Employers often use counteroffers to retain high-value employees who receive interest from other companies. If your employer offers you a job counteroffer, it can help to know how to evaluate your options. Choosing the employment offer that’s best for your situation can lead to increased job security as well as a higher salary and better benefits. In this article, we offer tips on how to handle a job counteroffer from your current employer.
How to evaluate a job counteroffer
There are a few ways to evaluate the terms of a job counteroffer, including:
1. Consider the total compensation
In addition to calculating the base salary and benefits package, check to see if your counteroffer includes a bonus or equity in the company. Next, carefully compare these numbers with your new job offer and figure out what is most important to you.
2. Determine if you are on a management track
If you have established good working relationships and have a good performance rating, try to see if this counteroffer puts you on a management track or will advance your career. You can do this by speaking to your employer directly and asking questions about your role in the company. If you receive a firm advancement offer, ask for the details in writing to determine if it is genuine.
3. Identify additional perks and benefits
Your counteroffer may include special perks and benefits that you didn’t have before. For example, your employer may offer the ability to work flexible hours or work remotely. If you’re interested in a perk that’s not explicitly stated in the new offer, consider discussing the matter during the negotiation stage. If you have been on the job for a considerable period of time and are perceived as a valuable employee, you could be afforded such benefits.
Related: .css-1v152rs{border-radius:0;color:#2557a7;font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;-webkit-text-decoration:none;text-decoration:none;-webkit-transition:border-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),background-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),opacity 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-style 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-width 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-radius 200ms cubic-bezier(0.645, 0.045, 0.355, 1),box-shadow 200ms cubic-bezier(0.645, 0.045, 0.355, 1),color 200ms cubic-bezier(0.645, 0.045, 0.355, 1);transition:border-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),background-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),opacity 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-style 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-width 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-radius 200ms cubic-bezier(0.645, 0.045, 0.355, 1),box-shadow 200ms cubic-bezier(0.645, 0.045, 0.355, 1),color 200ms cubic-bezier(0.645, 0.045, 0.355, 1);border-bottom:1px solid;cursor:pointer;}.css-1v152rs:hover{color:#164081;}.css-1v152rs:active{color:#0d2d5e;}.css-1v152rs:focus{outline:none;border-bottom:1px solid;border-bottom-color:transparent;border-radius:4px;box-shadow:0 0 0 1px;}.css-1v152rs:focus:not([data-focus-visible-added]){box-shadow:none;border-bottom:1px solid;border-radius:0;}.css-1v152rs:hover,.css-1v152rs:active{color:#164081;}.css-1v152rs:visited{color:#2557a7;}@media (prefers-reduced-motion: reduce){.css-1v152rs{-webkit-transition:none;transition:none;}}.css-1v152rs:focus:active:not([data-focus-visible-added]){box-shadow:none;border-bottom:1px solid;border-radius:0;}How to Choose a Job Offer.css-r5jz5s{width:1.5rem;height:1.5rem;color:inherit;display:-webkit-inline-box;display:-webkit-inline-flex;display:-ms-inline-flexbox;display:inline-flex;-webkit-flex:0 0 auto;-ms-flex:0 0 auto;flex:0 0 auto;height:1em;width:1em;margin:0 0 0.25rem 0.25rem;vertical-align:middle;}
Tips for evaluating a job counteroffer
If your employer presents you with a counteroffer, you may be unsure of what to do. Here are some tips for evaluating the counteroffer:
Know why you were searching for a new job
Now that you have to weigh a counteroffer, the first step is to determine what prompted you to apply for a job elsewhere. Suppose you are disappointed with your current boss, co-workers or company culture, resigning from the organization might seem appropriate.
Remember that your circumstances can influence the job you want. If you want more money, if you want to do something new or want a better work-life balance, try to determine if this is something you can get in your current organization.
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Determine why your employer made the offer
While you might be pleasantly surprised that your employer presented you with a counteroffer, try to determine why they are hesitant to lose you. Doing this helps you decide if accepting the offer can benefit your career. For example, It could be that you received an offer as an encouragement to stay until your employer finds a suitable replacement. In this case, your employer may end your contract once they find someone else to fill your position.
Or, on the other hand, your employer might recognize that you are an employee with hard-to-find skills and want to keep you in the company. A counteroffer could be a sign that your current employer believes in your ability and is willing to invest in your future at the organization.
Think about your lifestyle
It is important to determine if accepting the counteroffer will address the reasons that compelled you to look for work elsewhere. If you desire a different work environment; if you want to switch careers or you do not envision furthering your career in your current company, deciding to accept the new offer may be appropriate.
However, if higher pay was the main motivating factor for your job search, accepting a counteroffer is definitely something to consider if the proposal includes the desired pay raise.
