Your Job Offer

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In this article, I will tell you about job offers--why you get an offer and what an offer letter generally says; how to juggle decision dates without losing a job offer; and how multiple offers add leverage to your bargaining power but sometimes mess up your head.

An offer letter is extended by a firm only after serious consideration of how well you match the firm's needs. Is there a match in an absolute sense, between you on one hand and the job on the other? Is there also a match in a relative sense? How good is the fit between you and the job when compared to other applicants?

Generally, a firm that offers you a job thinks there is a good match between you and the job in both an absolute and a relative sense. The hard work you put in throughout your life, to develop your Positive Characteristics, and the hard work you put in during your job search, to identify and convey them, has paid off in a professional employment opportunity.



To follow the social analogy we've been using, your initial interview was like a first date; your Site Visit was an invitation by your Significant Other to meet the family; your offer letter is an offer of marriage.

It is a compliment to receive an offer letter, but you can still take the compliment and not accept the job.

What an Offer Letter Says

A letter from a firm offering you employment is serious business. The letter will generally state at least these three things:
  • The firm is offering you a job, usually identified by job title, function, or department;

  • The date the firm wants you to start;

  • The compensation package, for example, '. . . at an annual compensation of $25,000 plus health insurance and two weeks' vacation.'
In addition, an offer letter may include some or all of these four information items:
  • The location of the job, for example, 'our facility in Seattle' or 'Our office in San Antonio';

  • A sentence or two telling you how to respond (send a letter of acceptance, sign a copy of the offer letter, or call and confirm in writing);
  • A decision date-the final date the job will be held as yours to accept or reject (after that date, the firm no longer has any commitment to you);

  • A contingency statement--the offer of employment may be contingent on any or all of the following:
-that you graduate from your college by a certain date;

-that you submit an official transcript;

-that you have made no false representations to the firm during the interview process;

-that you will provide proof of your employment eligibility in accordance with the Immigration Reform and Control Act of 1986;

-that you pass a general physical;

-that you pass a drug test.

Questions About Offer Letters

At the weekly meeting of the Job Search Club, several members brought in copies of offer letters they had received. After congratulating them, we decided to make offer letters our topic for discussion and questions.

The Case of the Leaky Letter

Alice began by asking about the content of offer letters.

Alice: What if the offer letter is missing something like a job title, starting date, or compensation?

Richard: Alice, if it's missing one of those three items, something is wrong. I would contact the person who signed the letter and ask for a written clarification. It's important to have a written understanding of the basis of the offer, to reduce the chances of unpleasant surprises later.

In terms of the four items that may also be included, if there is any doubt about location, method of response, or decision date, call the person who signed the letter and ask for clarification. Then send a brief thank-you letter restating the clarifications made.

On the other hand, if the firm makes none of the contingency statements I indicated, don't go fishing for them. Contingencies weaken, rather than strengthen, your offer.

Juggling Decision Dates

Hector: Richard, I received an offer letter from Happy Co. It's a good offer, but I've got a problem. The job I really want is with Manufacturco I was at the Site Visit yesterday, but I won't hear from them for about three weeks. Meanwhile, my response to Happy Co. is due in ten days. What should I do?

Richard: First, congratulations, Hector. You worked hard to get that offer, and I hope you're pleased with your success. Now, let's see what some other club members think.

There were a number of suggestions. They generally fit into one of two categories: Stall and lie. We began our discussion by diagramming a time line that represented the situation facing Hector.

According to the basic Stall approach, Hector could call Marie Antonelli (the person who signed his offer letter) at Happy Co. and ask for more time to give them his decision. At a minimum, Hector needs to push back his decision date (DD) for Happy Co. until after he's expecting to hear from Manufacturco. In our diagram, we moved the Happy Co. decision date to March 22.

A corollary tactic was to call Jim Flores, who had invited Hector to the Manufacturco Site Visit. Hector could tell Jim that he was being pressed for a decision by another firm and that Hector was deeply interested in Manufacturco but couldn't give up a job-in-hand for one he hoped for. Under the circumstances, could Manufacturco let him know earlier--say, in ten days-- whether he would be getting an offer or not? This corollary part of Hector's Stall plan was represented by a reverse arrow going to March 10 and on, possibly, to March 7.

If Hector became successful in both parts of his plan, he would know where he stood with Manufacturco before he had to respond to Happy Co. If either tactic worked-Happy Co. gave him 12 more days (to March 22) to give them his decision, or Manufacturco gave an offer/no-offer response in 10 days or less (by March 10 or earlier)-Hector would know where he stood with both of these firms before he had to make his decision on Happy Co. As it turned out, each firm accommodated Hector only partially, but that was enough to meet Hector's needs.

Hector's Two Calls

As with many business situations, how you say things is very important. Hector wanted to juggle his decision dates without losing the job offer from either Happy Co. or Manufacturco. This is what Hector said when he called Marie and Jim.

