No Salary Negotiations: Bengaluru CEO's Unconventional Strategy For Retaining Top Talent

"After hiring more than 18 members for my team, I've found the secret to retaining world-class talent: We don't negotiate salaries. We literally pay what they ask for," Arjun wrote

Arjun explained that annual salary reviews are done to maintain fairness and ensure competitive compensation within the company

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In a recent LinkedIn post, Arjun V, co-founder and CEO of Bengaluru-based Zoko, outlined his distinctive approach to salary negotiations. Breaking away from conventional practices, Arjun disclosed that his company does not engage in salary negotiations with candidates. Instead, they offer the exact amount requested by the candidates, with the goal of attracting and retaining top talent.

"After hiring more than 18 members for my team, I've found the secret to retaining world-class talent: We don't negotiate salaries. We literally pay what they ask for," Arjun wrote.

Arjun explained that annual salary reviews are done to maintain fairness and ensure competitive compensation within the company. While he mentioned several reasons for this practice, he did not provide specific details in the post.

He also shared a rare instance where he made an exception to increase a candidate's requested salary. "I've only negotiated salary once, and it was to increase the amount a candidate asked for. They undervalued themselves compared to others in the same role, so I had to tell them that and offer them more," he explained.

“What if you hire the person and they prove to be less competent than their pay? Do pay revisions later allow reduction in pay as well? Very curious to know more!” asked one user.

The founder responded, “That work you should put way before that person even appears for the interview. We put in a lot of work finding the right fit for us. So by the time they appear for the interview unless they are running a long con, there is zero chance that person is incompetent. Depending on the role, we do things to avoid surprises.”

“Loved this approach. Early in my career, I was often apprehensive about negotiating salaries, fearing something might go wrong and lead to rejection. The refreshing change I felt in the interview with you was that his offer just met all my expectations on the spot; it was really easy. This approach built immediate trust. Not only that, it saved me from the hassle of salary discussions and gave me time to grow and learn. It's just awesome how the methodology created an absolutely positive work culture and working ethos, respecting everybody's worth,” wrote a second user.