Why Counteroffers Are a Risky Game for Employers and Candidates

In today’s fiercely competitive hiring market, counteroffers are becoming increasingly common. You find a fantastic candidate, make the offer, they accept… and then their current employer swoops in with a better package to convince them to stay.

28/03/2025

In today’s fiercely competitive hiring market, counteroffers are becoming increasingly common. You find a fantastic candidate, make the offer, they accept… and then their current employer swoops in with a better package to convince them to stay. On the surface, a counteroffer may seem like a win-win — but scratch beneath and it’s clear that this is often a short-term fix that can backfire for both parties.

🚩 For Employers:

Retaining someone with a counteroffer might save time and money in the short term, but it rarely addresses the real reason they were looking to leave. Salary is just one piece of the puzzle — issues like lack of progression, poor management, or burnout won’t disappear with a pay rise. More often than not, that person will still leave within 6–12 months, and now the business is out of pocket and behind on succession planning.

🚩 For Candidates:

Accepting a counteroffer can seem flattering — who doesn’t want to feel wanted? But it often muddies the waters. Your employer knows you’ve got one foot out the door, and trust can be hard to rebuild. Plus, that shiny new offer on the table came from a business that saw your value straight away. Do you really want to stay where you had to threaten to leave in order to be rewarded?

💡 Our Advice:

For employers — focus on genuine retention strategies, not reactive pay hikes.
For candidates — be clear on your reasons for leaving and stick to your values.
And for both — open, honest conversations always go further than last-minute counter-manoeuvres.

At Recruitment Chief, we advise clients and candidates alike on navigating offers with integrity, clarity, and long-term thinking. Need support on handling counteroffers in your hiring strategy? Let’s talk.

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