Hector: Hi, Marie? This is Hector Sanchez. How are you?

Marie, I'm calling about your letter; I received it today. I'm excited about getting a job offer from Happy Co., but I have a problem with the decision date and I hope you can help me with it.

I'd like to finish my interview process before I respond to any offers. I should be finished in a little more than three weeks. Can you extend Happy Co.'s decision date to the end of March?

Marie: I'm glad you're excited about the offer, Hector, and I understand your reasons for wanting to push back your decision date. Unfortunately, there is no way I can accommodate you by waiting for your answer until the end of March. The most I can do is extend your decision date one week, until March 17.

Hector had planned for this contingency--a partial accommodation-- before he even picked up the phone. One option would be to ask Marie to extend an extra week, to March 24. But Marie seemed to say that the one week addition was the absolute outside decision date for Happy Co.

Hector: Thank you, Marie. I appreciate your extending my decision date until March 17.I would have preferred March 24, but I understand the constraints you're under. You'll be hearing from me soon.

Hector noted on his time-line chart the new decision date for Happy Co. He also wrote a brief thank-you letter to Marie, confirming the new decision date of March 17.

Hector's next step was to call Jim Flores at Manufacturco. Because Marie was able to give Hector a partial accommodation, Hector needed only a partial accommodation from Jim. He would then know where he stood with the two firms before making a decision. This is what Hector said to Jim.

Hector: Hi, Jim? This is Hector Sanchez. How are you?

Jim, I want to thank you for inviting me to a Site Visit at your San Diego facility. The people there explained that they will be extending offers on about March 21, the day after the last candidate's Site Visit is scheduled.

Jim, you know how enthusiastic I am about Manufacturco. But I have a problem and I hope you can help me with it. I have an offer from another firm. I already got them to extend my decision date to March 17, but they can't wait for an answer any longer than that.

Manufacturco is my first choice, Jim, but I can't take a chance of losing the other offer while I'm waiting to hear from your firm. Is there any way Manufacturco could let me know before March 17 whether it will extend me an offer? I really need to know one way or the other before then.

Jim didn't want to lose Hector, but he couldn't give Hector a response on the spot. After checking out the situation in San Diego, Jim called back and told Hector he would be hearing, one way or the other, by March 15. Hector sent Jim a brief note to thank Jim for his efforts and to confirm that Hector would hear about an offer by March 15.

Hector's main goal in juggling dates--finding out whether he had an offer from Manufacturco before he responded to Happy Co.--had been achieved. Notice that Hector:
  • Expressed his continued interest to both Marie and Jim;

  • Made no threats about not accepting an offer, but merely requested help in addressing his problem;

  • Was honest: he told Marie he was excited about the offer from Happy Co., which was true; he did not say Happy Co. was his first choice or anything else that was not true;

  • Sent thank-you notes to Marie, confirming Happy Co.'s new decision date, and to Jim, regarding Manufacturco's revised date for notifying Hector whether he would receive a job offer.
Should Hector Have Lied?

One of the Club members suggested: 'lie, Hector! Just say 'Yes' to Happy Co.; that way, you'll be sure to have a job. Then, if Manufacturco offers you a job, call Happy Co. and then tell them you've changed your mind. You've got to look out for yourself first!'

Although Hector had decided to proceed with the Stall approach, the Job Search Club agreed to think about the ethics of the Lie approach for our next club meeting. Both Hector and I oppose the lie approach.

After our discussion of Hector's Happy Co./Manufacturco dilemma, the Job Search Club continued its discussion about offer letters.

Get It in Writing

Bill: I have some good news. My offer from General Thrills is in the bag.

Richard: Congratulations, Bill; but what do you mean, 'in the bag'?

Bill: Well, Larry, the district sales manager in San Francisco, told me he really likes me and he's going to hire me. We even discussed salary, bonus, and use of a car.

Richard: Bill, that's great. Exactly what did your offer letter say?

Bill: Well, I don't have an offer letter yet. Larry said I should be getting it soon.

Richard: Bill, you don't really have an offer until you get it in writing. I suggest that you don't turn down any other offers, at least until you receive a formal offer letter on General Thrills stationery.

A Stab in the Back

Alice: I'd like to ask a related question. Let's say we do get a formal offer letter and accept the offer. Can the firm back out on it?

Richard: Alice, that's a good question. According to the Principles for Professional Conduct of the College Placement Council: '. . . Employing organizations are responsible for the information supplied and commitments made by their representatives . . . .' It is extremely rare for a firm to revoke a written offer, unless the job applicant fails to meet up to a contingency expressed in the offer letter. I surveyed college placement professionals on the East Coast recently, and the results confirm how rarely an offer is revoked.

