Counter-Offers in Singapore: Should You Stay or Go?
· Keith Kwai
A counter-offer usually fixes the reason you gave for leaving, not the reason you actually left. If pay was the only problem, it can work. If it was your manager, your growth or the direction of the company, more money rarely changes anything for long.
Counter-offers are common in Singapore, especially for experienced people in roles that are hard to fill. From the hiring side, we have watched them play out from both ends: the manager scrambling to keep someone, and the new employer losing a candidate a week before the start date. This guide covers why companies counter, how to decide, what to get in writing if you stay, and how to decline gracefully if you go.
If you have not resigned yet, read our guides to writing a resignation letter and notice periods in Singapore first.
Why your employer is making a counter-offer
It helps to understand the decision from your manager’s side. A counter-offer is usually driven by some mix of these:
- Replacement cost. Hiring someone new takes months, recruiter fees and the time of everyone who interviews them. A counter-offer is often cheaper.
- Timing. You may be leaving in the middle of a project, a peak season or an audit.
- Knowledge risk. You may hold client relationships or system knowledge nobody else has.
- The manager’s own record. Losing good people reflects on the person you report to.
- Genuine regret. Sometimes the company did undervalue you and your resignation made that clear.
Only the last one is about you. The others are about the company’s short-term problem. That does not make the counter-offer insincere, but it is worth knowing which one you are looking at.
What counter-offers usually look like
- Salary match. Your pay is raised to match or beat the new offer.
- Promotion or new title. Sometimes a role that was supposedly not available a month ago.
- Change of scope. A new project, team or reporting line.
- Retention bonus. A lump sum, usually with a condition that you repay it if you leave within a set period.
- Flexibility. More remote days, reduced hours or a different schedule.
- Promises. A future promotion, a review in six months, a new budget. These are the least reliable.
How to decide: five questions
Before you react to the number, write down your answers to these.
1. Why did you start looking?
Be honest. People rarely leave over salary alone. The common reasons are a difficult manager, no growth, lack of recognition, burnout, uncertainty about the company, or a better opportunity elsewhere. List every reason, then mark which ones the counter-offer fixes.
2. Would you have stayed if they had offered this without your resignation?
If yes, the counter-offer may be addressing a real problem late. If you would still have looked, the counter-offer is unlikely to keep you happy.
3. Why did it take a resignation?
If you asked for a raise or promotion before and were told there was no budget, ask yourself what changed. Often nothing changed except the company’s urgency. That tells you how future requests are likely to be handled.
4. How will you be seen after you stay?
Some managers move on quickly. Others quietly see you as a flight risk, which can affect who gets the next big project or who is first on a list when costs are cut. You know your manager better than anyone. Be realistic.
5. Is the new role better on its own merits?
Forget the counter-offer for a moment. Compare the new role and your current role on scope, manager, learning, stability and total package. Our guide to evaluating a job offer in Singapore gives you a template.
If the honest answers point to leaving, a higher number should not change your mind. If they point to staying, make sure the counter-offer is concrete.
When staying can make sense
Counter-offers are not always a trap. Staying can be the right call when:
- Pay was the main issue, and the counter brings you to market rate.
- The counter includes a real change in role, scope or reporting line that addresses why you were unhappy.
- You like your manager and team, and the new role was mostly about money.
- The new employer raised doubts during the process, such as vague answers about the role or the company’s finances.
- Your personal situation favours stability right now.
If you stay: get it in writing
Verbal promises made during a resignation conversation are easy to forget once the pressure is off. Before you withdraw your resignation, ask for:
- A revised contract or letter stating the new salary and effective date.
- Any new title, scope or reporting line, in writing.
- The terms of any retention bonus, including the clawback period and conditions.
- Any promised review, with a date.
Also note that once you have resigned, withdrawing the resignation generally needs your employer’s agreement. That is usually not a problem when they made the counter-offer, but it is one more reason to have everything confirmed in writing before you tell the other company.
Script: Thank you for this. I would like to stay on these terms. Before I let the other company know, could you confirm the new salary, title and review date in writing so we are both clear?
If you go: decline gracefully
Singapore is a small market. The manager who made you a counter-offer may become a client, a reference or your boss again. Leave in a way you would be comfortable with if your paths cross in five years.
