Career Counteroffers In Legal Tech
After much or little procrastination, you’ve arrived at the decision that you’re going to hand in your resignation. You’ve found a more appealing career opportunity in the legal technology sector; the role resonates with where you’re currently at and it could be a career progression. The decision to move on could be fuelled by job dissatisfaction, an unhealthy workplace culture, work-life balance, forced return to working in the office or aspirations of career development and progression. The list is endless.
Just when you think the difficult part is over - time invested in searching the legal tech job market, writing your resume, the interview process and subsequent negotiation, followed by handing in your resignation - and you’re ready to pack your belongings and move on, your employer presents you with a counter-offer that quite frankly, seems too good to be true. A substantial stay-on bonus. A decent pay increase. Both. How do you handle a counteroffer, why are they made and what do you need to consider? It is important not to be impulsive and accept straight away.
Why are counteroffers made?
Counteroffers are becoming more common in the legal tech industry and are mostly made because it is more cost-effective for the employer to keep a worker that is the right fit for the job and the company’s culture, compared to investing time in the recruitment process, loss of work during this process and developing skills in the new employee. As an employee, you are an investment for the company. In fact, it can cost more than 200 per cent of an employee’s salary to employ a person for the vacated position.
What are the implications of accepting the counteroffer?
There are some notable implications of accepting a counteroffer from your present employer:
Money doesn’t always equate to job satisfaction. The reasons why you chose to leave your job need to be communicated clearly to your boss. Your motivation for leaving needs to be addressed for you to stay and experience job satisfaction. Is your boss capable of this? The extrinsic motivation of money only lasts a short while and certainly does not address the issues which caused you to look elsewhere.
By finding another role in legal tech, you have alerted your manager to the fact you’re unhappy with your present job. Issues of trust may arise as your motivation for leaving is questioned.
If you accept a pay rise to stay, your colleagues may eventually find out and feel resentful towards you, especially if there is inequality of pay.
You may have burnt a bridge with the legal tech company you accepted the new job offer with. Given around 80 per cent of employees who accept a counteroffer leave their job within 12 months of the offer (Hays Salary Guide), that burnt bridge could complicate your future job prospects.
When not to accept a counteroffer?
It’s always important to assess the reasons you decided to look for another role.
If your reasons aren’t money related and the counteroffer is (eg. a pay rise or bonus), this is a primary reason to turn down the counteroffer. The issues that drove you away are likely to be unaddressed and cause you to exit further down the track. Your new job may rekindle that intrinsic motivation that drives you in your job.
It just might be time for a change to keep the momentum of your career going. A new legal tech company could be just the thing to inject some energy and life back into your work mojo.
If you feel career progression is stagnant or unlikely in your current role, this could be a reason to decline a counteroffer. By taking on a new role and upskilling, you are keeping current with the legal technology marketplace, which is crucial to progressing your career and increasing your job prospects in the sector.
Sometimes you can stay too long in a role and become stale. When you have nothing new to offer or contribute, feel uninspired and unmotivated, you can be perceived in the market as lacking ambition, which can be disastrous when looking for new job opportunities.
You suspect your current employer will perform a knowledge transfer process while you remain, and then quietly exit you from the organisation once your replacement(s) have been established and upskilled to take over from your role.
Counteroffers are increasingly part of the legal technology landscape. They will emerge when you least expect it. It’s important to assess the reasons you have decided to search for another role and weigh these up against the counteroffer. Ultimately, you want to feel valued in your workplace, motivated with a sense of purpose and career progression. Also, enjoying your time with your colleagues while working tirelessly for a cause that interests you, can never be understated.