After a layoff, many people feel desperate to accept any offer. They worry that negotiating might cost them the job. This fear is usually unfounded - and it costs them thousands of dollars, year after year.
The truth: employers expect negotiation. First offers are rarely final offers. And your layoff status has no bearing on whether you should negotiate - you should.
Negotiation Mindset After Layoff
First, address the fear. Many laid-off job seekers worry:
- "I should just be grateful for any offer"
- "I have no leverage - I'm unemployed"
- "They'll rescind the offer if I negotiate"
- "My layoff means I'm worth less"
All of these are wrong.
The Reality
- Employers budget for negotiation: First offers typically have 10-20% room built in
- Offer rescission is extremely rare: Less than 2% of offers are rescinded due to reasonable negotiation
- Your layoff is irrelevant to your value: Companies want the best person for the role
- Not negotiating can signal weakness: Some hiring managers actually question candidates who accept immediately
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Recommended Negotiation Resources
Researching Your Market Value
Effective negotiation starts with data. Know what the market pays.
Salary Research Resources
- Levels.fyi: Best for tech compensation data with levels
- Glassdoor Salaries: Broad coverage across industries
- Salary.com: Detailed compensation reports
- PayScale: Personalized salary reports
- LinkedIn Salary: Data from LinkedIn users
- Blind: Anonymous salary sharing (tech-focused)
- H1B Salary Database: Public visa salary data (often higher)
What to Research
- Role title: Same title pays differently at different companies
- Company size: Startups vs. enterprises pay differently
- Location: Even for remote roles, HQ location affects pay
- Experience level: Compare to your years of experience
- Total compensation: Base + bonus + equity
Create Your Target Range
Based on research, define three numbers:
| Number | What It Is | How to Use It |
|---|---|---|
| Walk-Away | Minimum you'll accept | Below this, decline the offer |
| Target | What you actually want | Your negotiation goal |
| Stretch | Dream scenario | Your initial counter-offer |
Handling Salary History Questions
In many states, salary history questions are now illegal. But they still get asked - and answering poorly anchors you to past pay.
Where Salary History Bans Exist (2026)
States including: California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maine, Maryland, Massachusetts, Nevada, New Jersey, New York, Oregon, Vermont, Washington, and many cities.
When Asked "What was your last salary?"
When Asked About Salary Expectations
This question comes early in the process. How you handle it affects the entire negotiation.
Strategy: Delay Specifics Until Offer
Your leverage is highest after they've decided they want you. Try to defer salary discussions until then.
Giving a Range
If you must give a range:
- Make your bottom = your target (they'll anchor on the low end)
- Keep the range reasonable (20-25% spread, not 50%)
- Justify with data ("Based on market data for this role...")
Receiving the Offer
You got the offer! Now the real negotiation begins.
Step 1: Express Enthusiasm
Step 2: Get the Full Offer in Writing
Request the complete offer letter with all details:
- Base salary
- Bonus structure and targets
- Equity (shares, vesting, strike price)
- Start date
- Benefits summary
- Any sign-on bonus
- PTO/vacation days
Step 3: Take Time to Review
Don't negotiate on the spot. Ask for 2-5 business days to review. Use this time to:
- Calculate total compensation
- Compare to your research
- Identify negotiation priorities
- Prepare your counter
Making Your Counter Offer
This is where most people get nervous. It doesn't have to be confrontational.
The Counter-Offer Framework
- Reiterate enthusiasm
- Acknowledge the offer
- Present your counter with reasoning
- Show flexibility
Thank you again for the offer. I'm very excited about joining [Company] and believe I can make a real impact on [specific goal/project].
I've had a chance to review the offer and would like to discuss the base salary. Based on my research of market rates for this role and my [X years] of experience delivering [specific value], I was hoping for a base salary in the range of $[X].
I'm confident in the value I'll bring to the team, and I'm open to discussing how we can make this work. Would you have time for a call to discuss?
Thanks,
[Your name]
How Much to Counter
- If offer is below market: Counter 15-25% higher
- If offer is at market: Counter 10-15% higher
- If offer is above market: Still counter 5-10% (they expect it)
If They Can't Move on Salary
Negotiating Beyond Base Salary
When salary is capped, negotiate other elements of compensation.
What Else You Can Negotiate
| Item | Why It Matters | How to Frame It |
|---|---|---|
| Sign-On Bonus | One-time payment, easier to approve | "Would a sign-on bonus help bridge the gap?" |
| Equity/Stock | Major wealth driver in growth companies | "Could we increase the equity grant?" |
| Performance Bonus | Rewards results, less base risk | "What would a stretch bonus target look like?" |
| Early Review | Faster path to raise | "Could we schedule a 6-month review for salary adjustment?" |
| Title | Future career value | "Would 'Senior' be appropriate given my experience?" |
| PTO | Quality of life, burnout prevention | "I'd value an extra week of PTO" |
| Start Date | Rest, wrap up other commitments | "Could I start two weeks later?" |
| Work Flexibility | Remote, hybrid, hours | "Could we formalize a hybrid arrangement?" |
| Relocation | Moving expenses, temporary housing | "Is there a relocation package available?" |
Leveraging Multiple Offers
Multiple offers give you tremendous leverage. But handle with care.
How to Mention Other Offers
Rules for Using Competing Offers
- Don't lie about offers: They may ask for proof or call your bluff
- Be specific about what you're comparing: Not just salary, but total package
- Express genuine preference: Make it clear you want THIS job
- Give them time to respond: Don't create artificial urgency
Making Your Final Decision
Once you've negotiated, it's decision time.
Final Offer Evaluation
Consider the full picture:
- Total compensation: Base + bonus + equity = annual value
- Benefits value: Health insurance, 401k match (often $10K+ value)
- Career growth: Will this role accelerate your career?
- Culture fit: Did you connect with the team?
- Work-life: Remote? Travel? Hours?
- Stability: Company's financial health?
Accepting the Offer
I'm thrilled to accept the offer for [Role] at [Company]. Thank you for working with me on the compensation package - I appreciate your flexibility.
I've signed the offer letter (attached) and am looking forward to starting on [date]. Please let me know what I should do to prepare and what to expect on my first day.
Thanks again, and I can't wait to get started.
Best,
[Your name]
Declining Other Offers
Always decline gracefully - you may encounter these people again.
Thank you so much for the offer and for your time throughout this process. After careful consideration, I've decided to accept another opportunity that's a better fit for my goals right now.
I really enjoyed meeting the team and learning about [Company]'s work on [project]. I hope our paths cross again in the future.
Best,
[Your name]
Key Takeaways
- Layoff doesn't reduce your negotiating power. You're being hired for your skills, not your employment status.
- First offers are starting points. Employers expect negotiation.
- Research your market value. Data is your leverage.
- Delay specifics until after the offer. Your leverage peaks when they've decided they want you.
- Everything is negotiable. If salary is stuck, negotiate other terms.
- Ask for time. Never negotiate on the spot.
- Be enthusiastic and professional. This is a collaboration, not a battle.
One negotiation conversation can be worth tens of thousands of dollars over your career. Don't leave that money on the table.
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