How to negotiate your salary when joining from a layoff — and not undersell yourself

One of the most common mistakes candidates make after a layoff is accepting the first offer that comes along — not because it is the right number, but because they feel they are not in a position to negotiate. That feeling is understandable. It is also wrong.

Your layoff does not change your market value

Salary is determined by what the role pays in the market and what you bring to it — not by your current employment status. A company offering you a role has already decided you are worth hiring. The negotiation that follows is about the price of that decision, not about whether you deserve to be there.

Indian hiring managers know the market has been volatile. Being laid off in 2025 or 2026 carries no stigma in most sectors. What they are watching for is how you carry yourself — not whether you are between jobs.

Do your research before any conversation about numbers

Before you talk to any recruiter or hiring manager, know the market rate for the role you are interviewing for. Use Glassdoor, AmbitionBox, LinkedIn Salary Insights, and conversations with peers in similar roles. Know the range. Know where you sit in that range based on your experience.

When asked for your expectation, give a number — not a range. A range signals that you will accept the bottom of it. If the market rate for the role is ₹18-24 LPA and your experience justifies the upper end, say ₹22-24 LPA. Not "somewhere between 18 and 24."

How to handle "what is your current CTC"

In many Indian hiring conversations, the first question is about your last drawn salary. You are not obligated to anchor the negotiation there. A few ways to handle it:

Redirect to the role: "I would prefer to discuss what this role is budgeted for and whether it aligns with the market rate for my experience."

State your target: "I am targeting ₹X based on my experience and current market benchmarks."

Be honest and add context: "My last CTC was ₹X, but I am aware the market has moved, and I am targeting ₹Y."

Do not accept the first offer without a conversation

A verbal offer is not a final offer. In most cases, there is room — usually 10-15% — between what a company first offers and what they will go to. The conversation does not need to be confrontational. A simple response works:

"Thank you — I am genuinely excited about this role. I was hoping we could get to ₹X. Is there flexibility there?"

That is it. You do not need to justify it at length. You state your number, you ask the question, and you let them respond.

What to do if they say the number is fixed

Ask about other components. Joining bonus. Variable pay structure. Extra leave. ESOP eligibility. Remote work flexibility. A fixed base does not mean the total compensation is fixed.

If the total offer genuinely does not meet your needs, it is better to say so clearly and walk away than to accept something you will resent in three months. A mismatched offer leads to a short tenure, which creates more problems than a longer job search.

The mindset that protects you

You are not asking for a favour. You are completing a transaction in which both sides have something the other wants. Approach it that way and the conversation becomes easier.