Skip to content
All posts

Your employer’s counteroffer: how to make the right decision ?

Professional comparing an employer’s counteroffer with a new job offer.

You applied for a new role after taking some time to think it through. You went through the various stages of the recruitment process. At the same time, your decision to leave your current employer became clearer and stronger. You are finally the successful candidate and receive an offer from your potential future employer.

And then your current employer comes back with an improved offer.

What should you do?

Here is what is likely to happen over the next few hours: you will feel valued. Perhaps relieved. Maybe even slightly trapped. Questions you thought you had already answered will suddenly resurface.

In recruitment, we see this situation very regularly. We have seen people stay and be happy with that decision a year later. We have seen others stay and regret it almost immediately. What makes the difference is never the amount of the counteroffer. It is the quality of the thinking that took place before making the decision.

This article is not here to push you towards leaving, nor to convince you to stay. The right decision may absolutely be to remain with your current employer. Our aim is simply to ensure that you have all the information you need so that the decision is genuinely yours.

So, we suggest taking a sheet of paper and a pen, and working through it together.

 

What Is Happening in Your Mind ? 

 

“Two things stand in the way of a wise decision: haste and anger.”

— Thucydides

The quotation should be displayed as a simple quotation block, not as a green callout. Add a subtle vertical green line on the left.

A counteroffer arrives at the end of what is often a lengthy recruitment process, after weeks of uncertainty, interviews and negotiations. You have mentally prepared yourself to leave. And just when you thought you had closed that chapter, you are suddenly being asked to open the door again.

At this stage, the decision ahead of you is not purely rational. It is an emotionally charged moment where several cognitive biases will operate behind the scenes, often without you even realising it.

Identifying them does not make them disappear, but it helps prevent them from distorting your judgement.

Loss aversion ⚠️

Kahneman and Tversky demonstrated that people experience the pain of losing something much more strongly than the pleasure of gaining something equivalent.
Staying means “not losing anything”. Leaving means taking a risk, even when the potential benefits are real and tangible.

Status quo bias 🛋️

The default option — staying — always appears less risky, even when the reasons that pushed you to leave have not changed at all.
What is familiar feels reassuring, even when it is frustrating.

Ego validation 👁️

Being asked to stay feels flattering. This sudden recognition can hide a simple reality: it could — and perhaps should — have happened much earlier.
The feeling of finally being “seen” is powerful, but it does not solve the underlying issues.

Reciprocity bias 🔄

Your employer is making an effort. Unconsciously, you may feel the need to respond with an effort of your own.
This social mechanism, extensively documented by Robert Cialdini, is one of the most powerful human behaviours and one of the easiest to trigger.

Sunk cost effect 🧱

You have built something here: relationships, knowledge, experience and a shared history.
It is tempting to give too much weight to this past when making your decision.

Guilt and loyalty 🤝

Leaving people who appreciate you can trigger a genuine sense of guilt. This feeling is understandable.

But it is not, by itself, a valid professional reason for making a major career decision.

Post-decision cognitive dissonance 🧩

Once you have announced your resignation, you naturally tend to look for arguments that justify your decision.
The counteroffer challenges this mental process, and your brain may sometimes perceive it as a threat rather than an opportunity.

In other words: if you feel an instinctive resistance towards the counteroffer, this does not necessarily mean that it is a bad offer. It may simply be your brain protecting a decision it has already made.


 

What is happening in your employer’s mind ?

The situation is similar, but the dynamics are different. Your employer is also experiencing an emotional moment, although the emotions involved are not the same.

A reaction under pressure 🚨

Your announcement creates a shock. Faced with an urgent situation, your employer reacts to try to fill the gap.

This reaction may be genuine, but it is not necessarily carefully considered, nor does it always represent a long-term structural change.

Calculating the cost of replacement 💶

Recruiting is expensive — between 30% and 150% of an annual salary depending on the position.

This calculation is often a stronger driver behind a counteroffer than genuine recognition of your value.

A pre-existing retention budget 💼

Many companies have budgets specifically dedicated to employee retention.
What you are being offered may have already existed, but the company was simply waiting until you decided to leave before activating it.

This gives you valuable information about how the organisation operates and should be interpreted accordingly.

Management continuity bias 🔒

Your manager often prefers the certainty of the person they already know rather than the uncertainty of recruiting someone new. Their short-term interests are not necessarily aligned with your long-term career interests.

“A counteroffer is not a declaration of love. It is often a business decision presented as recognition.”

That said, employers are not always simply playing a role. There are managers who are genuinely unsettled by your departure and who realise, at that moment, that they have not taken enough care of a relationship that matters to them.

 

A counteroffer can be awkward in its execution but sincere in its intention. These two things are not mutually exclusive, and your own understanding of your employer is the best guide to distinguishing between them.

 

Let’s go back to the source: why did you want to leave? 🔍

This is the central question of the entire article. Was your salary no longer sufficient? A lack of career opportunities? A difficult relationship with your manager? A deep sense of boredom that you could no longer ignore? A need for change that was difficult to express but very real? The feeling that you could not see where you would be in two or three years?

This is the filter you should apply to any counteroffer. Because, in the vast majority of cases, a counteroffer addresses only one of these issues: salary. It leaves everything else untouched. If you wanted to leave because you were bored, because your manager was exhausting you, or because the company culture no longer matched your values, a 20% salary increase is unlikely to change much about those realities. They will still be there in six months. And the offer you have today from another employer will no longer be available.

 

The missing conversation 💬

There is one aspect that is not discussed often enough: How many times did you genuinely tell your employer what was not working for you?

When we feel frustrated in a role, we often tend to dwell on our dissatisfaction, look elsewhere, but not necessarily express clearly what is wrong.

