It’s “Counter Offer” Season…

… and I reckon it’s a mugs game for both the employer and the employee.
The counter offer is a knee jerk by employers to suddenly show their respect to an employee by promising the world will change and here is some money to accompany the promise. For the employee it’s often either a bargaining chip for a few extra dollars or a last chance extension of their tolerance for the employer. The fact is that it only has a 20% chance of success for either party. 80% of the time the employee and the employer have parted ways within six months, FACT!

So don’t get into the ‘counter offer’ war as it’s more about ego and winning or losing than addressing the real issues.

Why is it happening now?

Well in my opinion its because as we see more opportunity in the market employees will feel the urge to move as the last 18 months of battling through the GFC havn’t been very rewarding in most organisations. Remember that Reward and Recognition are the top two reasons people leave their jobs.

If you’ve got a beef with your employer deal with it before you enter the job market and don’t be fooled by empty promises at resignation discussion. As employers we need to reward and recognise our people now not on the day they resign!

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A few minutes with Brett O’Riley, CEO of NZICT

Check out my brief chat with Brett on what’s happening at NZICT at www.920.co.nz

What is the best source of candidates?

Employee referrals will always come up as the best source of hire in any research that I have read.

But I have a warning!

A company we recently did some work with made virtually no hires that were not from an employee referral. The good news was that their cost per hire was very low. They didn’t even pay employee referral incentives. It was even better when we looked at their employee retention and found their staff turnover was very low. All good and no need for intervention here we thought.

However, this mid-sized national company was losing market share and not hitting its revenue targets. Long story short was that new hire profile directly matched existing employee profiles. Yes, a happy content bunch of underperformers. The market had changed and competitors were hiring a very different and diverse group.

The issue… “like attract like’ and whilst this may be convenient and cost-effective it may not get you the result you want. A bit like using the “old boys” network… yes it has a place but not always and not without rigor in the process!

SOLD OUT!

Yep word of mouth has sold out the stadium… first time ever… 30,000 plus to a club football match in NZ …. Amazing!

Lesson for us in business… people talk and influence others… give people a good experience… no bull you say … so simple yet so easily forgotten!!!

Go the Nix!