5.9 Making the Offer

A formal job offer is extended to the selected candidate, including compensation, benefits, and start date details. Once the decision is made to hire a candidate, HR professionals may feel their job is finished. However, making an offer to the chosen candidate can be equally important as the interview process. If the offer is not handled correctly, you can lose the candidate, or if the candidate accepts the offer, he or she could start on the wrong foot.

Constructing a formal written offer is often preceded by one or more discussions between the HR professional, the hiring manager, and the selected candidate. Try to aim for a negotiation that benefits both parties during this stage. A trading technique can be used. For example, “I cannot offer you the salary you are requesting right now, but what if we were able to review salary at your six-month performance review, assuming ____ objectives are met?” These discussions should involve confirmation of the total compensation, such as salary, benefits and bonuses. It should also include the start day, probationary period (if applicable), working hours, vacation, any special accommodations required, incentives (e.g. signing bonus), and additional considerations such as relocation expenses. Once terms are agreed upon, document them clearly in an offer letter or employment contract. This helps prevent misunderstandings and ensures clarity on both sides. The job offer should include all relevant details, such as:

• Job title
• Responsibilities and any expectations for the role
• Working hours
• Salary, bonuses and other compensation
• Benefits
• Start date,
• Vacation time/paid holidays
• Additional considerations such as relocation expenses.
• Ensure the offer letter complies with all legal requirements and regulations.

It is also essential to establish and document, in the offer, the timeframe for the candidate to accept the offer. It is reasonable to give the candidate some time to decide, but not too long, as this can result in losing other candidates should this candidate reject the job offer.

Finally, the offer step is one that you want to ensure is a positive and efficient process for the selected candidate – making a good impression on behalf of the company is essential. You want to foster positive relationships with candidates and set the stage for successful onboarding and retention!

“6.5 Making the Offer” from Introduction to Human Resource Management – First Canadian Edition by Zelda Craig and College of New Caledonia is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License, except where otherwise noted.—Modifications: Used paragraphs one and five, edited.

“5.15 Selection Offers and Errors” from Human Resources Management – 3rd Edition Copyright © 2023 by Debra Patterson is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License, except where otherwise noted.—Modifications: Used paragraphs one and three, edited; Added specific examples.