Counter Offers - Be Prepared!

"Hi it's xxxx, I'm really sorry to do this but I have just been offered more money by my current company. I won't be taking the role with xxxx, but thanks for all the time you've spent helping me. If my situation changes, I will let you know."

Sound familiar?

Let's face it, every placement that a recruiter makes can be a very long (and at times tedious) process to make sure you get everything right and perform the way that is expected of you. From agreeing on terms to writing the offer, it can take weeks and even months to get there.

On occasions, we do have placements that fall out of bed. To anyone new to the world of recruitment, this can be really upsetting, but to seasoned recruiters, it can be a pain in the backside that they could do without.

There are numerous reasons why someone will start looking for a new job. The following may apply to your industry, but as a whole, it's really aimed at recruitment. Let's break down each reason why:

1.) Feeling underpaid

More often than not, financial security is one of the most common reasons to stay in a role. According to a poll that I ran a few weeks ago (above), 27% of voters actually prioritised the financial security that a role gives over their own happiness.

Therefore, if you're not happy in a role and aren't paid what you think you should be, chances are you should start looking elsewhere.

2.) Being Unhappy

Again, a very obvious but relevant point. We spend more time at work during the week than we do with our own families. Being unhappy in the workplace can often mean it trickles into your personal life, and this of course can often spiral out of control.

If you're unhappy, it's not worth your health or family life being at risk, so get out asap. The point above can contribute to this, as can:

3.) Micro-Management!

Unbelievably, this still exists. Managers KPI'ing the hell out of their employees and belittling them if they don't hit all their targets. I've even had a candidate tell me a few years ago that their company insisted that team members had to walk through 'The Door of Shame' if they wanted to leave on time so that everyone could see.

These intimidation tactics should have been stamped out years ago, and unfortunately, a lot of it boils down to trust in the employee to do the job as required. Thankfully, for every company that micro-manages their team, there's a lot more per sector that won't, and that is proving to be the difference-maker for a lot of hiring managers obtaining the best possible staff.

4.) Loss of passion / wanting a change

It could just be the simple reason that you've lost your passion for the type of role you're doing, and thus want to try something new. This happens usually when the role has been performed for a long period of time with no real change.

But I think it's important to ask yourself - why? Is it the company not keeping your passion alive, or the industry itself? These are often hard to differentiate, especially for those who have only worked for one company in that sector.

Take recruitment, for example - there are literally thousands of companies in the UK alone, and no two are the same. Every single one has its strengths and weaknesses and is a minefield when deciding which one you should work for. And one back experience at the start of your recruitment career can put you off the industry altogether. For those experiencing the latter, your company isn't representative of the industry as a whole, so remember that moving forwards.

5.) Lack of recognition

This can come in various forms. For many in recruitment, the recognition comes in the form of commission for making placements, a performance-based bonus, or even their line manager verbally expressing their appreciation. To most, this is all they need to motivate and continue to perform in their role to a high standard, and if that's you, then brilliant!

But to some, a figurative pat on the back or an actual word of praise can be the difference between being happy or unhappy in the workplace. Often employers will make the mistake of only speaking to their team in a negative way if something hasn't gone right. From my own personal experience a few years back, I once made 3 placements in one week but was made an example of for being 15 seconds (yes, you read that right), away from hitting my call time for the week. It made me feel like there was no point in working hard as they won't recognise it anyway. I'm sure I'm not alone in that. If your employer is like this, no counteroffer will ever change this mentality. If anything, it will make it worse as there will most likely be a higher expectation from you if they give you a pay rise.

6.) Travel Time / Lack of Hybrid Working

I'm going to be completely blunt here - if you are a Director within recruitment who in 2022 still doesn't make allowances for any form of flexible or hybrid working - what the hell are you doing!? As a recent poll of mine suggests (and I mentioned this in my last article), you could be reducing your talent pool by 76% just by having this mindset. If it takes a key member of the team resigning to make you want to change this, then it is far too late. And if this is something given as part of a counter offer, then expect a fair bit more micro-management from that point on.

I think there's a safe assumption to make here:

"If a counter offer is because of points 2-6, then probably not going to work out long term!"

If it is purely down to money, then a counter-offer of a pay increase would make sense to accept. However, in this seasoned recruiter's experience, it's rarely the only cause.

Counter-offers are a minefield, it's important to stay level-headed when receiving one, and if anything is offered, to let the dust settle first before making a decision that could potentially lead you back to square one a few months later.

On the other hand, if a new company has offered you everything you wanted, and your gut is telling you it's the right move, then never lose sight of that. Trackback to why you started looking, and expect a tricky conversation with your soon-to-be former employer once you had in your notice. If you know a counter offer is coming, it'll be easier to stay calm.

I'm always happy for a chat with anyone who is experiencing any of the above, so if it sounds familiar, drop me a message today for a more in-depth chat!