Counter offers – what to consider and how to deal with them
Counter offers are a common concern for those considering leaving their current job for a new role. After all, there’s a lot to think about… Do you stick to your guns and move to the new job? Do you counter the counter offer? And, whatever you decide to do, how do you go about it?
Here at Huxley, we help candidates deal with counter offers on a daily basis. So we spoke with some of our consultants to find out all there is to know about counter offers and explain how we can help.
What to consider with counter offers
Before you make a decision as to whether you accept or reject the counter offer, there are a few things to consider, including:
- What the counter offer consists of
- Why your employer might be trying to keep you
- What your new job can offer you
- Why you made the decision to leave
Only once you’ve considered all of the above can you make an educated decision as to what your next steps are. So, let’s break them down…
Why your employer might counter offer
After hearing about your decision to leave for a new opportunity, there’s every chance your employer could provide a counter offer in an attempt to get you to stay. Typical counter offers include a promotion, a salary increase, or a combination of the two.
When this happens, it could be because they’ve realised they’re going to lose a valuable member of staff. However, this isn’t the only reason – which is why you should take time to think about your response.
Losing a member of staff can prove to be costly for an employer. Firstly, there’s the time and money it takes to recruit a replacement. And, as there’s no guarantee this will be completed before you leave, it could result in a drop in productivity. Then, once the replacement’s been hired, they’ll need training. This will again mean less productivity until the training is complete.
According to Eclipse Software, replacing a senior executive can cost up to 213% of their annual salary, so offering a salary increase to you becomes a much better alternative for your employer.
Remember why you were leaving your current job
If the only reason you wanted to leave your current role is because you wanted more money, there’s an argument for accepting a counter offer. However, you’ll need to consider how your employer’s perception could have changed. The chances are, you’ll have to work hard to rebuild trust with them.
If you were leaving because you wanted more opportunity, being offered a promotion can be tempting. But it’s important to remember there’s a chance this only happened because you were going to leave. Therefore it’s fair to assume that progression still won’t be easy, should you stay. There’s also the potential that it could even be harder, as you’ll have to prove yourself to your employer.
Or perhaps you were just unhappy in your current role, in which case you need to ask yourself whether that’s going to change because of the counter offer. If that hasn’t been covered in the counter offer, you’ll likely find things will remain the same if you stay.
50% of those that accept counter offers are actively job seeking again in 60 days, and 80% end up leaving within six months.
Think about future opportunities
Ask yourself what it is that attracted you to the new opportunity in the first place. If it’s offering you something positive that your current workplace doesn’t, it’s worth considering whether you’d be prepared to give this up in order to stay.
Try and remove emotion from the equation and think of the pros and cons of accepting the counter offer and declining it. And, if possible, try to think of more than just the jobs. For example, if you’re due to move soon or are looking to get a mortgage, this could impact your decision. It’s also worth speaking with people about the decision, as they’ll be able to provide impartial advice.
How Huxley can help you
Ultimately, it’s your decision to make and you need to do what feels right for you. If you’ve found the role through a recruiter, they should be able to guide you through the entire counter offer experience. Here at Huxley, all of our consultants are able to provide you with as much advice and guidance as you need.
If, after you’ve been offered a new role through Huxley, your current employer counter offers, please contact the consultant you’ve been working with. They’ll discuss options with you and, should you decide to stay, will be able to inform the new company. Contact us via the form below to find out more: