DEAR ABBY: I’m getting ready to offer a candidate and I don’t feel like they have quite enough experience for what they’re asking, but I want to allow them to get to the comp they need quickly. What’s the best way to structure this?
I get this – especially at the low-to-mid level candidate that has a little experience but you want to make sure they can do what they say they can do before rolling out the red carpet. Prospex Recruiting is here to share our expert advice on this tricky question.
How to Structure a Conditional Offer
Do I always recommend coming in lower than candidate expectations and having a “prove yourself” period? No. But I get that there is a time and a place where this structure makes sense.
If you are going to structure an offer this way, I have found it to be the most successful when the conditions detailed in the offer letter are:
💫MEASURABLE, OBJECTIVE, and OBTAINABLE💫
When candidates know what is expected of them and feel confident they can perform, they are more willing to prove themselves in this type of arrangement.
The time frame also needs to be short enough for the candidate to justify removing themselves from consideration for other roles.
Example of a Conditional Offer Structure
Let’s say a candidate is looking for $100K, and you want to offer $95K with a 3-month review. The review would allow for a $5K increase if they:
- Have three consecutive successful month-end closes within six days.
- Assist in the completion of the billing software implementation.
- Reduce AR Aging by 10%.
Navigating Risks and Rewards
Structuring it this way doesn’t always work. If it’s an in-demand role, even if candidates will accept initially and even if they are relatively happy, they could get recruited away very easily by someone that is willing to pay market value day 1. But can it work? Of course. Especially if the opportunity being offered hits other tangibles and intangibles that the candidate is looking for!
Partner with Prospex Recruiting
I always encourage candidates to go for the right overall opportunity and, if the path to get where they want to be is there, they’ll achieve their goals faster by going to the opportunities that they are most excited about.
Reach out to our Prospex Recruiting team if you are a hiring manager and want to walk through this OR if you are a candidate and want to walk through an offer to see if it is fair based on the market! Head to our website to learn more about Prospex Recruiting and the services we offer.