How do you answer ‘pay cut’ question during job interview? Ankur Warikoo offers key tip—don’t fall into ‘yes or no’ trap
When faced with the uncomfortable question of accepting a pay cut during a job interview, don’t fall into the simple “yes” or “no” trap.
Ankur Warikoo, the entrepreneur and content creator, was quoted in an India Today report as saying that a blunt refusal closes doors, while a quick acceptance immediately undervalues the person’s skills. Both answers weaken the candidate’s position.
Instead, Warikoo advises candidates to adopt a strategic mindset that shifts the focus from immediate numbers to long-term value and places the onus on the interviewer.
He said: “I’m actually more interested in the opportunity than the base salary. Could you help me understand the total compensation structure and the growth trajectory for this role?”
The Mindset
The core of Warikoo’s advice is this: you must approach the question like someone who knows their worth and is assessing whether the role is valuable enough for their time, rather than the other way around. This involves treating the base salary as just one component of a larger compensation structure.
The full equation for your value includes: base salary, bonuses and equity benefits and perks.
The Strategic Response
When an employer raises the issue of a lower salary, they might be signalling internal budget constraints, restructuring, or even an undervaluation of the role. Your thoughtful response should pause, maintain your confidence, and use a curious, open-ended tone to redirect the conversation.
By moving the discussion away from a binary response, you keep the negotiation open and signal that you evaluate opportunities holistically. This sophisticated approach forces the interviewer to justify the role’s worth and structure the offer to meet your broader career needs.
Follow-up questions during the interview can include:
-“How is the total compensation structured-based, variable, or equity?”
– “What growth trajectory or performance milestones does this role offer?”
– “Since compensation flexibility is being discussed, should I be aware of any budget constraints or restructuring?”
In today’s dynamic work environment — especially with the rise of remote and hybrid work — accepting a lower offer without fully understanding the complete benefits package and growth path can severely limit your future earning potential.
Be prepared: Research the company’s compensation philosophies and growth paths before the interview, and be ready to turn that potential pitfall into a powerful, strategic conversation about mutual value, Warikoo says.
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