Salary negotiations can be a tricky part of the hiring policy, where a candidate’s expectations meet a company’s budget. However, Arjun V, the CEO of Bengaluru-based Zoko, recently shared on LinkedIn how his company has completely removed this step from their hiring procedures.
Paying What Candidates Ask For
Zoko CEO Arjun V explaining about company policy that after hiring more than 18 team members, he found the secret to retaining top talent. “We don’t negotiate salaries. We literally pay what they ask for,” he said. “Then, we do revisions once a year.” This approach eliminates back-and-forth negotiations and builds immediate trust.
Building Trust and Motivation
Zoko CEO Arjun believes this policy method ensures candidates have no reason not to perform their best since they are getting paid what they want. It also avoids distracting salary discussions that were not planned, allowing the company to focus more on finding the right fit for the role.
Social Media Users Reaction
Since sharing his post, Arjun has received numerous reactions. Many users took to the comments to share their thoughts.
One user, the co-founder and CEO of ellow.io, asked, “Arjun, what if they ask for unrealistic hikes? I have negotiated with candidates asking for 100% hikes.” Arjun replied, “We don’t ask their previous salary. What we have seen is no one really asks for any crazy salaries. At whatever amount, can you get them to work with you should be the first question.”
Another user was curious about the annual revisions. “It’s great that this model works for you, and I’m sure the returns are promising. For startups with limited resources or large companies needing bulk recruitment, it can be a whole different ball game,” they wrote.
Arjun responded, “The annual revisions are pretty straightforward. Nothing earth-shattering there, process or thinking-wise. My personal goal is to give as much of a raise as possible so that the word inflation doesn’t enter the discussion. When team members are discussing currency fluctuations and the annual inflation rate, then you know you messed up.”
Positive Feedback
Some users praised Arjun’s approach. One commented, “This post should be used as a mini guide for recruitment.” Another remarked, “This is awesome and should be emulated by other recruiters. A situation where a recruiter is pushing hard on the candidate to save money for the employer should be discouraged.”
By adopting a policy of paying candidates their requested salaries, Zoko focuses on building trust and motivation among employees. This approach not only simplifies the hiring process but also helps in retaining top talent, making it a model worth considering for other companies.
