How to handle a counter-offer from your current place of work
You’ve found a new job, accepted it and informed your current place of work. Once you hand in your resignation letter, the hard part is over. Right? What happens if your boss makes a counter-offer. Do you have what it takes to handle a counter-offer from work gracefully?
What’s the thought process behind a counter-offer?
There are several reasons behind issuing a counter-offer. It is, at its barest form, an effort to keep a high performing employee at the place of work. Thus, it usually comes when said employee hands in their notice. However, there are more reasonable explanations a company might wish to put forward about their counter-offer, including:
- A desire to protect the employee’s knowledge aboutt the company, its practices and client base
- To avoid passing the extra workload to the remaining employees
- A desire to avoid the costs of hiring and training a replcement
- An effort to retain the existing team dynamics and relationships
There are several factors, such as a good salary and growth opportunities within the company, that make an employee feel appreciated. So when a high-performing staff member decides to quit, the employer might attempt to convince them to stay by offering:
- A promotion and/or increase in salary
- To make changes to the reporting structure
- To set up a meeting with the CEO to discuss your position within the company
- Validation for your role as an employee
Consequences of handling a counter-offer by accepting it
What happens if you think that accepting this offer is the best way to handle a counter-offer? After all, you are already familiar with the working environment, the processes, the colleagues and the clients. You don’t have to be a newbie at another company. With a pay rise and promotion, you can continue working at a place where you are already comfortable.
Right?
Wrong. No matter how enticing it is to accept a counter-offer, your best bet is to move forward with the new job. For one, the work culture may be a significant reason behind your decision to leave. No amount of increased salary or shiny new designation is going to make a toxic environment less toxic.
If the counter-offer only changes the amount of compensation you receive, is it really a benefit? Yes, you have a hike in your pay, but there won’t be any opportunities for growth. You would essentially be stuck in the same place.
Are you worried about how to handle a counter-offer simply because your present employer doesn’t want to find a replacement? In which case, it is less about appreciating and recognising your value and more about avoiding a hassle for them.
And in the end, even if you stay, it will be uncomfortable. After all, by handing in your notice, you have effectively communicated that you do not want to work at your office any longer.
Tips on dealing with a counter-offer graciously
Whether or not you decide to accept this offer, you have to be tactful. Depending on your choice, you will either
- be turning down your current employer, or
- turn down the new employer, after you decided to accept their job offer.
If you don’t handle the counter-offer properly, it can negatively affect your professional image.
Revisit the reasons for leaving
Why did you seek a new job? While counter-offers usually involve money or a promotion, these are not the only reasons for company turnover. Is it the work culture or a desire for a better work-life balance that made you want to quit? Or do you have a manager that you cannot work with? Rethink your decision to leave. Doing so will help you to determine whether your reasons are irreconcilable or whether you can compromise with the company.
Check the terms of your offer
Ask your manager why the company made the counter-offer. Is it because they value you as a member of the team? Or do they just wish to avoid the cost of hiring and training a replacement? Once you have all the facts, request some time to think over the proposal. However, we recommend a maximum of 48 hours to communicate your decision. It is courteous to both your current and prospective place of work.
Weigh the pros and cons of the counter-offer and the new job offer
Which offer would help you grow as a professional the best? And which decision will lead to the most personal satisfaction and healthiest work-life balance? A good salary and benefits are all well and good, but there are more things you have to consider when you handle a counter-offer.
Pay attention to your intuition
‘Listen to your gut’ is a cliche for a reason. You can weigh the pros and cons all you want. However, sometimes being logical and rational does not lead to the best results. No matter how attractive the proposal may be, and how tempted you are to just forget your grievances, if you have a nagging feeling that accepting is not the right thing, then go with that feeling.
Be prepared to deal with the consequences of accepting a counter-offer
Accepting a counter-offer comes with some risks to your reputation. The management and your colleagues will perceive you as a disloyal member of the team. The move will also tell them that you no longer find joy in working with them. Moreover, when you accept the proposal, you will be seen as an indecisive, materialistic person. The hiring managers of the other company will also gain a negative impression of you. It might affect your chances in the future when you search for jobs again.
