Amanda Datchens

05/06/2026

Should I accept a counter offer from my employer? Stop. Read this.

A counteroffer feels good. It usually isn’t. Here’s what employers are really doing - and why most people regret staying.

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Its crunch time – accept the new job or the counteroffer your employer has just offered in response to you saying you are leaving.

Although you were thrilled to land a new job, you are now having doubts, serious doubts. After all, a new job involves risk.

New company, new duties, new challenges, new work mates, and of course the big one – a new boss.

When faced with the unknown, it’s tempting to just stay where you are, I know. So very tempting.

Especially now they have told you how important you are to them and given you more money and perks.

But, and I truly hate to burst your happy bubble of ‘feeling the love,’ there are other things going on here that I want you to be aware of before you say “OK, you’ve twisted my arm, I’m going to stay”.

AKA – “OK you win, I’ll stay.”

And that’s my main point – you stay, they win – but more on that later.

Key takeaways

  • A counteroffer is typically a short-term solution designed to stop you leaving - not a long-term fix for the reasons you wanted to leave in the first place.
  • While it may include more money or perks, it rarely addresses deeper issues like career growth, management, or job satisfaction.
  • If they could have improved your situation before, they chose not to – remember this.
  • Counteroffers solve the company’s problem (losing you), not yours.
  • Accepting a counteroffer can weaken your leverage, damage trust, position you as a flight risk, and put a target on your back.
  • Accept one only if the role genuinely changes, the problem is truly fixed, and it clearly moves your career forward.

What a counter offer actually is (and isn’t)

A counter offer isn’t a chat where your boss says “don’t go, I will do this” when you hand in your resignation. It also isn’t being asked “what can we do to make you change your mind and I will see what I can do” by HR or other managers. That’s just talk. With no guarantees.

If all you have received is a verbal promise of something better, then don’t even think about entertaining it.

A counter offer is a formal response presented to you offering an alternative salary package, set of benefits, or organisational change to try to persuade you to reconsider leaving the organisation.

What do employers typically include in counter offers?

Depending on your industry, skill level, and location, counteroffers come in all shapes, sizes, and flavours such as:

  • Salary Increase: Offering a higher base salary or a raise to match or exceed the competitor's offer.
  • Performance Bonuses: Providing performance-based bonuses or incentives tied to specific goals and achievements.
  • Stock Options: Granting stock options or equity in the company, which can potentially increase in value over time.
  • Additional Vacation Time: Offering extra paid time off or vacation days.
  • Flexible Work Arrangements: Allowing for flexible hours, remote work, or compressed workweeks to improve work-life balance.
  • Career Development Opportunities: Investing in the employee's professional growth, such as funding additional training, courses, or certifications.
  • Promotion: Promising a clear path to advancement or a promotion either now or in the near future.
  • Improved Benefits Package: Enhancing health insurance, retirement plans, or other fringe benefits.
  • Signing Bonus: Providing a one-time bonus or signing incentive to remain with the company.
  • Relocation Assistance: Offering assistance if the reason for resigning was because an employee was required to move for the job.
  • Better Work Conditions: Making improvements to the work environment, equipment, or facilities.
  • Project Ownership: Assigning more significant responsibilities or ownership of critical projects.
  • Performance Reviews: Committing to more regular performance evaluations and potential salary adjustments based on merit.
  • Non-Compete Agreement Revisions: Adjusting non-compete or non-solicitation clauses to be more favourable to the employee.
  • Work-Life Balance Support: Introducing initiatives like on-site childcare, wellness programs, or stress management resources.
  • Mentorship or Coaching: Offering access to mentorship or coaching programs to support career development.
  • Additional Perks: Providing additional perks like gym memberships, transportation subsidies, or meal allowances.
  • Recognition and Appreciation: Publicly acknowledging the employee's contributions and value to the company.
  • Customised Packages: Tailoring the counteroffer to address the specific concerns or desires of the employee.