Review the details of the counteroffer
Find out what your job duties and responsibilities will be after you accept the counteroffer. It is important to determine what will be expected of you. If you are offered a promotion, in all likelihood it will be accompanied by additional responsibilities.
Try to see if the offer is a good fit considering the additional duties. Also, determine the benchmarks against which you will be evaluated and whether you will be able to meet the targets. This will help you decide if the job counteroffer is a good fit for you.
Assess other alternatives
Think about the counteroffer in terms of the cost and benefit of waiting to see the kinds of offers that could materialize in the future. Determine if it is worth staying back until you receive such offers.
Once you have identified your most valuable elements in a job, devise a negotiation strategy and the sequence of how you will present your views to your employers. Find out if you have to deal with an intermediary such as someone from human resources or an administrator from your department. Prepare a list of questions and points to discuss. If you have to handle additional responsibilities for which you need to prepare, see if you can benefit from a mentoring or job rotation program.
Consider negotiating
When it comes to negotiating the counteroffer, be prepared to ask for what you want and take responsibility for improving your skill-set. If you know the value you bring to the company, you might convince your employer to offer you a better salary, more incentives or even a promotion.
It is important to note that you are not obliged to disclose the details of your prospective employer’s offer to your current boss. However, disclosing an offer from a top firm in your industry may give you an advantage by improving your negotiating power.
Related: .css-1v152rs{border-radius:0;color:#2557a7;font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;-webkit-text-decoration:none;text-decoration:none;-webkit-transition:border-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),background-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),opacity 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-style 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-width 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-radius 200ms cubic-bezier(0.645, 0.045, 0.355, 1),box-shadow 200ms cubic-bezier(0.645, 0.045, 0.355, 1),color 200ms cubic-bezier(0.645, 0.045, 0.355, 1);transition:border-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),background-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),opacity 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-style 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-width 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-radius 200ms cubic-bezier(0.645, 0.045, 0.355, 1),box-shadow 200ms cubic-bezier(0.645, 0.045, 0.355, 1),color 200ms cubic-bezier(0.645, 0.045, 0.355, 1);border-bottom:1px solid;cursor:pointer;}.css-1v152rs:hover{color:#164081;}.css-1v152rs:active{color:#0d2d5e;}.css-1v152rs:focus{outline:none;border-bottom:1px solid;border-bottom-color:transparent;border-radius:4px;box-shadow:0 0 0 1px;}.css-1v152rs:focus:not([data-focus-visible-added]){box-shadow:none;border-bottom:1px solid;border-radius:0;}.css-1v152rs:hover,.css-1v152rs:active{color:#164081;}.css-1v152rs:visited{color:#2557a7;}@media (prefers-reduced-motion: reduce){.css-1v152rs{-webkit-transition:none;transition:none;}}.css-1v152rs:focus:active:not([data-focus-visible-added]){box-shadow:none;border-bottom:1px solid;border-radius:0;}Salary Negotiation Scripts to Successfully Counter a Job Offer (With Examples).css-r5jz5s{width:1.5rem;height:1.5rem;color:inherit;display:-webkit-inline-box;display:-webkit-inline-flex;display:-ms-inline-flexbox;display:inline-flex;-webkit-flex:0 0 auto;-ms-flex:0 0 auto;flex:0 0 auto;height:1em;width:1em;margin:0 0 0.25rem 0.25rem;vertical-align:middle;}
Tips for declining the counteroffer
After carefully evaluating the counteroffer, if you feel that it is not in your best interest to accept, you can decline the offer and try to remain polite with these tips:
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Stay professional and try to leave a good impression. You may work with someone from your current company again in the future.
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
Thank your boss for the counteroffer. Let them know you appreciate their time and effort.
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
Give a brief reason why you said no. You do not have to give the real reason if you prefer to keep it private.
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
S**end an exit e-mail** thanking your team for their support. This can help you with future networking opportunities.
Stay professional and try to leave a good impression. You may work with someone from your current company again in the future.
Stay professional and try to leave a good impression. You may work with someone from your current company again in the future.
Thank your boss for the counteroffer. Let them know you appreciate their time and effort.
Thank your boss for the counteroffer. Let them know you appreciate their time and effort.
Give a brief reason why you said no. You do not have to give the real reason if you prefer to keep it private.
Give a brief reason why you said no. You do not have to give the real reason if you prefer to keep it private.
S**end an exit e-mail** thanking your team for their support. This can help you with future networking opportunities.
S**end an exit e-mail** thanking your team for their support. This can help you with future networking opportunities.
