Counter offers are very tricky – the only reason you should consider doing this would be if you are in the middle of project with a major deadline and this will allow you to buy more time.  Otherwise we do not recommend them.

The preferable way to do a counter offer is to look at other incentives that will encourage your employee to stay instead of just a monetary jump. Encouraging an employee to stay with you long term could be negotiated in terms of additional leave, time working from home or incentives.

This is also a highly debatable subject and one needs to tread carefully around the situation of counter offers before making a rushed an impulsive decision.

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