So now you may be thinking, what’s not to like about accepting a counteroffer? You don’t have the hassle of leaping into the unknown of another organisation plus you get what you really wanted all along.

Yes, it all sounds perfect, but you need to understand what is going on in the private closed-door meetings your managers have before your counteroffer is presented to you.

Why employers really make counter offers

Unless a company is about to downsize or restructure, or if an employee is underperforming, a resignation means just one thing to management – a problem.

Of course, they don’t want you to leave if you are doing really well. But they also probably don’t want you to leave even if you are only just doing OK.

That’s because recruiting your replacement will be time consuming and expensive - plus your resignation may be just the thing that sparks others to do the same if there is some internal issue.

So, if you are trying to decide whether or not to accept their counter offer when you try to leave, you need put it into context to truly understand what they are really offering and, more importantly, why are they doing it.

Let’s decode the management speak you are likely to hear.

What they’ll say to make you stay

Australian Money

"Don’t go - We were just about to promote you/give you a raise".

This proves that they could have before - but chose not to. So why did it take your resignation for them to take action? How convenient.

“It’s actually great that this has come up because we know that you deserve more, and we were just about to give it to you.”

This speaks to their organisational culture or the particular management style of your immediate boss.

Think back to your performance reviews. Were you heard and were your achievements and commitment acknowledged?

If you stay, what is the chance of this happening again? At a rough guess I would say probably 100%.

Love sign

"Don’t go - You are irreplaceable, you are so important to us."

It’s lovely to hear this but don’t be fooled because of course you are replaceable – everyone is. The harsh reality is that it’s cheaper to keep you than hire someone else.

The time – it would take roughly 3 months to recruit your replacement by the time they have advertised, interviewed, taken up references, and honoured a notice period.

The money – it all adds up quickly with advertising, recruitment agency fees, and the temporary disruption for a department or team.

Magician

"Don’t go – it will be different now."

Whatever you told them you didn’t like or were not happy about, they are now apparently going to magically put that right. “We hear you and things will change.”

This is the most honest thing they will say to you because from this point onwards everything has changed - your relationship will never be the same again.

The question is, for better or for worse? Unfortunately, the latter is far more likely because the moment you sign that counter offer, you have lost the power in your relationship with your employer.

7 reasons not to accept a counter offer

1.  Your leverage disappears

The moment you sign that counter offer, you have lost the power in your relationship with your employer. You used your strongest card (leaving). If things don’t improve, you can’t play that same hand again without looking unreliable and manipulative.

2.  They expect a lot more from you

Congratulations! You now have a huge target on your back. When they offer you more, they will expect more. Sure, you may have secured a nice promotion and more money but are you truly ready for that step up or increase in workload? Be careful you are not setting yourself up to fail by not being able to cope.

3.  Your team dynamics alter

Your colleagues will probably know what happened and may resent you for being paid more than them or receiving special benefits or privileges. If you were unhappy before, you may find yourself being even more unhappy now.

4.  You become easier to replace

You are now classed as a ‘flight risk.’ Despite what they say, the trust is gone and therefore their long-term commitment to you is gone too. The moment you resigned, contingency planning started. If you stay, you’ve bought them time to quietly find your replacement on their terms - not yours.

5.  The underlying perception of you changes

Even if you stay, leadership will question your loyalty. You may be passed over for promotions, key projects, or long-term opportunities because they don’t want to invest in someone who may leave.

6.  You burn future bridges

You’ve already said yes (or close to it) to another employer. Backing out can damage your reputation, especially in tight industries. And if a recruiter secured the opportunity for you, you’ve let them down too. That’s a big issue because it means they don’t get paid for the work they did on your behalf. There will be a red flag next to your name in their Applicant Tracking System, and you may not be considered for a future role with them that you really want.

7.  Money is rarely enough

You may feel their offer is too good to refuse and have a mortgage, loved ones to support, and other commitments. I totally get that, but it is a weak anchor. When frustration returns (and it will), the extra cash won’t feel worth it. You’ve just kicked the can a bit further down the road and you will want to leave again soon.

