Congratulations! You’ve had a job offer from another financial planning company and finally handed in your notice. You’re excited and nervous all at once, which is exactly how you should be feeling.
But wait, your employer has presented you with a shiny new raise to keep you from leaving, if this was part of your VERY risky strategy to get a pay rise then congratulations, you have possibly succeeded! But let’s not forget why you handed in your notice in the first place.
It Is no secret that right now in the mortgage and financial planning profession there is a shortage of qualified and experienced paraplanners, administrators, mortgage advisers and financial planners, across the UK especially in firms where there is clear growth progression. We talked about this in our 2021 financial planning salary guide.
The existence of a talent shortage puts a floor on salaries and provides an opportunity for candidates to command a higher wage; 75% of employers raised their salaries in 2021.
Finding quality hires in certain UK locations is often tough, and so simple economics are increasingly coming into play – where demand is high and supply low, financial planning companies are finding that they need to pay more to secure the hire.
As competition for the right people heats up, so does the focus on keeping key employees in place. Although money is a motivator for many, companies with clear training opportunities and/or a framework for career progression are getting much attention.
When it comes to counteroffers in Financial Planning the question is, should I stay, or should I go?
Here are some things to consider.
1 Are you leaving your current employer for the right reasons?
Being prepared for a counteroffer starts as soon as you decide to start looking for a new job opportunity.
The first question our recruiters will ask you when looking for a new opportunity is, why are you leaving, and have you spoken with your current employer about your concerns?
Only 12% of employees resign due to money. So, chances are you’re searching for a new job for reasons that will not simply disappear with a pay raise.
Our advice is to write down all the reasons why you are unhappy, can these be changed by you or your employer? Take ownership of the things that are your responsibility. This list is also brilliant when it comes to must haves from a new employer.
If possible, speak to your HR representative, or directly with your manager or a trusted co-worker. This will help you gain a different perspective. You don’t need to say that you are leaving, just be honest about how you feel. It’s also a great indicator of how much your current employer values you.
Another great perspective is to speak to a specialist financial planning recruitment consultant, due to their exposure to the whole market, and hours of candidate calls they will be able to quickly establish if your reasons are valid, or if you need to readjust your thinking.
2, Have you looked at the benefits and bonus schemes as well as the salary?
Perhaps your counteroffer has increased your base salary, but have you compared both packages? Maybe the bonus’, career framework and progression potential are different?
Maybe your priorities changed, and you’d like the opportunity to work from home, or the commute is becoming tedious?
What does the health and wellbeing benefits package look like? Is the new job opportunity less stressful, do the companies values align with yours? Is there better support, time saving tech or an exciting future business plan that includes you?
Have a think about where you want to be in 3-5 years, and which offer will give you more opportunity in the long run. Statistics show that around 50% of people leave a job within 12 months of accepting a counteroffer.
Look beyond the base salary, and remember health is wealth.
3, Why has it taken this for your employer to see your value?
It’s important to remind yourself why you began searching for a new role in the first place (go back to your pros and cons list) A counteroffer isn’t a solution for any underlying issues.
If you’re presented with a counteroffer, why has it taken the fear of you leaving for them to realise your value to the business?
Stick to your intrinsic values, you will thank yourself in the long run especially if you have raised these issues before searching for a new opportunity.
Top tip: Before you even consider leaving your current employment, it is worth comparing your salary to others within the financial planning and mortgage profession.
4, What would you expect if you stayed?
Often, employers will give a counteroffer to avoid having to go through the long and expensive process of recruitment.
Make sure they are doing it for the right reasons, ask for a plan of action with realistic timelines, changes in writing etc. don’t just take their word for it!
Most importantly, think about whether the relationship and trust will break down after your employer knows you had the intention to leave?
Think about your long-term prospects if you accept the counteroffer. Are they offering a role change? It is likely that if you’re offered a higher salary, your responsibilities will also increase, and you will need to work longer hours?
Will you be equipped with the appropriate training to help develop your skills? You want to know that going forwards in whatever role you chose, you’re not just surviving, but thriving!
So, when it comes to counteroffers in Financial Planning, the question isn’t just should I stay, or should I go? Instead, consider this process before you even hand in your notice. This is so you can avoid any bumps in the road when choosing the right path for you.
Remember, your resignation won’t be forgotten, so don’t let this be an obstacle when pursuing future promotions. It will be difficult to regain the trust and loyalty lost between you and your employer once you’ve handed in your notice.
When making your decision, consider which opportunity holds the most promise for your career path, and use the valuable tips in this article when making your next decision.
Need to speak to someone? Recruit UK are experts in the world of financial planning and mortgage recruitment and can offer invaluable knowledge, hints, and tips to get you where you want to go.