The Talent Initiative

“Counter offer”. Two words that make any recruiter or hiring manager wince. You’ve finally found the right person, sent out the contract…and then their current employer swoops in with a pay rise, a shiny new title, or promises of greener pastures.

With the talent market heating up, counter offers are popping up everywhere in IT recruitment. Most advice out there focuses on what candidates should do when they get one. But let’s flip the script: what about the employer making the offer?

Let’s be honest: it feels good to be wanted. When your employer suddenly sees your value and tries to keep you, it’s flattering. You might even start to think, “Maybe this place isn’t so bad after all.” But before you accept, here are some things to consider:

The Honeymoon Never Lasts
Stats don’t lie; most people who accept a counter offer leave within 24 months anyway. Why? Because the real reasons for wanting to leave (lack of progression, management issues, company culture, politics) usually don’t go away. A pay rise feels great…for about three months. Then it’s just your new normal.

Is It Really About You?
Sometimes, a counter offer is just your employer’s way of avoiding the hassle of replacing you. Once you’ve resigned, trust can take a hit. Suddenly, every phone call looks like you’re job-hunting. Opportunities for advancement might dry up. And if you used your resignation as a bargaining chip, be ready to follow through because that card only works once.

For Employers: Prevention Beats Cure
If you’re an employer, don’t wait for a resignation to show your appreciation. Stay close to your team, keep an ear to the ground, and address issues before they become deal-breakers. A counter offer might buy you time, but it rarely fixes the root problem. And be careful, if word gets out that resigning leads to a pay rise, you might open the floodgates.

The World Goes On
Losing a star employee is tough, especially mid-project. But making promises you can’t keep, or holding yourself hostage to a fear of losing talent, isn’t the answer. Sometimes, it’s best to wish them well and move on. If you need help finding great talent, that’s where we come in.

Our Advice?
At The Talent Initiative, we rarely recommend giving or accepting counter offers (unless there’s a genuine, easily fixed mistake). It’s not about making a placement fee. It’s about experience. Once someone’s handed in their resignation, the relationship has already changed. Be brave, accept the decision, and look forward.

Tomorrow’s a new day and there’s always great talent out there.