What is a counter offer?
A proposal made by an employer to an employee, in response to their resignation. The objective of a counter offer is to try to convince the employee to retract their resignation by offering a salary increase or other employee benefits.
There’s no greater feeling than landing the job of your dreams right? You’ve spent a lot of time doing research and applying, you got the job and now it’s time to hand in your resignation. Have you thought about what happens if your current employer presents you with a counter offer?
While a new job title, more money and benefits might sound enticing, how will you respond? Although you might now be feeling confused by this offer, you need to be aware of the consequences of accepting a counter offer. Remember that finding replacement staff is very time consuming and costly for the company, therefore many companies will respond quickly to the resignation by offering a counter offer. Now this might finally make you feel appreciated, but be careful as this could count against your credibility.
A few points to consider:
- Remember your reasons for wanting to resign, don’t let more money cloud your judgement. If you were unhappy in your circumstances in the first place, more money isn’t going to make it better.
- If money is the only factor, then consider negotiating this with your current employer, rather than bullying them into it with a resignation letter.
- Your employer will now be more hesitant to boost your career any further than it currently lies, why should they when you are happy to hand in your resignation at the first sign of interest?
- It takes a decade to build a trusting relationship, but only a day to destroy it.
- Be very sure of your reasons for wanting to leave before you start going for interviews.
- If you accept a new position and then accept a counter offer from your current employer, you will need to turn down the offer you initially agreed to. This will leave your current employer wondering where your loyalties lie, as well as putting a ridge between you and the recruitment agency / company that offered you the new position.