It looked like the week was
off to a great start until a really valuable employee came into your office to
announce their resignation. Panic sets in with visions of covering the
workload, lost sales, production declines or disappointed customers. Instinct
and defense guide you to offer the employee a nice fat raise to stay. The
employee stays and everyone’s happy, right?
counter-offer so quickly. I have rarely seen counter-offers work as an
effective long term solution.
the job hunt or took a call from a head hunter they have just interviewed for,
and accepted a new position. It’s exciting to anticipate a fresh opportunity.
Long before they spread the word it’s likely that they emotionally resigned.
them into staying and keep them happy for a while, but will you give them a 20%
raise next year? When news leaks out
about the windfall are you prepared to continue this precedent when the next
counter-offer forget to delve into the reasons for the resignation. It may not be all about the money there could
be other factors that additional cash won’t change.
reasons behind the move and the potential impact of a counter-offer. A more
reasoned response could include some job changes or perks that don’t add to
base pay. You may also shake the person’s hand, wish them well and make a
reservation for the farewell lunch.
mouth another employer, negotiate endlessly or diminish the employee’s value in
any way. It’s a small world you might work together again and it could be at