Firms don't make hiring decisions lightly, and revoking an offer would hurt a firm's reputation for years to come.

Still, I want you to understand that a firm could revoke its offer, probably without legal penalty. In fact, a firm could fire you on your first day of work. It's not at all likely, but it could happen. We'll discuss this more at our next meeting, when we deal with the Lie approach that someone suggested to Hector.

Lauren: I received an offer letter from Toolco, and I'm happy with it. Why not just say 'Yes' and be done with it? Frankly, this job search stuff takes a lot of time and energy.

Richard: That's a valid comment, Lauren. The ultimate decision is up to you. But, before you decide on your next step, I would like you to understand how offers ADD leverage in your job search process.

Why Two Is Four Times Better than One

Richard: Unless you are absolutely, positively, beyond a shadow of a doubt, 100 percent certain that Toolco is the firm you want to marry, it's too early to say 'yes.' I'll give you three reasons:
  • Some people are so relieved when they get their first offer; they interpret their happiness about an offer as happiness with the firm. I suggest that you wait at least a few days before saying 'yes,' so you can sort things out in your head.

  • You haven't made your Follow-up Visit to Toolco yet. Only after you have visited again, with your offer in hand, can you make a decision based on the best available information.

  • If you do say 'Yes' to Toolco, you are honor-bound to call the other firms still considering you and withdraw from the job search process. But if you do that, you'll be choosing Toolco without knowing your options.
There is another advantage to having at least two offers. It leverages your bargaining power because your choice is between Firm X and Firm Y, rather than between Firm X and no job. From that position, you are better able to negotiate things you might want: a higher starting salary, an earlier salary review, a more convenient starting date, or a position in a more desirable division of the company. No results can be guaranteed, but it can't hurt to strengthen your bargaining position.

Free agents in major league baseball offer an example. If the Cardinals are the only team interested in Player X, he has little bargaining power. His choice is between the Cardinals and being out of baseball. But if the Mariners also make an offer, Player X is in a much stronger position to bargain for contract terms he wants. In baseball, the difference can be hundreds of thousands of dollars; for you, the difference may be only a few thousand dollars. However, for any given job, more money is better than less.

Offer Letters and Your Head

Offer letters often have an impact on how you see yourself. If you receive many offers, it's a boost to your ego. If you receive no offers, you may get down on yourself. It's a good idea to put the situation in perspective, so these feelings don't get out of hand.

It's nice to get offer letters, but getting three, for example, does not mean that you're three times a better person than if you had only one, or three times better than someone else who gets only one. Similarly, getting no offer letters doesn't make you a zephyr who needs to "get a life." Offer letters have a pragmatic meaning in the employment marketplace. The number of offers you get may reflect your job search skills, but it certainly doesn't reflect on your worth as a person.

David: Richard, are you saying that it's always better to get multiple offer letters? Usually, there's a down side to everything, at least for some folks.

Richard: You're right, David. A lot of times in life, an opportunity is either good or bad, depending on what you do with it. For some students, getting multiple offers is more a source of dread than a source of joy. Let's take the experience of Jill, from last year's graduating class, as a case in point.

A Curse of Many Blessings

Jill, an English major, had three job offers: one in publishing, one in sales, and one in the retail industry. When she came to share the news with me, tension and concern were in her face. 'Maybe she didn't get the offer she wanted,' I thought to myself. But that wasn't the case.

'I've got three great offers,' she said. 'Now what do I do? I've been good at selling myself at interviews, but now I've got to switch to deciding. No matter which job I choose, I've got to give up two others.'

Jill was focusing on what she would have to give up instead of what she was getting. To get Jill away from that frame of thought, I went back to our social analogy. 'Jill, suppose you were getting married. Would you focus on the joy of entering a potentially wonderful relationship with a man you love, or would you be counting all the other guys you couldn't go out with anymore?'

"I see what you mean," Jill said. 'It's like what they say to the parents of the bride: 'You're gaining a son, not losing a daughter.' Still, Richard, how do I decide?"

Hitches and Glitches

To make the discussion of juggling decision dates easier to follow, I temporarily left out an important step: your Follow-up Visit. To simplify the narrative, I presented Hector as being fully ready to decide between Happy Co. and Manufacturco if he simply knew whether he had offers from both firms. But this would be the case only if Hector knew, 100 percent for certain, that he wanted the Manufacturco offer more. In actuality, Hector should try to visit both firms again, to get a better sense of the working environment and to ask any necessary questions, without the pressure of trying to get a job offer. In Hector's case, I recommended that he try to visit Happy Co. again before March 17 (his new decision date for Happy Co.) so that he could clarify his feelings about the Happy Co. offer. In this scenario, it would be optimal for Hector to also visit Manufacturco again, between March 15 and March 17. Unfortunately, logistic constraints might preclude Hector from optimizing his situation.
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