How to use multiple offers to negotiate a higher salary?

Question

I am facing this situation.

A few days back, I got an offer from CompanyA and I verbally accepted it. Yesterday I got another offer from CompanyB, which is paying a higher salary (about 12%more). After much thought and deliberation, I have decided to go with CompanyA.

My specific question is this: Can I use the offer letter of CompanyB as leverage and request that CompanyA increase their offer? I would like to do this in a "soft" manner so as to not jeopordize the position at CompanyA.

Is the offer from Company A in writing? Did you say no to Company B? — mhoran_psprep, Feb 01 '13 at 19:15
Yes the offer from Company A is in writing. They have already sent me a copy of the offer letter. I have Not signed it yet. I have Not said No to Company B. — simpleMan, Feb 01 '13 at 19:17
The answer to this question is too localized. The results will vary by person/company/position/recruiter/budget ... There are so many variables that go into this there is no way to answer this in a one size fits most manner. — IDrinkandIKnowThings, Feb 01 '13 at 20:01

score 33 · Answer 1 · edited Feb 04 '13 at 21:56

You said in your question that you accepted the offer from A. This is important, because going back and changing your mind is going to annoy them. When you accepted the offer they start to plan around your joining the company, and may have told other candidates for the position that they had been rejected. A change of mind now may make them wonder whether you might change your mind again before you actually start with the company. The best way to do this would not to have accepted the offer until you had received the offer from Company B.

If you really want to try to negotiate a higher salary, first be completely sure which job you would rather have - Company A at the offered salary or Company B. If it's company A, go to them and ask - nicely - if they would consider raising the offer. Be careful not to make it sound like you are rejecting their offer - if you do they would be quite within their rights to withdraw their offer completely. Your chances are not that great. You would have more leverage if you hadn't accepted the job, or if you were prepared to take Company B if A doesn't give you a raise.

On the upside - you have a job you like at a salary you thought acceptable only a couple of days ago. You can always drive yourself crazy thinking about the job you might have had.

This is a much better answer then the current accepted answer... — enderland, Feb 05 '13 at 01:48

score 28 · Accepted Answer · answered Feb 01 '13 at 23:17

28

Let the recruiter know you received a competing higher offer but you are still very interested in their company. Ask if they might have any flexibility to compete with the other offer. Tell them that given the long-term financial impact, you need a day or two to think about it.

answered Feb 01 '13 at 23:17

JoeT

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Also consider that if they cannot compete on price, perhaps they can compete on other compensation, like vacation time, etc. – Edwin Buck Feb 04 '13 at 15:32
+1 to Edwin - Vacation time is just as important if not more so than pay. – Dunk Feb 04 '13 at 17:10
Vacations, good workplace, growth opportunities, flexible schedule, etc. – Matthew Azkimov Feb 04 '13 at 20:22

How to use multiple offers to negotiate a higher salary?

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