The counteroffer moment is often the first time when everyone truly starts talking. The employer discovers frustrations they had not fully understood. The employee hears, for the first time, just how much they are valued.

If this is your situation, it is worth asking yourself an honest question: Could this conversation have happened earlier? And if so, why did it not happen? The answer will tell you a great deal about the culture of this organisation and what you can realistically expect from it in the future.

 

What your resignation has already changed 🔄

There is something we consistently underestimate: simply announcing that you are leaving has changed the relationship, and it cannot be completely reversed.

Even if your employer convinces you to stay enthusiastically, part of them now knows that you wanted to leave.

That you looked elsewhere.
That you found another opportunity.
That you almost did not come back.

And you know that they know.

Some managers handle this very well; others struggle more.

In some organisations, you subtly become “the person who almost left”, and this perception may influence future decisions: promotions, reorganisations, career opportunities.

There is also the question of your own relationship with the company. Once you have done the mental work of leaving; once you have imagined what comes next, pictured yourself somewhere else, and had exciting conversations with other teams, it is difficult to completely “unlearn” that experience. The decision to stay is often made with a different mindset from the one you had before.

Your employer’s counteroffer (1)

The difficult factors to weigh up⚖️

There are two dimensions that traditional pros-and-cons lists struggle to capture, yet they can have a major impact on your decision.

 

🤝 The Human Connection

Reducing a counteroffer to a financial calculation would be overly simplistic. Loyalty is not a weakness. The relationship with your colleagues, the pride you feel in being part of a project, and the difficulty of leaving relationships built over several years are all real and important factors.

But precisely because these emotions are genuine and powerful, you need to be careful not to let them alone drive a major career decision. Leaving a job is already difficult under normal circumstances. When your employer actively tries to convince you to stay, with what appears to be genuine sincerity, the decision can become even more challenging. If you were already struggling to make the decision to leave, you are now in a moment of vulnerability. This is exactly when you need to be at your most clear-headed.

The real question is not: “Do I like the people here?”. The answer is often yes. The better question is: “Will staying here allow me to become the person I want to be professionally in two or three years?”

 

✨ Serendipity 

Serendipity (noun): the ability to make a fortunate or valuable discovery unexpectedly, while having the curiosity and judgement to recognise its value.
It describes those situations where you find something you were not looking for, but which turns out to be particularly relevant or beneficial.

 

There is a dimension that comparison tables cannot measure: what change can create unexpectedly. Changing companies means changing your environment and your opportunities. You meet new people: some may become valuable colleagues, others close friends, and others may become professional partners many years later.You develop skills that you may never have built while remaining in the comfort of what you already know. You discover different ways of working — sometimes better, sometimes less effective, but always rich in learning.

These elements do not appear in a comparison table. They only become visible with hindsight.Even when everything does not go exactly as planned, simply making a move creates opportunities and experiences that you could never have anticipated by staying where you were.

 

How to make the decision: practical steps🧭

 

⏳ First rule: do not decide within 24 hours

Give yourself at least one night to think about it, and ideally a full weekend.

The emotional intensity of the moment can influence your judgement. Time allows you to regain perspective.

🗣️ Second rule: speak to the right people

Do not only speak to people who have a strong opinion about what you should do.

Talk to people who know how to ask the right questions.

A good example is a friend who knows you well and has no personal interest in the outcome of your decision.

📋 Third rule: focus on facts

Move away from emotions and look objectively at what is actually in front of you.

Ask yourself the following questions:

  • What were my fundamental reasons for wanting to leave? Does the counteroffer genuinely address them, or only part of them?
  • Are these commitments formalised in writing, or are they simply verbal promises? A promise of a future role change or increased responsibilities without written confirmation is worth considering carefully.
  • Have I already asked for changes or improvements without receiving a meaningful response? If yes, why is the situation different now? And what guarantees that the same pattern will not happen again in a year?
  • How could my relationship with my manager evolve after this announcement? Do I have concrete reasons to believe that it will remain healthy and constructive?
  • If I accept the counteroffer and things have not improved in six months, will I be in a stronger position? Will the other opportunity still be available?
  • In two years’ time, will staying here have helped me move towards where I want to be professionally?
  • Am I choosing to stay because I truly believe it is the right decision, or because I am afraid of the unknown?
  • If the counteroffer did not exist, would I regret leaving? Or would I actually feel relieved?

 

This final question may be the most revealing one. If your first honest reaction is “relieved”, that is important information — and no amount of money in a counteroffer should make you ignore it.

 

When staying is the right decision✅

Accepting a counteroffer can absolutely be the right choice.

This may be the case:

  • When the main reason for leaving was salary-related and the gap has genuinely been addressed.
  • When the employer makes clear and formal commitments on the points that mattered to you, not just on salary.
  • When you are at the heart of an important project and the timing of your departure is objectively not ideal.
  • When, after a closer look, the new opportunity appears less solid than it initially seemed.
  • When the conversation has genuinely unlocked something meaningful, and you have concrete reasons to believe that things will change.

The only truly problematic scenario is accepting a counteroffer simply because the moment was difficult and the unknown felt frightening — without resolving the underlying issues.

The risk is finding yourself six months later with the same frustrations, a weakened relationship with your employer, and the other opportunity no longer available.

 

To Conclude 🎯

Whatever decision you make, make it consciously. Do not stay by default simply because the unknown feels frightening. Do not leave simply because you believe it is what is expected from someone who wants to progress professionally.

The right decision is the one you will be able to explain to yourself in a year’s time by saying: “I made this choice with full awareness, with clarity, and for specific reasons. Not because it was easier. Not because I was under pressure.”

And that is exactly what we wish for you! 🙂