Big companies rescinding job offers to recruits. Ugghh, this comes out a week after I just lectured my students on not reneging. Thank you Corporate America for setting a great example. Note, unemployment (3.6%) is at 50 yr lows.
Students are getting lots of job offers…In U.S., 28% accepted a job offer & reneged! 70% of grads are willing to renege? Reneging: Once you commit, quit! https://lnkd.in/e85beQ2 Amongst those grads that have reneged on a job offer, 64% claimed that they did this because they didn’t know how to decline. 22% said they did this because they received a better offer elsewhere, while just 9% changed their mind (Milkround).
See more alarming stats in the comments section.
Sometimes students (& even working professionals) accept internships/jobs, but continue to search for & accept other positions with other employers. This is reneging, a practice that is unethical & greatly frowned upon for our students.
What is reneging? https://lnkd.in/ebV4xPJ
Reneging is going back on a promise made. It is promising one thing & then pulling the promise back & not keeping your word. In the context of job searching, this means that you have given your word (verbally or written) that you have accepted a position, then at later date, pull out of the agreement. This practice has major ramifications.
How to buy time to decide?
Take your time. Can you ask for time to think about the offer? Yes, you can. However, understand that there are limits. Can you have weeks to think about it? No. A few days? Sure.
Why does it matter?
Reneging has a substantial negative impact to many different groups…
The job search & commitment to the firm is likely one of the first major acts of your professional career. If you renege on your commitment, you are likely putting your own personal brand in jeopardy.
2: The University
Ultimately, one student’s poor decision will reflect upon the entire University. On the negative side, if an employer suffers from students reneging, they will quickly stop looking at your school as a source for future students.
3: The employer
The practice of reneging likely seems like an act that has little impact. That is wrong. The employer that you have originally committed to has invested considerable resources into recruiting you. Further, if you renege on the company, it now has to scramble & try to fill your position with someone else.
When you renege on an offer, you have harmed your own brand. This is something that can potentially follow you throughout your career. Further, there could be internal penalties.
If you accept a job offer, both verbally & in writing, stop searching for other positions. You should also contact any firms that you have been in discussions with & let them know you are officially off of the job market.
If you have a dilemma, please reach out to faculty.
Placement success of ISM Program – *Median salary was $60K-65K (10% of grads hired on w/ 1 auto OEM at $78K!). https://lnkd.in/gV4x6GWE
“$ in SCM are going up & avg $10-20K higher than entry-level positions in other fields.” https://lnkd.in/deYpduqZ
Negotiate an INTERNSHIP offer? The avg SCM internship is $44,918/yr, or $21.6/hr. People on bottom 10%, make $37K/yr ($17.80/hr), while the top 10% makes $54K ($25.96/hr). https://lnkd.in/gpBm_m84
Should college grads negotiate a job offer (i.e., a higher starting salary)? Yes, but only if you know how to negotiate. I do have students that get offers in the $50-$60K range & many successfully negotiate up to > $60-$70K. That is a 10-30% bump before you even start! Many people have to work a few years to get that bump.
In the United States, 17.3 percent of job offers—over 1 in 6—are rejected, according to Glassdoor data, reflecting a steady increase in offer rejection rates over the last few years at a time of growing competition for talent.
As many as 28% of candidates said they accepted a job offer but then backed out, a new Robert Half survey found.
The reasons candidates gave for reneging on a job offer were: received a better job offer (44%); received an acceptable counteroffer from a current employer (27%); and heard bad things about the company that made the offer (19%).
The top five locations where most candidates reneged on job offers were San Diego; San Francisco; Chicago and Houston (tied for third place); Austin, Texas; and Miami, according to survey results.
Milkround’s research showed that more than half (53%) of internships result in job offers, but 72% of the people who received an offer from their internship declined it.
One employer shared that they typically see four to five percent renege but this year that has jumped to more than eight percent.
70% of graduates are willing to renege on a job offer they’ve accepted
30% said they’ve already done so
Over a third (34%) of graduates have declined a job offer
Nearly three-quarters (70%) of graduates are willing to back out of a job offer they’ve accepted, with three out of 10 (30%) stating they’ve already done so, according to research by student and graduate careers resource Milkround.
Regening on job offers
Amongst those graduates that have reneged on a job offer, around six out of 10 (64%) claimed that they did this because they didn’t know how to decline. Around two out of 10 (22%) said they did this because they received a better offer elsewhere, while just one out of 10 (9%) changed their mind (Milkround).
Recent observations & career advice (videos/podcasts):