How Can HR Tackle Offer Letter Shopping and Keep Candidates Committed?

Nowadays, candidates are shopping for offer letters, i.e., they crack one interview, accept the offer letter via mail, and during the notice period, they continue hunting for other jobs. By the time they receive a higher offer, they decline the initial company to join. This is a common scenario, especially in the IT industry and may be the case in other industries as well.

The Challenge of Offer Letter Shopping

As an HR professional, how should we stop or control this situation since it wastes the time of the recruiter and domain interviewers, even though we are continuously maintaining contact with the candidate through various steps?

Potential Solutions to Offer Letter Shopping

Can we somehow avoid mentioning the salary part in the offer letter, as that is the primary basis of negotiation with new companies?

I need some advice, if possible in the form of action items, to address this issue. Since this is a generic and significant matter for the recruitment industry, a deep brainstorming session will benefit everyone involved.

Offer Letter Shopping in the IT Industry

The issue of offer letter shopping is a significant concern in industries like IT, where job market dynamics can lead to such behaviors. To mitigate this, HR professionals can implement several action items, including strengthening initial screening and assessment, transparent communication, building relationships early, managing expectations, expediting the decision-making process, strengthening onboarding commitment, evaluating offer structure, implementing retention strategies, implementing a continuous feedback loop, and adhering to legal and ethical considerations.

These actions will help HR professionals strengthen candidate relationships, align expectations early in the recruitment process, and improve retention rates. By implementing these strategies, HR professionals can mitigate the risk of offer letter shopping and improve retention rates by fostering stronger candidate relationships and aligning expectations early in the recruitment process.