The hiring process can be overwhelming to HR professionals, and seeing it become successful by closing it with employment offers is one of the satisfying moments. You need to be very careful when sending job offers to potential employees because it needs to be within the organizational budget.
Once the potential employee receives the employment offer letter, they will review it, sign if it interests them, and send it back to you. This guide will provide you with an in-depth review of employment offers and what you need to know to find quality talent. You will also understand the legal aspects of employment contracts.
A Complete Guide to Employment Offer Letter
Recruiters go through phases when seeking candidates to fill in a job opportunity. After a comprehensive search, the right candidate selection determines who takes up the job. The next stage for any recruiter is to secure them so that they can take up the position. Providing an offer of employment brings a close to the recruitment process. Recruiters find this a sensitive part of the hiring process, due to the uncertainty as to whether the applicant will choose to take up the position.
The purpose of an
employment offer letter is to outline all the terms of employment. Within this letter, the title of the job, starting date, salary, and any other benefits. Once a candidate receives an offer of employment, they have a decision to make. They can choose to either accept the terms as are in the agreement or to negotiate for something more favorable. Offer negotiation takes time and can add additional costs to the organization. Before giving the offer, the following are in consideration: -
- Job details – This includes the working times and necessary details of the job. The basic expectations of the job are also detailing here.
- The expected remuneration from the applicant – This requires understanding what is on offer, the market rate, and the reason that the applicant requested for a certain amount. The proposal should be something that all parties are comfortable with.
- Benefits and Bonuses – In addition to remuneration, benefits and bonuses may also be written to clarify what candidates can expect before and after they deliver results.
After the job offer is made, there are instances where an offer withdrawal is necessary. This means that the employer withdraws the offer, and the offer is ‘off the table.’ There are some critical reasons for withdrawing an offer, including: -
- The employee is failing a criminal background check due to misrepresentation.
- If the individual is not able to fulfill the roles and responsibilities for the job.
- Any other reason that is relevant to the employer.
The only thing that an employer cannot do is withdraw an offer based on any type of discrimination, such as from age, gender, race, religion, disability, or ethnicity.
Employee Agreement vs. Offer Letter
The candidate receives the
offer letter before the employee agreement. To confirm that the offer is acceptable, this letter needs to be signed. Once the candidate pens their signature, then the more detailed employee agreement is created. Offers can be taken back without any consequence to the employer, but with the employee contract, legal aspects come into play. Signatures are required from both the employer and the employee, adding to the level of commitment on both sides. They are more detailed than the offer letter, including
job descriptions, competitor clauses, termination clauses, and more.
Recruiters are responsible for job offer management, from the beginning of the process right to the end. A candidate accepting the offer means an employment agreement is given and signed by the candidate as confirmation that they have expected the position.