclosures and get their permission before the background check can take place. As a result, you may want to consider seeking legal advice before you even request some types of checks.
• Technology not keeping up: Although technology makes background checks easier to some degree, obtaining reliable information can be much more difficult than most people recognize. The apparent ease of accessing information online obscures the fact that the quality and completeness of the underlying information may not have kept pace with the technology. Many records simply aren’t available electronically and are accessible via paper-based systems only. And many of the databases that do exist aren’t updated frequently.

The online tools include A Summary of Your Rights Under the Fair Credit Reporting Act that may be useful during the background-check process.

Conducting background checks: Yes or no?

Conducting background checks frequently isn’t a simple matter. But that doesn’t mean that they aren’t useful tools when pursued appropriately. Whether to conduct a background check depends mostly on the nature of your business and the position for which you’re hiring. In limited cases, you don’t have a choice because federal and state laws require background checks for certain jobs. But for most positions, the employer determines the need for investigation.

You need to weigh many questions, including the following:

• Is the job highly visible, such as a senior executive or someone who will be in the public spotlight?
• Does the position involve working with children or the public?
• Do you have a specific suspicion or concern about a candidate?

The list goes on, but the point is that no formulas or universal criteria dictate whether background checks are necessary or appropriate for a position or an organization. Unless the law requires a check, only you can determine what’s right for your business.

Similarly, you shouldn’t assume that staffing companies perform background checks. Most staffing firms don’t routinely conduct background checks. If a background check is required, the staffing company will likely have you work directly with a firm that specializes in this area. Although staffing companies are very good at what they do, they don’t specialize in this type of investigation. Given the complexities, you want a firm that does specialize in background checks.

The logistical and legal complexities alone shouldn’t determine whether you conduct a background check. Although risk is involved (in addition to the time and expense) when businesses conduct checks and obtain erroneous information, businesses also can invite problems if they fail to adequately evaluate candidates. The decision is yours to make, and the key is to understand the role and understand the risks.

Using outside expertise for background checks

Because of their complexity, background checks require unique expertise. If, after weighing all the factors, you decide to conduct a background check on a job applicant, employ the services of a third-party investigative agency. Not only is it difficult for a nonexpert to conduct a thorough search, but you’ll also likely need assistance in navigating the legal restrictions, which aren’t always obvious or commonly known. Laws, for example, govern how information obtained during a background check can and can’t be used in your hiring decision — and whether certain information may be collected in the first place. The best choice is to retain a firm that specializes in performing these services.

Go in with your eyes open. If performed properly, background checks can be much more complex than many people realize. Conducting rudimentary searches on your own just to “cover all bases” is unlikely to yield accurate and useful information. That’s why your decision to conduct a background check should be based on the unique needs of the position and your business, and a reliable firm should conduct the check. It also should be consistently applied to all positions that fall into this category.

Don’t delay

A slow recruiting process is one of the most prominent reasons why hiring organizations miss out on quality candidates. According to global talent services company Morgan McKinley, 48 percent of job applicants decline a job offer because the hiring process took too long. If you hesitate and delay making a hiring decision, your ideal candidate may have accepted another offer if they’re engaged in conversations with multiple organizations.

If possible, contact the candidate you want to offer the job to shortly after their final interview (one to two days after the interview). That’s a great way of showing that you’re genuinely excited to have them on the team, while at the same time easing the candidate’s stress and anxiety that naturally follows a job interview.

Make an offer over the phone

Before you write the official letter, call the candidate first to ensure they’re still interested in the role. They may have accepted a different role or want to withdraw their application for other reasons. Not only is this your chance to confirm that they’re still interested in joining your organization, but it’s also a prime opportunity to discuss the offer in more detail and determine whether any negotiation is needed around the compensation you have outlined.

Calling a candidate and offering the job over the phone expresses your enthusiasm. After all, making a job offer is exciting to both sides and should be a memorable experience. It’s hard to convey your excitement via an email. Remember, the professional relationship starts before the first day, and this is a great opportunity to further connect with the potential new team member!

You should establish a salary range for the position even before you begin recruiting (see Chapter 5). This parameter can help you stay within your budget should you need to negotiate. (In Chapters 11 and 12, I discuss the details of salary and benefits and what constitutes an effective compensation structure.)

Prepare and send an official offer letter

Most companies make job offers verbally by phone and then follow up with an official letter or email. Making the offer by phone rather than waiting to get the candidate back into your office avoids having too much time elapse between the interview and the offer. Make sure that you have a standard job offer letter as a template that you can customize and that you clear the template with legal counsel.

Include the following in the offer letter:

• The candidate’s full name
• What their official job title will be
• The formal start date (and the end date if it’s a temporary position)
• Whether there are any conditions the offer is subject to
• Any actions that the candidate needs to take prior to starting

Some organizations ask candidates to sign a duplicate copy of the job offer letter as an indication of acceptance. The signature confirms that the candidate understands the basic terms of the offer. If you’re making a job offer contingent on reference checks, a physical examination, drug and alcohol testing, or background checks, make sure that the offer letter says as much and the candidate understands and accepts this restriction.

See the Offer Letter to a Prospective Employee in the online tools.

Set a deadline

Set a time frame of when you expect to hear a decision from the candidate. Generally, a week is plenty of time for them to think about everything, but don’t rush them; it’s a big decision! If the candidate is happy with everything on the offer letter after checking that all details are correct, they should sign the letter, make a copy of it (so they have one for their personal reference), and send a signed copy back to you.

As an employer, you should keep their signed letter on file in case there are any disputes in the future. It’s important to remember that this is not a binding contract of employment and that either side can still back out.

