Build a culture they won’t want to leave

By Jesse Sanchez. 

Why counteroffers often fail and what really keeps employees loyal. 

In a labor market stretched thin, counteroffers have become a common tactic for employers scrambling to keep top talent. But as Tony and Kristin Case of Hi-Peak Staffing Solutions explained on this episode of the Roofing Road Trips® podcast, simply offering more money won’t patch over deeper issues like poor leadership, lack of growth or toxic work environments. 

“Money doesn’t solve all problems,” said Kristin Case. “Usually there is a reason, like what Tony had mentioned before, the root causes, a toxic work environment, you know, working, 15-18 hour days, working weekends.” The co-owners of Hi-Peak shared insights drawn from years of recruiting in the roofing industry, where they’ve seen firsthand how often counteroffers backfire. “Eighty percent of people leave within the first six months of accepting a counteroffer,” Kristin noted, highlighting that the initial pay bump rarely addresses why the employee wanted out in the first place. 

Tony added that these offers are frequently born out of panic. “Counteroffers that are happening are more from desperation than they are from, ‘I had an eye-opening moment, and I understand that I’m going to lose good talent or talented people if I don’t change my ways as a leader.’” Instead of resorting to reactionary raises, Tony and Kristin encourage employers to do the hard work of identifying and resolving internal issues well before a resignation letter hits the desk. “You have to look at, ‘If my employee is trying to leave, what am I doing on a day-to-day basis?’” Tony said. “How can I make their job better?” 

They argue that companies should implement regular performance reviews, not just for employees, but for leadership as well. Creating a culture where people feel heard and appreciated, they suggest, is a far more sustainable solution than throwing money at a problem. 

Kristin summed it up this way: “People want to know if they’re doing a good job at the end of the day. And when they do feel like they’re doing a good job, they’re not looking—because they love where they work.” 

Read the transcript or Listen to the podcast to learn more from Tony and Kristin about why counteroffers miss the mark and what employers can do instead!