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The original poster said if they negotiate too high, they tell them they simply won't give them pay raises. (With the implication that for some reason the potential employee would instead want to start low and get raises).

I'm not sure where "The assumption is that the candidate is already worth the top of the pay range for the position" comes into this. As a potential employee, i want to maximize my $$$. How much the employer thinks i'm worth is the employer's problem not mine. If the employer gives me a choice that i can either (a) make more money or (b) make less money, i am going to choose (a), and i don't know why anyone would chose (b), all other things being equal.



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