The Ins and Outs of Counteroffers: How You Should Handle It?

When you have decided that you want to leave your job, it’s not an effort to be taken lightly. Afterall, you have spent hours looking for a new job and poring through job boards, speaking to recruiters and hiring managers and completing rounds of interviews.

Finally, you have an offer in hand for a position you are truly excited about. But when you give your formal notice to your current employer, and your resignation later, you are served with a counteroffer. What do you do?

Whether or not to accept depends on your situation. What does your career need next? What options on the table are going to get you there? Are you going to fulfil the needs that you have?

The lure of counteroffers: how did it happen?

Traditionally counter-offers have focused on increased salaries and financial incentives such as bonuses. But since the pandemic, people are increasingly looking for offers to satisfy work-life balance priorities.

This was also a way for companies to guard against talent losses and avoid the process of hiring and training new staff. In recent times, counteroffers seem to be the norm with research suggesting that 90% of employees who quit in recent times were offered attractive counteroffers by their current employers.

The question is: should you stay or should you go?

What to consider when you receive a counteroffer?

Ask yourself why you decided to look for a new position in the first place: was it disorganisation? lack of opportunities? poor compensation or a lacklustre company?

Another question to ask if what will change if you accept the counteroffer – could it be a higher salary or a completely different team?

Lastly, what options will get you closer to your long-term career goals? What puts you in the best position that you want to be in?

It is tempting to consider accepting a counteroffer. If you stay where you are, you won’t have to learn new skills or deal with a new team. But with a new company, you will be able to align your values and start from fresh without the question mark next to your commitment.

Potential risks of accepting a counteroffer

By accepting the counteroffer, you may encounter several risks. For instance, if you decide to decline the new job offer, that organisation or recruiter might be reluctant to hire you again.

If your current employer knows that you considered leaving the organisation, they may scrutinise your actions more than before. You might then face additional demands and high expectations that might be difficult to meet.

How do you decline a counteroffer?

You could tell your boss that while you appreciate the offer and consideration, it is time to move on to a new opportunity. You may want to thank them for your time in the role or any specific skills you enhanced while in the role.

Write a resignation letter, have the necessary conversations with your boss and team, and finish your time with professionalism.

The value of new opportunities

There’s a famous saying “there’s no reward without some risks”. Turning down a counteroffer and moving on to a new company could take your career to the next level. The new company might offer better career development opportunities or, at very least offer you a chance to tackle a new challenge and reach a new personal best.

The best way is to connect with your recruiter so you have all your facts lined up to make the best choice for your professional growth.

Unsatisfied with the job offers you’ve been getting, but not sure how to turn things around? Explore our job boards in Asia to find the right role or get in touch with our team of specialised recruiters to have a chat.