Estimated reading time: 4 mins
Just received a job offer?
First off, thumbs up! Considering that a job opening receives about 250 applications and only 2 percent of the applicants get called for an interview, going all the way and getting a job offer is no mean feat.
It’s understandable that you might be drowning excitement, especially if this is your first job offer. However, it’s important to evaluate the offer and establish whether it meets your expectations.
In this article, we’re sharing 6 things to look for before accepting job offer.
Let’s get into it!
1. Compensation and Benefits
76 percent of workers are looking for good compensation in a new job.
Good pay not only enhances your prospects of achieving financial freedom and getting rich but also makes you feel valued by the employers.
So, how much is the potential employer offering in basic wages? Does it meet your range?
Also look at your prospects of getting periodic raises. Ensure the company has a clear formula for increasing employee salaries.
On top of a salary, an ideal employer should offer benefits such as health and dental insurance, guaranteed and discretionary bonuses, 401(k) savings plan, life insurance, and profit sharing.
If the job offer is for an executive-level position, you want the employer to throw in an employee stock ownership plan.
2. Job Roles and Responsibilities
when you applied for the job, you had a decent idea of what it entails.
This, though, doesn’t mean everything written in the ad was cast in stone. Job descriptions change all the time.
It’s for this reason you need to go through the listed job roles and responsibilities. If there’s a significant difference from what was in the job advert – perhaps they have introduced additional responsibilities – establish why.
Although employers reserve the right to tweak a job description, it’s not a good sign when the description on a job ad has major differences from the one in the offer letter. It could mean the employer will keep changing the nature of the job, which is a recipe for workplace conflict.
If there are no changes to the description, don’t be quick to accept the offer. Take time to evaluate whether the roles and responsibilities match your qualifications and skills.
You want a job that enables you to put your core competencies to work; a job that brings out the best in you.
3. Job Location
If the job offer is from an organization with multiple branches across the country or even abroad, it’s possible that you could be posted in a location other than where you currently live.
Although most employers will indicate the location in the job ad, some employers post new hires to new locations.
If this is the case, consider whether your personal circumstances allow you to relocate. Do you, for instance, have a young family that might be unsettled if you move along with it? Or what’s the cost of living in the new location? Will you comfortably afford it?
Before making up your mind, you also need to evaluate the prospective employer’s job relocation policy. Do they offer benefits such as pre-decision counseling?
Read more here to gain a deeper insight into employee relocation.
4. Career Advancement Prospects
Is the job offer for an entry-level or middle-level position?
If yes, consider your career advancement prospects. Establish whether the company offers sufficient opportunities for new hires to climb up the career ladder.
Although this information might not be included in the job offer letter, all you need to do is look at the company’s senior employees. Did the vast majority climb through the ranks or they were hired straight from other organizations?
You can also look at department structure.
Let’s say you’ve received an offer for the job of a financial assistant. If the department you’ll be joining has senior financial positions such as financial supervisor, financial director, and chief financial officer, there’s a good chance you could rise through the ranks and occupy these positions.
5. Company Stability
Before accepting a job offer, take a hard look at the company’s financial health and general stability.
Sure, the temptation to say yes to an offer regardless of the employer’s stability will always be there, especially if you’ve been jobless for a while. But of what gain is taking up a job if the company won’t be in existence a couple of months or years down the road? You’ll only be setting up yourself for frustration and disappointment.
The question is: how do you evaluate a company’s stability?
If it’s a publicly-traded company, you can access its financial statements. Companies that are on a loss-making streak or clouded by uncertainty are generally not ideal employers.
And if it’s a private company, dig around on the web looking for clues. Review sites such as Glassdoor are a good place to gather information about a certain company.
6. Is the Offer Better Than Your Current Job?
If you’re already in another job, getting a new job offer can be a confusing time – unless the offer presents a better opportunity.
Comparing your current job with the new offer is a straightforward task. Look at compensation and benefits, job flexibility, location, and other factors fleshed out above.
If the new job is better than your current, go for it.
But if the jobs are similar, there might not be anything to gain from the new job. You could move if all you want is a different environment, though.
Accepting Job Offer: Take Your Time
After what might have seemed like an eternity, you now have a job offer on the table.
Depending on your personal circumstances, you could be tempted into making a quick decision. But as we’ve demonstrated, you need to take time and evaluate a number of factors before accepting job offer.
Good luck and be sure to keep tabs on our site for more career insights.