So, is it ever a good idea to accept a counter offer from your employer?

If you research this topic, you will likely come across the following statistics from ‘data’ which shows that 57% of people accept counter offers, but 80% of these end up leaving within 6 months.

Pretty compelling evidence hey? Except, it’s total nonsense. This research has never been proven so don’t be swayed by this at all.

When people accept counter offers, they tend to justify it by saying something like “I understand it's not a great idea for most people but because [insert whatever reason they have] it’s different in my case”. Whatever the reason, no, it usually isn’t.

The truth is that counteroffers aren’t always bad. But the bar for saying yes should be high. Very high.

Perhaps you resigned in the heat of the moment about a situation that no longer exists and your boss agrees with it?

Maybe your company doesn’t have a full HR department, and your boss fully acknowledges that you slipped through the net and was undervalued because of it?

Perhaps the counter offer turns out to be more attractive than the new job when you find out more about the role and the company?

You may have other examples but the important question to ask yourself is “do the potential benefits outweigh the potential risks?”

Many people accept counter offers and they happily stay with their employers for a few years more. Just know that this is the exception rather than the rule.

Accept a counteroffer only if:

  • The problem is genuinely solved, not patched
  • The role materially improves, not just the pay
  • And staying moves your career forward - not just keeps it comfortable

FAQ

Do I have to tell my employer about a job offer to get a counteroffer?

No. You’re not obligated to disclose another offer. Some people use it as leverage, but it can backfire by damaging trust or forcing a reaction before you’re ready. If you’re only raising it to trigger a counteroffer, you’re already playing a risky game.

Is it ever a good idea to use a counteroffer to negotiate a higher salary elsewhere?

Sometimes but be very careful. Using one offer to push up another can work, but it can also make you look transactional or unreliable. Employers want commitment, not a bidding war. Push too hard and you risk losing both.

Can accepting a counteroffer affect my long-term career prospects?

Yes. It can limit progression if you’re seen as a retention risk. You may be overlooked for promotions, leadership roles, or key projects because employers tend to invest in people they believe will stay.

How should I decline a counteroffer professionally?

Be clear, appreciative, and firm. Thank them for the offer, acknowledge the effort, but confirm your decision to leave. Avoid over-explaining. This isn’t a negotiation at this point, it’s a decision.

What should I do if my employer makes a counteroffer after I’ve already accepted another job?

Stick to your decision unless something fundamentally changes. Backing out can damage your reputation with the new employer and any recruiter involved. If you do reconsider, be absolutely certain because you likely won’t get a second chance.

Conclusion

Being a hands-on recruiter for many years, I’ve seen this play out in every possible way.

People get cold feet, accept counteroffers, and quietly regret it months later when nothing really changes.

Others stay and it genuinely resets the relationship - for a while - before old patterns creep back in.

Recruiters remember candidates who walk away from accepted offers, and yes, it can come back to bite them later.

And I’ve seen companies promise the world to keep someone… only to take their time quietly replacing them and exit them on their own terms once the pressure is off.

A counteroffer isn’t just about more money or a nicer title. It’s about timing, trust, and control. In most cases, you’ve already shifted all three the moment you resigned.

So, before you decide, strip away the emotion and be honest with yourself.

Are you staying because something meaningful has changed?

Or because it suddenly feels safer than leaving?

Because those are two very different decisions and they lead to very different outcomes.

If the problem is genuinely fixed, the role is materially better, and staying clearly moves your career forward, then fine, stay.

But if not?

You’re not choosing to stay. You’re just choosing to delay the move you already know you need to make.


Written by Amanda Datchens

Half Irish, half English, now Australian, I am a hands-on recruiter & the joint founder of URHIRED. I’ve grown an agency to a c$50m turnover, successfully headhunted top talent across the world, vastly improved many companies’ talent acquisition strategies, and coached people one on one so they can get the jobs they deserve. When I’m not doing this, you’ll find me down the beach being walked by my large labradoodle Betty.


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