One thing that isn’t talked about a lot? Rescinded job offers. It’s so uncommon that most people don’t know what to do when it happens.
What is considered a rescinded offer?
When a company withdraws a job offer made to an applicant, it is considered a rescinded job offer. This can happen at any point during the employment process, including after a candidate has accepted an offer. A job offer that is revoked can be upsetting for a job seeker, especially if they have already resigned from their current position or have turned down other job offers.
However uncommon it has been in the past, the current job market has made this more of a commonality than in previous years. There’s nothing like excitedly preparing for a career transition before getting hit with the sour news of a retracted offer. Never fret. This isn’t the end of the road and it CAN be navigated through.
Why it happens…
- Change in business needs: A company’s business needs can change rapidly, and a position that was open one day may no longer be needed the next.
- Poor reference check: Sometimes, a company will rescind a job offer after a poor reference check. If a reference raises red flags about a candidate’s work ethic or skills, the company may decide to withdraw the offer.
- Failed background check: Similarly, a failed background check can also lead to a rescinded job offer. If a candidate has a criminal record or has provided false information on their application, the company may withdraw.
- Budget cuts: In some cases, a company may rescind a job offer due to budget cuts. If the company’s financial situation changes, they may need to reduce headcount and rescind offers that have already been made.
Some reasons are completely out of your control. If there was a financial setback or an internal miscommunication, you can rest assured that you will find another opportunity elsewhere. Decision makers aren’t always going to be aligned on their hiring strategy (which is why it pays for them to turn to a recruitment firm, like JDI), but refining their recruitment pipeline isn’t something that you need to be concerned about.
So now what can you do about it?
Don’t ruin the network connection
Unfortunately, unprecedented financial situations create unwanted roadblocks for hiring managers. When things bounce back, the opportunity bounces back. If it’s for a company that you are passionate about, it’s always a good idea to keep someone on the team in your network for future reference. Thank the company for the opportunity and express disappointment that it didn’t work out.
Ask for feedback
If the company is willing to provide feedback, ask for it. This can help you understand why the offer was rescinded and what you can do to improve your chances in the future.
Start asking questions about the company’s profitability
If you’ve already resigned from your current job or turned down other job offers, you may need to consider your options. Look for other job opportunities, consider freelance or contract work, or explore other ways to earn income. When you explore your options, you should be asking the right questions.
Rescinded offers aren’t ubiquitous, but when they do happen, it’s often because the company is struggling with profitability. How many people have been hired in the last month? How many will be in your onboarding class? How are sales?
Keep in mind that different industries will meet different benchmarks. For example, a hotel wouldn’t have the same profitability as a grocery store chain during the height of something like the pandemic. Smaller businesses also aren’t going to need to onboard a large staff, so the hiring needs of a boutique brand will never match a chain corporation.
In conclusion, rescinded job offers can be a frustrating and disappointing experience. However, it’s important to remember that it’s not a reflection of your worth or abilities. You’re a hot commodity if you’ve already received an offer. If you’ve done it once, you can do it again. Take the time to refine your resume and make any tweaks that’ll help you take control of your search.