Stay connected

While a candidate is considering an offer, you or the hiring manager should stay in touch with or have individuals from the interview team contact the candidate if you’re using multiple or panel interviews. The purpose is for you to reinforce your enthusiasm about the candidate potentially joining your team.

Know how to negotiate salary

You've found your ideal candidate, and you’ve made an offer. Depending on your candidate’s response, you’ll face one of three scenarios:

• Your candidate accepts your offer. You finalize important details and mark the position as filled. You provide the candidate with the appropriate details and information needed to move forward.
• Your candidate declines your offer. You have several options depending on your workload, preference, and company policies. You can cut your losses and move on to the next candidate. You can ask candidates for more information, or you can ask to match a competitor’s offer.
• You begin the salary negotiation process. Many recruiters and candidates see the negotiation process as a zero-sum affair (if you win, I lose). In reality, a successful negotiation is more closely related to adjusting the dials on your radio. You’re looking for the right mix of salary, compensation, and benefits.

Candidates have more power than ever before with compensation, and they know it. They have access to an abundance of information on salary negotiation, so most enter the meeting knowledgeable on the topic. To reach a fair deal, you need to be equally prepared.

In addition, be prepared for the candidate to receive a counteroffer from their current employer. If the applicant is a highly skilled professional, chances are good that their current employer will do everything possible to hold onto them. The prospect of losing a key team member is not attractive; beyond the costs and length of time to replace an employee who resigns, a skills hole is left in their wake, and their departure may cause a feeling of instability across their team. With this in mind, the current employer may react to the news by promising your prospective new employee more money, more responsibilities, and/or more freedom in their day-to-day activities if they stay. This is known as a counteroffer.

Decide how far you’re willing to go in negotiating salary

The first step is not unlike that in any other form of negotiating. If the candidate suggests a higher figure than you’ve offered, you can choose to raise the amount of your proposal or stick to your guns. If the candidate keeps pushing, whether you want to exceed the established range generally depends on two factors: how badly you want the person and the policies and precedents in your company.

Ask yourself three questions before you start promising the moon:

• Are other, equally qualified candidates available if the applicant says no? If the answer is yes, the leverage to make accommodations rests with the organization.
• Has the job been particularly hard to fill, or are market conditions making finding and recruiting suitable candidates difficult? If the answer is yes, the leverage rests with the candidate.
• Will a stronger offer be significantly out of line with existing pay levels for comparable positions in your company or hiring manager’s department? As I discuss in Chapter 11, the lack of a reasonable degree of internal equity in compensation levels diminishes the spirit of teamwork and fairness.

Recognize that if you decide to go beyond the firm’s pay scale to win a stellar candidate, you risk poor morale among existing staff should they find out that a new hire in the same role is being paid at a higher rate. You also risk internal equity issues. Paying above scale may create a legal issue if the pay isn’t equitably distributed among the members of your workforce.

If you’re not able to match a candidate’s salary request, consider expanding other components of the total rewards package (see Chapter 11 for more detail). Applicants often are willing to compromise on base compensation if concessions are made in other areas.

Providing additional time off may be acceptable to a candidate in lieu of higher wages. Also, consider a signing bonus (see the nearby sidebar) or a performance-based bonus after a specified time period (see Chapter 11).

Know when to draw the line

Some HR experts insist that you shouldn’t push too hard if a candidate isn’t interested. Probing a bit in order to find out why they’re being hesitant isn’t a bad idea, though. Try to identify the source of the problem and make reasonable accommodations.

But don’t get so caught up in negotiations that you lose sight of what’s appropriate for your organization. Sometimes you just have to walk away. If your attempts to woo a reluctant candidate fall short, the best thing to do in many cases is to cut your losses and look somewhere else. It may well be that the candidate knows something about themself that you don’t know, so don’t push too hard. The goal at this point should be to end the process so that the candidate leaves with a feeling of being treated fairly and with dignity.

Clarify acceptance details

If a promising candidate accepts your final offer, congratulate yourself! You’re helping to build a strong team for your business. But before you break out the champagne, you still need to take care of some details. Make sure you clarify the acceptance details of the offer, including the following:

• Position title
• Hiring manager’s name
• Salary (including bonus or commission information) and benefits eligibility
• Paid time off (and eligibility)
• Start date
• Schedule (expected start and end times)

Stay in touch

Even after a candidate accepts your offer and you agree on a starting date, keeping in touch with the new employee is a best practice to keep them engaged before the start date. The more you can stay connected through regular communication, the more excited the person will be about working for your organization and the more confident they’ll be in their decision.

Two to three weeks is the customary time between an acceptance and start date. Most people who are changing jobs give a standard two-week notice to their former employer. For those who want to take a few days off before starting their new job, a three-week interval is not unusual. Use the transition period to mail off all those informational brochures and employment forms and to schedule a lunch or two, if appropriate. You want to subtly help the new employee transfer loyalty from their old employer to you and to make dismissing any other offers that may surface from prior interviews easier for the person you now want on your team.

The onboarding process begins in the recruiting process as you’re building a relationship with the candidate. It’s important that there’s no sense of wasted lag time between acceptance of a job offer and the candidate actually starting work. Take advantage of this time to get a head start on certain tasks and to begin cementing what you hope will be a positive and long-lasting relationship. Provide the new hire with a copy of an employee handbook and any other materials that are helpful to review in advance. Stay in touch and ask whether any additional questions or concerns have cropped up prior to the first day of work. The more you can accomplish during this time, the greater the sense of connection and involvement the new employee will have. That makes a solid start all the more likely. At the same time, if you plan to have nonexempt employees perform any tasks to prepare for their first day of work, it’s a good idea to check with a lawyer to see whether the tasks you’re assigning are compensable.