INTERSEARCH ASSOCIATES
In a high-demand market, sought after positions come with many incentives for qualified individuals. When an employee announces their departure especially during a peak season, finding a quality candidate is a daunting challenge. It is more cost effective and less disruptive for companies to retain their top talent. Employers will often present a counter offer to incentivize an employee to stay with the team, rather than having to invest in an extensive search for new talent.
A counter offer may sound like a fantastic opportunity – avoid change and improve your working conditions in the process. In reality, accepting a counter offer is the beginning of the end.
When an employee is offered with a new opportunity and informs their supervisor, they may respond with a counter offer. This is usually a pay increase, a bonus (or the promise of one), or an action plan to appease a concern or problem that the employee presented, in an effort to retain the employee.
The allure of a counter offer can be confusing, and evaluating the options may be tempting – especially if presented with a juicy incentive, like the common retention bonus.
In reality, counter offers rarely meet the expectations of either party in the long run. The proposed bonus, promise, or action plan is often not sustainable nor fully carried out. This leaves the employee feeling even more unsatisfied, and seeking opportunities again.
When an employee notifies their supervisor of their intended departure, it causes stress on the department, the company overall, and on the supervisor himself. If personnel leaves to work elsewhere, it is an implied negative reflection on the supervisor’s leadership.
Demonstrating a lack of loyalty in this way can break down a relationship. It’s natural for the supervisor to see the employee as no longer a team-player for the company. Preferable to having a vacancy, the supervisor attempts to keep the employee on board (for even a short amount of time.) In order to keep production rolling, a counter offer is just a stall tactic until the employee can be replaced – on the supervisor’s terms – or the first in the next reduction of force.
In short, there is no way to prevent a counter offer. Instead, try to address what’s on your mind in a constructive way. Before looking for external opportunities, employees should voice their concerns. Supervisors want employees to feel content in their work environment. Work together to set clear goals and follow up with an action plan. Include detailed steps to improve working conditions or salary standards. Present tangible and realistic solutions to valid concerns.
Let’s face it. Conducting a job search and going through the interview process takes time and effort, so best to be sure you have made every effort to reach your goals and job satisfaction with your current employer before you initiate a job search.
The best way to prepare for a counter offer is to have clarity of your goals and expectations. Writing these down will serve as a reminder of why you are leaving and what attracted you to the new job (which will avoid being easily swayed in the moment). Consult with an industry expert to evaluate the options and gain confidence with the decision. Making a job change can be scary at times, and it feels much easier to stay with the familiar than dare to move towards the unfamiliar. Make the decision to leave, announce the plans, finish your two weeks strong, and then move on.
Stick to the plan and do not feel tempted by an enticing counter offer, no matter how much easier it would be to stay. Look forward to the exciting new future and not backward at what could have been.
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