Most recruiters will tell you never to accept a counter-offer. I'm not going to say that.
Counter-offers do sometimes work out. I've seen candidates accept them and stay happily for years. I've also seen candidates accept them and leave within six months because nothing actually changed except the number on their payslip.
The honest answer is that it depends on why you were looking in the first place.
Not sure where to start? Take the 5-minute readiness check.
Why counter-offers happen
You hand in your resignation. Your manager panics. Within 24 hours, they come back with more money, a new title, a promise of more responsibility, or all three.
It feels good. Validating. After months of feeling undervalued, suddenly the company is fighting to keep you. The temptation to stay is enormous, especially when the alternative is the uncertainty of starting somewhere new.
But think about what just happened. You had to threaten to leave before they recognised your value. That tells you something about how the business operates.
The real question: why were you looking?
This is the only thing that matters when a counter-offer lands on the table.
If the reason you started looking was purely financial, and the counter-offer fixes that, staying might make sense. You were happy with the role, the team, the culture, and the products. The only issue was money. Now the money is right. Problem solved.
But if the reasons went deeper than salary, money rarely fixes it. A difficult manager doesn't become easier to work with because your base went up $15K. A toxic culture doesn't improve because you got a new title. A dead-end career path doesn't suddenly open up because they promised you more responsibility.
Be honest with yourself about what was driving the move. If it was money, the counter-offer might work. If it was anything else, it probably won't.
What happens after you accept
Two things tend to shift once you accept a counter-offer.
The expectation on you increases. You've just been given a raise, possibly a title bump, possibly new commitments from the business. The unspoken expectation is that you now need to deliver even more to justify it. The bar has been raised, sometimes without anyone saying so directly.
Your loyalty is questioned. Once your employer knows you were looking, that knowledge doesn't disappear. Even if nothing is said, there can be a shift in how you're perceived. When the next restructure happens, when the next promotion decision is made, the fact that you had one foot out the door will sit somewhere in the back of someone's mind.
This doesn't always happen. Some managers genuinely move on and treat the counter-offer as a reset. But it's a risk worth considering.
Using the process as leverage
Some candidates work with a recruiter specifically to generate a counter-offer from their current employer. They go through the interview process, get an offer, and use it to negotiate a better deal where they are.
I don't agree with this approach.
It wastes the hiring manager's time. It wastes the recruiter's time. It damages trust with both. And it burns a bridge with the company that made the genuine offer. Building products in Australia is a small industry. People talk. The hiring manager you used as leverage today might be the one you genuinely want to work for in two years.
If you want a pay rise, ask for a pay rise. Have the conversation directly with your manager. If they say no, then you have your answer about how they value you, and you can start looking with clear intentions.
When I tell candidates to stay
I tell candidates to stay all the time.
If someone is getting paid well, they're happy in the role, and there's no real reason to move other than curiosity, they don't need me right now. I'm there for when they need me in the future.
My job isn't to convince everyone to move. It's to help the right people make the right move at the right time. Sometimes the right move is no move at all.
If you're considering a counter-offer and the honest assessment is that you were mostly happy and the money was the only real issue, staying might be the smart choice. Better the devil you know, especially if the new opportunity has uncertainties that the current role doesn't.
But if you've been unhappy for months, if the culture is wrong, if the management isn't going to change, if the career path is blocked, don't let a counter-offer paper over the cracks. More money doesn't fix a broken situation. It just makes you more comfortable in it for a while.
How to think about it clearly
When a counter-offer arrives, write down the reasons you started looking. Not after the counter-offer. Before. If you didn't write them down before, try to remember honestly what was driving you to explore other options.
Then look at the counter-offer and ask: does this fix those things?
If the list was:
- Underpaid by $15-20K
- Everything else is good
And the counter-offer adds $20K to your base, that's a genuine fix.
If the list was:
- Manager doesn't listen
- No career progression
- Commission structure changed twice last year
- Underpaid
And the counter-offer is more money with vague promises about the rest, nothing has changed except your salary.
People will do what's best for them, their family, and their career. That's how it should be. Just make sure the decision is based on an honest assessment, not the emotional relief of being wanted.
Handling the resignation conversation
There's no way to guarantee you won't receive a counter-offer. If you're good at your job, your employer will likely try to keep you.
A few things that help.
Be clear and confident in your resignation. "I've accepted a role with another company and my last day will be [date]." Don't leave it open for negotiation unless you genuinely are open to it.
If a counter-offer comes, don't feel pressured to respond immediately. "I appreciate that. Let me take 24 hours to think about it." That's reasonable.
Don't use the counter-offer to go back to the new employer and ask for more. That's a bidding war, and it rarely ends well for anyone.
And if you've decided to leave, leave. Dragging out the decision while your current employer adds sweeteners creates mess on both sides.
Quick checklist
- Ask yourself honestly: why were you looking? If it was just money, the counter-offer might work. If it was deeper, it probably won't.
- Understand that accepting a counter-offer may increase expectations and quietly shift how you're perceived.
- Don't use the interview process with another company purely as leverage for a counter-offer. It burns bridges.
- If you want a pay rise, ask for one directly. Don't wait until you have another offer.
- When a counter-offer comes, take 24 hours. Don't decide in the moment.
- Write down the reasons you were looking before the counter-offer arrived. Check them against what's being offered.
- If you decide to stay, commit to it. If you decide to leave, leave cleanly.