Resignations & Counter Offers
HOW TO HANDLE RESIGNATIONS
After you have formally accepted a new offer of employment, it's in your, as well as your current employer's, best interest to serve notice as soon as possible. Serving notice can be a difficult thing to do, especially if you have worked for your current employer for a long period of time and formed strong bonds with those around you. However, if you follow a few guidelines, you will be able to minimize your stress in this situation:
Don't Burn Your Bridges
It is very important that you present your resignation as the logical conclusion to your due diligence on another company and their subsequent offer, not as a means to bargain with your current employer. You don't want to come across as an opportunist, and certainly don't want to exit your current company on bad terms. A formal letter of resignation should accompany your verbal notice. A brief, professional and definite letter of resignation will ensure you maintain control of the situation. On most occasions, you will have the upper hand, as your current employer isn't aware of your intent to leave the company, and may be taken by surprise. Because of this, you must be prepared for a range of reactions, from anger to disappointment to a congratulatory handshake. Many times these reactions can lead to emotional appeals or promises of counter offers.
Be Succinct
It is important that you keep your verbal resignation, notice and letter short, to the point and professional. It isn't necessary to give a detailed explanation of your reasons for leaving the company or how the company could have kept you in its employ. However, it is also necessary to give enough information to get the point across, and again, stay on good terms.
Here is an example of an effective letter of resignation:
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October 21, 2002 Mr. John Smith Dear John, This letter serves as my formal notice of resignation of my position, effective November 4, 2002. I would like to thank you for all of the support that you have shown me during my employment with the XYZ Corporation. I've enjoyed working with you, and value the relationship we have built over the years. Be assured that I will work to the best of my ability to ensure a smooth transition during the next two weeks. My decision to leave was not made lightly, and I believe that this career move is very beneficial in helping me reach the professional goals I have set for myself. Again, thank you for the opportunities that you have shown me during my time here, and please feel free to contact me in the future if I can ever be of assistance. Sincerely, Your Name |
Be Fair
Common practice is to give your current employer two weeks before leaving the company. With senior executives, projects sometime necessitate a lengthier notice period. Make sure the amount of time that you give is fair for both you and your new employer. This time can be uncomfortable to both your peers and subordinates, and should not be drawn out longer than is necessary. It is a difficult time for them to include you in projects and information of a confidential nature or that could affect the long-range plans of the company. Also, if your new employer did not have a pressing need for an individual with your abilities, they would not have extended an offer. They are interested in getting you on board as soon as possible. You should not feel guilty in leaving your current company as soon as you have completed a smooth transition.
Plan Ahead
Prepare yourself for the possibility of an emotional reaction when delivering your resignation. Many companies actually have a policy to immediately terminate anyone who is going to a competitor.
HOW TO HANDLE A COUNTER OFFER
The golden rule of counter offers is that good employers will never offer them, and smart employees never accept them. There are many reasons for declining a counter:
You never want to advance your career through force.
If you have to solicit an offer and threaten to quit each time you want to get better treatment from your company, you're probably better off going to an employer who appreciates their human capital and rewards them appropriately.
You are perceived as a security risk and disloyal to the company.
After you have demonstrated yourself as disloyal by looking for opportunities outside the company, you will lose your status as a team player, and your motives will always be questioned.
Your employer is merely stalling for time.
Usually, by counter offering, your current employer has bought himself or herself some time to look for a replacement or to make a transition on their own timetable. An illustration of this is a 1988 Boyden International study published in the CPA Client Bulletin. The study tracked 450 managers who had changed jobs during the previous three years. Thirty-nine of the 450 received counter offers, of which 27 accepted the counter with their current employer. Only two of the 27 were still with their original employer after a year and a half. This means that 25 of the 27 either quit or were fired during those eighteen months.
Since all signs point to trouble by accepting a counteroffer, we'll now cover some of the ways to avoid a counteroffer situation:
If it seems as if you are walking into a counteroffer situation (i.e.: your exit interview is suddenly scheduled with a senior executive, when they are typically handled by human resources), you need to take command as soon as you have evidence that the conversation is heading toward a counteroffer. Politely interrupt with a statement such as "The last thing that I want to be inferred from my resignation is that I am trying to blackmail the company into keeping me. After doing my own thorough investigation, I've simply found a situation that I can't pass up. I hope you respect that." You may also want to again offer any help you may be able to provide to ensure a smooth transition before your departure.
Many times an experienced manager will try to use emotional tactics to keep an employee from leaving the company. They know how to push the right buttons to try to turn the situation to their advantage. Be very wary of the following statements from managers:
"I thought you were happy here. I'm shocked that you would try to leave us before bringing any concerns you have about your position to me."
"We've been planning some things for you, but they have been confidential up to now. You should at least talk to the VP about them before making up your mind."
"Your raise was set to go in effect next quarter, but we can make it effective sooner if it means you'll stay."
Throughout this process, the search consultant is always there to help walk you through any difficult scenarios. They are familiar with these situations and can offer advice on the best way to extract yourself without damaging your career or reputation.