That is not true at all. It only works if both parties have something of value that the other wants. It's always a negotiation, but the only thing that ever matters in a negotiation is the BATNA (best alternative to negotiated agreement) on both sides.
If your BATNA is unemployment and their BATNA is a minor delay getting someone almost exactly equivalent to you, then you'll take their offer and they'll politely decline if you ask for more. If your BATNA is one of a few other competing offers all of which excite you, and their BATNA is having to settle for someone who doesn't bring your particular expertise to the company, or worse, having to start their search over again, you're in a much stronger position to ask for more money.
I usually politely sidestep the "what's your current salary?" with a "in rolling to accept at least x, but we can negotiate if both parties are satisfied and get to offers". If a recruiter insists, I tell them I have a personal rule to never disclose that. I think I have lost a single prospect, which likely was never real to begin with. Likely just fishing.
While I'm at it, I never mention who my current employer is either. I usually obscure it on my cv of I'm still employed. I also had a request recently to provide a scan of my passport on initial application, which i also declined.
Honestly, recruiters think they can ask for any and all personal information they want. If you have value, no one will drop you because of it.
>> I never mention who my current employer is either
Why is this? It's typically the most relevant information to a new position, and usually trivial to determine without you volunteering it.
Don’t worry, Equifax takes care of that for us. Both who you’re currently working for, and your current salary. It’s a service it offers to HR departments across the US.
One time they thought I worked on staff at the local zoo. Seriously.
It would be a waste of effort for HR. They don't have time for that I don't think. They want to get to a number not do forensics on your background.
Suppose you are just finishing a Ph.D. and took a few years off. Suppose you took a year or two to do freelance or work 1099. Suppose you went abroad to work for a year or two to take of your dying parent. These are all things I have run into.
Edit: One more good one. I've known people who won a green lottery or married an American citizen they met abroad. Showed up in USA with lots of skills having made much less in Eastern Europe.
In the other case, the company needs to accomplish something, believes you can do it, and you have a list of companies sending you offers.
Thats not so far fetched! Many of us hit that point in our careers.
So, 99% of the workforce? Or, 99.9999% if you consider that companies just don’t give a fuck unless you happen to be Guido van Rossem?
HR departments, who approve/deny pay changes, don’t care. My current company is being forced (with the approval of the board) to compensate high performers in alternative ways (like stock grants, or vacation time) if they’re outside of the “approved pay bands”.
I know someone who 100% qualifies for a title of “high performer” (they promoted him to a director a month after this) who would have had his pay cut in half if he moved away from his current location due to “remaining competitive with the local market”.
I hate how this always comes up as if the hiring model is in any way balanced between an employer and employee.
I was once asked by a New York based company, at one of their remote offices, what I wanted for a salary. I said “$180k, what you’re paying for this position in NY”. They said “No. We know what you were making before, so we’ll offer you $5k over that.” It was never a negotiation.