Many people find themselves at a crossroads when their current employer responds to their resignation with a counter-offer. In our experience, we have found that most people who accept counteroffers find themselves looking for a new job a few months later. Although you may be enticed to stay, here are four reasons why you shouldn’t accept.
For many, feeling undervalued in their role is the catalyst for looking elsewhere. If it takes your resignation for your employer to be incensed to offer you more, you would be better off with an organization that is less reactive in helping you fulfill your career ambitions and will value you as an important asset.
A decision to leave usually isn’t just about salary. Usually, there are other issues at play with company culture and management that an increase in pay won’t remedy. If you’re somewhat richer, but still miserable, is it really worth staying?
Once your employer knows that you’ve interviewed elsewhere, you plant a seed of doubt into their mind. They may no longer view you as a team player, and could potentially select you to be the first out the door if there is are layoffs.
This may seem counter-intuitive, however, if you do accept a counteroffer that results in a substantial increase in salary, you may end up being overpaid compared to the market rate for your level of experience. This could make an external move in the future challenging, as your remuneration won’t accurately reflect your value in the market.
When speaking with your manager about your resignation, you must make a decision and stick with it. Although a counteroffer may seem welcoming, as you’ve built up equity in the organization, most people experience the most growth by making an external move.
If you’re unsure how to manage your counter-offer or have other career movement questions, contact us.