A Jobseeker's Guide To Negotiating a Counteroffer

Not many people enjoy negotiating. Even fewer people are actually good at it. So what do you do when you tell your employer that you are leaving your job and they don’t want you to go?

These days there are plenty of jobs on sites like ZipRecruiter, where employees have access to plent of opportunities outside their current employer.

People leave their current companies for a lot of different reasons: better pay, better work/life balance, more respect, better team morale, different field, etc.

However, when you do a good job where you are, even if you do not feel appreciated, your employer may know how valuable you are and try and keep you on the team.

If you don’t think this doesn’t happen often, then think again. In a 2019 survey conducted by ZipRecruiter, close to 50% of employers tried to retain an employee who was ready to go with a counter offer.

A counter offer may be of no interest if you hate your job, hate your pay, and hate your environment. But if you wouldn’t mind staying under the right circumstances, it could be a great opportunity for you.

Tip 1: Your leverage is at its highest

The two times your leverage is at its highest is when you negotiating to start a position and when your employer makes a counteroffer for you to stay at the company.

If you’ve told your employer you are ready to leave, and they want you to stay, there is some serous FOMO (fear of missing out) going on. Your employer feels as though things will go run well if you are gone.

If you play your cards right you can get a lot of what you want.

The most important part of negotiation is leverage.  Whoever has the least to lose usually ends up walking away with the most.  Where negotiation gets tricky is in perception of who has the most to lose and who doesn’t have to take the deal. 

For instance, your current employer could say something to the effect of, “We want you back at X.  But if that doesn’t work for you then we can have someone internally fill your position and look to grow more talent from within.”

If you believe that people behind you could do your job, they may not be bluffing.  However, if you suspect that the people behind you are not capable of doing your work, or if the training time for a new person takes too long, or if it’s not easy to find someone of your skill set, then you would have the upper hand. 

The more that you understand how much leverage that you have in the situation the more that you can figure out how much you can get and who has the power. 

Tip 2: Figure Out What You Want

Close your eyes. Imagine a world where you had everything you wanted at your current company. Write those things down.

This is your chance. If you want to work from home more often, do it. If you want a better office, now is the time. If you want a higher level position, go get it.

Usually once we have had some distance we can get a better perspective on what we want out of our jobs and our lives.  Some people like to get away for a weekend to think without distractions.  Others have a quiet place that they can visit where they can do some good thinking. 

Figure out what works for you.

Regardless of whether your current employer accepts your counter offer or not, this process will help you to determine what priorities are important to your life.  As you move forward in life, this list can become a set of goals which you eventually achieve. 

In this process you might figure out that you don’t want to go back to your employer under any circumstances because that field doesn’t make you happy. That’s why the list is important.

Once you’ve made a list, review it thoroughly,  because you will present hem as a counteroffer to your employer.

Tip 3: Be Prepared

Wen you present your counter offer to your employer, don’t just go in with a list of things you want. You should come in well researched to justify everything that you are asking for from them.

For instance, if you are asking for more money, you should research the salary ranges for other people in your position with your education. You can find this information on Salary.com, GlassDoor, and many other websites online.

If you are asking for more time at home, think about how much time you would save on commute and tell your employer that you would be more productive if you didn’t have to waste time on a commute each day.

Along with any counteroffer you should have backup information that would show your employer why it is to their benefit to accept your counteroffer.

Tip 4: Don’t Be Afraid to Walk Away

When you make a big counteroffer, there’s a chance that your existing employer will not accept it. You can’t be phased by that, afterall you do have a new job lined up.

You won’t be able to receive big unless you ask big.

If you don’t have something lined up in case your employer doesn’t accept the counteroffer, then you are in less of position to negotiate.

Tip 5: Always Be Respectful

Employees who are respectful to their employers have a higher probability of being rehired down the road than those who went out in a blaze of glory.

When an employer knows that they are respected, and when you maintain friendly relations with them, it keeps the door open.

Being respectful doesn’t mean accepting whatever they give you. It means being honest, letting them know your desires, and keeping things friendly.

There doesn’t need to be a shouting match when you leave an employer. You don’t have to air all of your grievances on the way out and tell them how terrible it was to work there. Keep things respectful and you never know when they might recruit you back, even after this.

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