Is it really that bad out there?

An industry friend, who is the General Manager of a small, specialty sport distributor, sent me an interesting email last week:

Desperation seems to have made it to this [specialty] industry. Maybe it's been going on for a while and I just didn't have an opportunity to witness it first hand. But I have been surprised by some recent events.

I had to let a couple people go at my company recently. In my efforts to find replacements I have been stunned by the complete disregard for discussion or negotiation of salary or benefits by the applicants.

Some have tried to posture early in the discussions when I ask what their salary requirements are. But when I give them an idea of the pay range for my open inside sales positions, even when it's half of what they used to make, they say they will take what I'm offering ($30k plus $10k potential commission).

I interviewed someone yesterday who was over qualified for the position. I told him so when I spoke with him on the phone initially. But I invited him in to meet and discuss potential future opportunities - when I have a need for someone of his experience.

We talked. It was a good meeting. When I was wrapping it up, he just came right out and said, "I don't care what the salary is ... I'd like to pursue your current opening."

He was making $85k at his last job and he was willing to take what I was offering, which was less than half his previous pay. He didn't negotiate or ask about benefits.

I've interviewed four applicants. Not one has tried to "up sell" themselves, asked a question about benefits and, if relocation is necessary, would we pay any of the costs.

The basic attitude is - make me an offer, any offer - I'll take it!

Is it really that bad out there in this [specialty] biz?

My friend is a thoughtful, experienced professional with a good heart. I have several reactions to his rhetorical question and the implied questions he's not asking directly.

Here are my responses in no specific order:
1. People who are enthusiasts within a specialty sport derive career satisfaction from their involvement. They are not money - motivated and some are not career - motivated. Their joy comes from immersion in the sport. I would not expect them to have honed negotiating skills.

2. Inside sales people earning $30K plus bonus are probably early career stage and looking to join a thriving business. Maybe they've been laid off from a downsizing firm. Ergo, if a company is hiring, it's probably doing well and therefore the job seeker can take refuge there.

3. My caveat to my friend was to watch out for the "any port in a storm" people like the over qualified candidate. Because once things stabilize and then improve -- and we all know they will -- that's precisely the individual who will be out the door first. With a chip on his shoulder.

4. For all the candidates out there, here's an interesting twist. When interviewing for a position, even at a $30K inside sales gig, the hiring manager EXPECTS you to ask for more ... compensation, incentive, relocation, something. Shame on you if you don't.

5. My friend asks indirectly: Is it really this bad? If so, why aren't we hearing it in the [specialty industry] press? Answer: Because the trade press leads the cheers for the industry. They cannot come right out and say, "The Emperor is naked!"

6. He told me verbally big suppliers are concerned with the level of debt retailers are taking on because they are NOT too big to fail. Further, industry press proclaiming gloom only makes matters worse, he said. But some accurate, realistic reporting would be appreciated.