Counter Offers

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Reasons companies extend a counter offer:

  • Department morale will suffer when you leave.
  • Your resignation will not look good on your manager’s record.
  • It is cheaper to give you a raise than recruit a new employee.
  • The project you were working on will suffer delays because of your departure.
  • Companies want a low turnover rate.
  • Companies do not want sensitive or confidential information going to a competitor.
  • Companies do not want skilled professionals going to competitors.

Reasons for not accepting a counter offer:

  • Aside from money, your original reasons for leaving your job will still be present after accepting a counter offer.
  • The money extended to you in the counter offer often comes out of your next raise or bonus. Companies usually have strict guidelines about salary increases and promotions.
  • You will not be considered a loyal employee from here on out; therefore, you will never be included in the “inner circle”.
  • When promotion time comes around, managers remember who was loyal and who was not.
  • If the company hits rough waters, you will be the first to be let go.
  • You had to threaten to leave in order to receive the rewards and career path you have earned.
  • Often, when you accept a counter offer, your manager will already be looking for your replacement.
  • Statistically, 80% of all employees who accept a company’s counter offer end up leaving that company within 6-9 months.