After 8 hours of interviews, they’re offering me less than minimum salaried wage for my state. Where to go from here?

I'm based in and will work in California. The company is headquartered in the UK. This is a graduate level customer success manager role at an international tech company.

The salary was not posted on the job listing AND I asked the HR person I interviewed with what the allocated salary was for the role and she said she "didn't know" but was very comfortable asking me detailed questions about what I made in my current role. I told her and thought we were on the same page. Clearly not.

I did 8 interviews, a presentation, a written interview, and an IQ test. Two VPs grilled me. This is a graduate level role. I have 1.5 years experience. Despite their absolutely insane hiring process, I like the company, I liked everyone I spoke with, and I think it would be a good fit for me. It's entirely remote and has been for almost two decades. I'd get to travel internationally twice a year.

They are offering me 50k. Minimum wage for salaried exempt employees in California is almost 69k. The title is also a step down from my most recent role and almost a 50% reduction in my total comp. The hiring manager told me it's "likely" my pay would increase every 6 months and that if I perform well, in 1.5 years "they could make me grow with them" (not sure what that means honestly and she did not elaborate).

I'm currently jobless and with the way the economy is looking right now, I do not want to be jobless much longer. But that's nowhere near a competitive salary in California. I need some advice, I'm not really sure what I should do.

Jobadvisor:

This is a tough spot, especially after such an extensive interview process. Let's break down your options and how you might want to proceed.

First, let's confirm the minimum salary for exempt employees in California. You are correct. As of January 1, 2025, the minimum annual salary for exempt employees in California is $68,640. Their offer of $50,000 is significantly below this legal requirement.

Here's a breakdown of what you should consider and potential next steps:

1. Recognize the Legality:

• Their offer is illegal under California labor law if they intend to classify this as an exempt (salaried) position.
• Even if they classify it as non-exempt (hourly), $50,000 annually works out to roughly $24.04 per hour (assuming a standard 40-hour work week), which is only slightly above California's general minimum wage of $16.50 per hour. For a graduate-level role with your experience and their demanding hiring process, this is still very low.

2. Your Leverage:

• They like you: You mentioned they seemed to like you and that you felt it was a good fit culturally. This gives you some leverage in negotiations.
• Their investment: They've invested significant time and resources in interviewing you. Starting the process over is costly for them.
• Your market value: Even though you're currently jobless, your 1.5 years of experience and the fact that you were in a higher-paying role previously suggest you have a certain market value.

3. Immediate Actions and Considerations:

• Do not immediately accept: You have every right to negotiate, especially given the illegal nature of their offer for a salaried exempt role.
• Politely but firmly address the salary issue:
  • State that you were excited about the opportunity but the offered salary of $50,000 is significantly below the California minimum salary for exempt employees, which is $68,640 annually.
  • If they intend for the role to be non-exempt, point out that the hourly equivalent is also much lower than you were expecting for a graduate-level position with your experience, especially considering the extensive hiring process.
• Reiterate your interest in the company: Mention that you enjoyed the interview process and believe you would be a valuable asset to their team due to [mention specific skills or experiences that align with what they're looking for].
• State your salary expectations: Based on your previous compensation and the cost of living in California, state a salary range that you find acceptable. Be realistic but also advocate for your worth. Research typical salaries for Customer Success Managers with your level of experience in California.
• Inquire about the "likely" pay increases: Ask for more specific details about the frequency and amount of these potential increases. "Likely" and "could" are vague terms. You need concrete information. What are the specific milestones or performance metrics that would trigger these increases? What is the typical percentage or range of these increases?
• Seek clarification on "grow with them": Ask the hiring manager to elaborate on what this means. What are the potential career paths within the company? What kind of timeline are they envisioning for this growth?
• Consider the total compensation: Even with a lower base salary, factor in the international travel. What is the estimated value of these trips (flights, accommodation, etc.)? While it's not cash in hand, it's a benefit. However, don't let this significantly outweigh a below-market base salary.
• Be prepared to walk away: Know your bottom line. While you don't want to be jobless for long, accepting a salary that is significantly below market and potentially illegal could lead to resentment and financial strain in the long run.

4. Negotiation Strategies:

• Anchor high (within reason): Start your counter-offer slightly above your ideal salary to give room for negotiation.
• Focus on value: Emphasize what you bring to the table and how your skills and experience will benefit the company.
• Be professional and collaborative: Frame the negotiation as a discussion to find a mutually agreeable solution.
• Get it in writing: If you reach a verbal agreement on a higher salary or specific terms about future increases, ensure it is clearly stated in your offer letter.

5. If They Don't Budge Significantly:

• Evaluate your desperation level: If you absolutely need a job immediately, you might consider accepting the offer as a temporary measure while continuing your job search. However, be aware of the potential for resentment and the need to advocate for fair compensation internally as soon as possible.
• Consider the non-monetary benefits: The remote work, potential for international travel, and the positive culture you perceived are all valuable. Weigh these against the significant salary shortfall.
• Continue your job search aggressively: Regardless of whether you decide to negotiate further with this company or accept their initial offer, keep looking for other opportunities that better align with your salary expectations and experience.

In summary, your immediate priority should be to address the illegal and significantly below-market salary offer with the company. Clearly state your expectations, highlight your value, and be prepared to negotiate firmly. While the non-monetary benefits are attractive, they shouldn't come at the cost of fair and legal compensation, especially in a high-cost-of-living area like California.

Good luck! This situation is frustrating, but remember your worth and advocate for yourself.