Now more than ever employers are struggling to retain good quality staff. Therefore, it is more likely for individuals to receive a counteroffer when announcing resignation.
It is difficult to decide whether to accept a counter offer or not, so here’s some insights to help make that decision run smoothly.
“Our research has shown that while many professionals have received counter offers during their resignation process, 39% of those who accepted returned to the jobs market within a year," says Sarah Owen, Director of Walters People.
This suggests that employees who have considered leaving a company and have found an alternative role will not be persuaded to stay long term.
Your current employer wants to buy you back
It is in an organisation’s best interest to retain their best staff if they can, so when a valued team member hands in their notice, managers will often try to financially incentivise the employee to stay.
Firstly, you should decide whether the counter offer will truly address your original reasons for wanting to leave and what progression would come about if you chose to stay. Change can seem daunting and increased pay and progression is appealing, but before you accept the offer, consider the below:
1. Why did you start the job search in first place?
While financial rewards are attractive incentives, recent research by Robert Walters has shown that employees are most likely to look for new job opportunities that offer them better career progression.
So, accepting a counter offer purely for the financial benefits doesn’t mean that you won’t still feel dissatisfied in your role in a few months’ time.
2. Would you have received a pay rise or promotion if you hadn’t resigned?
Consider whether you would have received this recognition of your hard work if you hadn’t handed in your notice, and if not – do you want to stay at a company that doesn’t reward its employees until they hand in their resignation?
In some cases, employers will offer an increased salary as a counter offer at the direct expense of a bonus payment.
3. Will this affect the relationship with your employer?
Many professionals have received counter offers during their resignation process, 39% of those who accepted returned to the jobs market within a year.
Think about whether your employer's opinion of you will be coloured by the fact that you even considered leaving.
If you have been looking for another job, then your employer may see you as less trustworthy than before and could view any dental or doctors appointments suspiciously which may make you feel unsettled at work.
4. Are the reasons behind the counter offer in your best interest?
Remember that it is usually cheaper to keep an employee through a pay rise or promotion than it is to hire and train a new member of staff, so this may be the main reason your employer wants you to stay.
"While it is clearly in your employer's interest to retain you, this doesn’t change the fact that you’d been unhappy enough at work to not only look for another opportunity, but to interview and subsequently receive an offer for a new job," continued Sarah Owen.