The recruitment process can be both time consuming and costly especially to get it right. Once you have offered the job to your preferred candidate, it can be hugely frustrating to know they have been counter-offered by their current company in order to stop them leaving. Counter offers are on the increase and if you recruit on a regular basis you are likely to come across it more and more often. The economy has picked up, people are on the move and companies do not want to lose their talent meaning that counter offers have risen by 40%. Sometimes the candidate will take the counter offer but it is possible you can be successful in securing them. 60% of candidates that accept counter offers are still likely to exit the business within the following 6 months.
Avoiding Potential Counter Offers
By asking interviewees questions around counter offers during the interview process you could save yourself a lot of time and headaches later down the line. The questions below will help you gauge whether a counter offer is likely to arise.
• Why are they unhappy in their current position and why are they looking to leave?
• Have they done anything to address the situation with their employer?
• Have they had a conversation about their concerns with their employer?
• How did they respond?
• If they are successful in securing this new position, do they think they are likely to be counter-offered? And how would they respond?
• Under what circumstances, would they be likely to stay? Would a solely monetary counter offer solve the problem?
• Are they likely to be in the same position again in six months’ time?
• How committed do they seem to their reasons for leaving?
Managing a Counter Offer
Although many companies may offer an increase in salary, it is not always the reason behind someone’s decision to stay or go. They obviously want to leave or they wouldn’t be applying for other roles. Influencing factors could be surrounding money, but usually there is more than one pressing factor. Maybe they have lost the feeling of commitment to the company and to their boss, there could be a lack of progression and opportunities for the future or they simply may no longer be enjoying the work. Don’t be too disheartened if a counter offer does happen from either their current employer or rival companies.
If you have been working with a recruitment consultancy they should have preempted these possibilities before the interview, they may also be able to help resolve the issue by arranging for the candidate to come back in to see you, or having a conversation to reaffirm why they were interested in joining you in the first place.
If all else fails and the candidate is purely money driven, they may well be back on the market again in 6 months, and by then you may question whether they were the right person for you.
At Bond Williams we will be pleased to advise you on any aspect of your recruitment, selection or retention processes. If you would like further information don’t hesitate to get in contact with us on 01202 233777