Related: .css-1v152rs{border-radius:0;color:#2557a7;font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;-webkit-text-decoration:none;text-decoration:none;-webkit-transition:border-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),background-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),opacity 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-style 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-width 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-radius 200ms cubic-bezier(0.645, 0.045, 0.355, 1),box-shadow 200ms cubic-bezier(0.645, 0.045, 0.355, 1),color 200ms cubic-bezier(0.645, 0.045, 0.355, 1);transition:border-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),background-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),opacity 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-color 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-style 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-bottom-width 200ms cubic-bezier(0.645, 0.045, 0.355, 1),border-radius 200ms cubic-bezier(0.645, 0.045, 0.355, 1),box-shadow 200ms cubic-bezier(0.645, 0.045, 0.355, 1),color 200ms cubic-bezier(0.645, 0.045, 0.355, 1);border-bottom:1px solid;cursor:pointer;}.css-1v152rs:hover{color:#164081;}.css-1v152rs:active{color:#0d2d5e;}.css-1v152rs:focus{outline:none;border-bottom:1px solid;border-bottom-color:transparent;border-radius:4px;box-shadow:0 0 0 1px;}.css-1v152rs:focus:not([data-focus-visible-added]){box-shadow:none;border-bottom:1px solid;border-radius:0;}.css-1v152rs:hover,.css-1v152rs:active{color:#164081;}.css-1v152rs:visited{color:#2557a7;}@media (prefers-reduced-motion: reduce){.css-1v152rs{-webkit-transition:none;transition:none;}}.css-1v152rs:focus:active:not([data-focus-visible-added]){box-shadow:none;border-bottom:1px solid;border-radius:0;}How to Decline a Job Offer (With Email Examples).css-r5jz5s{width:1.5rem;height:1.5rem;color:inherit;display:-webkit-inline-box;display:-webkit-inline-flex;display:-ms-inline-flexbox;display:inline-flex;-webkit-flex:0 0 auto;-ms-flex:0 0 auto;flex:0 0 auto;height:1em;width:1em;margin:0 0 0.25rem 0.25rem;vertical-align:middle;}
Tips for accepting the counteroffer
If you decide to accept the counteroffer and stay with your current company, the next step is to let the prospective employer know that you are declining the offer. Here are a few tips that can help make the process easier:
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
Say thank you and let them know that you appreciate their consideration.
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
Acknowledge the time the organization invested in reviewing your application and in including you in the interviewing and hiring process.
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
Briefly explain why you decided not to accept the job offer.
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
Offer an apology and state that although the current circumstances prevent you from joining their company, you would love to maintain professional ties.
Say thank you and let them know that you appreciate their consideration.
Say thank you and let them know that you appreciate their consideration.
Acknowledge the time the organization invested in reviewing your application and in including you in the interviewing and hiring process.
Acknowledge the time the organization invested in reviewing your application and in including you in the interviewing and hiring process.
Briefly explain why you decided not to accept the job offer.
Briefly explain why you decided not to accept the job offer.
Offer an apology and state that although the current circumstances prevent you from joining their company, you would love to maintain professional ties.
Offer an apology and state that although the current circumstances prevent you from joining their company, you would love to maintain professional ties.
Next, you have to disclose your decision to your current employers. Here are a few ways to remain polite and professional:
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Tell your boss immediately.
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
Thank your employer for the counteroffer.
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
Show appreciation and gratitude to your employers for identifying you as a valuable employee.
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
Convince your boss that you will work hard to meet your new goals and fulfill your new duties and responsibilities
- .css-1g5t2dl{font-family:”Noto Sans”,”Helvetica Neue”,”Helvetica”,”Arial”,”Liberation Sans”,”Roboto”,”Noto”,sans-serif;font-weight:inherit;color:#595959;font-size:1.25rem;line-height:1.5;color:#2d2d2d;margin-bottom:0;font-size:1rem;margin-top:1.5rem;}html[lang=ja] .css-1g5t2dl{font-size:1rem;line-height:1.75;}@media screen and (min-width: 62em){.css-1g5t2dl{font-size:1.25rem;margin-top:2.5rem;}}
Sign your contract to make your offer official
Tell your boss immediately.
Tell your boss immediately.
Thank your employer for the counteroffer.
Thank your employer for the counteroffer.
Show appreciation and gratitude to your employers for identifying you as a valuable employee.
Show appreciation and gratitude to your employers for identifying you as a valuable employee.
Convince your boss that you will work hard to meet your new goals and fulfill your new duties and responsibilities
Convince your boss that you will work hard to meet your new goals and fulfill your new duties and responsibilities
Sign your contract to make your offer official
Sign your contract to make your offer official
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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 organization might be reluctant to hire you again.
Or, now that your current employer knows that you considered leaving the organization, they may scrutinize your actions more than before. You might then face additional demands and high expectations that might be difficult to meet.