Script: I appreciate the offer, and it means a lot that you want me to stay. I have thought about it carefully, and I have decided to take the new role because it gives me the regional scope I have been looking for. I will make sure the handover is thorough and that the team is set up well before I leave.
Keep it short. Do not list everything that was wrong. Thank them, give one positive reason, and focus on the handover.
What about the company you said yes to?
If you have already accepted the new offer, think hard before reneging. In practice:
- It has a cost. The new employer may have turned down other candidates and planned around your start date. Depending on what you signed, there may also be contractual implications, so read the offer letter.
- It is remembered. Recruiters and hiring managers in Singapore talk to each other, especially within an industry.
- If you do withdraw, do it fast and directly. Call the hiring manager, not only HR. Apologise, give a short honest reason, and thank them for their time.
The best way to avoid this situation is to have the honest conversation with yourself before you sign the new offer, not after.
Retention bonuses and clawbacks
A retention bonus is often the most attractive part of a counter-offer, and the one with the most strings attached. Typical conditions:
- You must stay for a set period, often 12 to 24 months.
- If you resign before then, you repay all or part of it.
- It may be paid in instalments rather than up front.
- Some schemes also require you to be performing at a certain level.
Before accepting, ask what happens if your role is made redundant during the retention period. You do not want to repay a bonus for a decision that was not yours.
Three situations we see often
These are real cases from our coaching work. Identifying details have been changed to protect the people involved.
The analyst who stayed for the money
A data analyst resigned for a role paying 20% more. Her manager matched it the same afternoon. She stayed, but the reason she started looking was a lack of interesting work, and that did not change. A year later she was job hunting again, this time with a manager who now saw her as a flight risk. The counter-offer delayed the move rather than replacing it.
The manager who got a real change
A sales manager resigned because he had been promised a regional role for two years. His company responded by moving him into that role, with a new reporting line and the title in writing, effective the following month. He stayed and the move worked, because the counter-offer fixed the actual reason he wanted to leave.
The engineer who withdrew too late
An engineer accepted a new offer, resigned, accepted a counter-offer a week later, and told the new company two days before her start date. The hiring manager had already turned down the runner-up. She kept her job, but the new company, and the recruiter who placed her, remembered. The counter-offer itself was fine. The timing cost her.
Signs the counter-offer is a stopgap
- It came within hours, with no discussion of why you were leaving.
- It is only money, when you said your reasons were growth or management.
- It includes promises with no dates.
- Your manager seemed more annoyed than concerned.
- You were told there was no budget for a raise two months ago.
Prepare before you resign
The best time to think about a counter-offer is before you hand in your letter. Decide in advance:
- Whether there is any offer that would make you stay. If not, say so politely when you resign, which often stops the counter-offer before it starts.
- What that offer would need to include, beyond salary.
- How you will respond in the meeting, so you do not decide on the spot.
Script for the resignation meeting: I have accepted another role and I have made my decision. I wanted to tell you in person and talk about how to make the handover as smooth as possible.
Frequently asked questions
Is it common to get a counter-offer in Singapore?
Yes, especially for experienced employees in roles that are expensive or slow to replace. Many managers make one as a first reaction to a resignation.
Can I withdraw my resignation after accepting a counter-offer?
Generally, a resignation can only be withdrawn with your employer’s agreement. If they made the counter-offer, they will usually agree, but get the new terms in writing first.
Is it unethical to use a job offer to get a raise?
Applying for jobs only to get a counter-offer damages your reputation with recruiters and the companies involved. If you want a raise, ask for one directly with market data first. Our guide to asking for a pay raise covers how.
What happens to my retention bonus if I am retrenched?
It depends on the terms. Ask this before you accept, and make sure the answer is in writing.
How do I tell the new company I am staying?
Call the hiring manager directly as soon as you decide. Keep it short, apologise, and thank them. Then follow up in writing.
Make the decision with clear eyes
Counter-offers arrive at an emotional moment, and you usually have a day or two to decide. A short conversation with someone outside the situation helps. Our 30-minute career guidance session is built for decisions like this.
Sources
- Ministry of Manpower, Termination with notice