“Reasonable” Offer Deadlines Guidelines
From The Principles for Professional Conduct Committee
In February 2007, the Principles for Professional Conduct Committee produced an update to an earlier position paper titled “Exploding Offers.” That paper examined the “exploding offer,” which requires a student to choose a job offer within a very short amount of time or face having the offer rescinded. The overriding intent of that position paper as approved by the NACE Board was to provide guidance to employers and career centers with questions regarding the timing of job offers. These guidelines on “Reasonable Offer Deadlines” update and replace the “Exploding Offers” position paper.
As the job market for college graduates becomes more intense, employers and career centers alike ask questions about deadlines for job offer acceptance—particularly when deadlines come very early in the recruiting season. The timing of these offers and acceptances is a market-driven issue, with different industries experiencing varying degrees of urgency to fill positions. The role of NACE is not to enforce a specific time frame, but rather to encourage practices reasonable and appropriate for both employers and students, recognizing that ultimately the employment decisions are between the student and employer. Communication is key to these decisions, with regular contact between the employer and student vital from the point of offer to the start date.
In a robust and fast-paced job market for graduates and interns, some employers attempt to mitigate the effects of job-market competition with practices, including providing giveaways to students between the offer and the decision; providing financial incentives for accepting an offer; or requiring students to accept job offers within a short time frame. In some instances, students accept offers, continue their job searches, and renege on their accepted job offers if they find “better deals.”
Experience shows the best employment decisions for both students and employers are those that are made without pressure and with the greatest amount of information. Students given sufficient time to attend career fairs, participate in on-campus interviews, and/or complete the interviewing in which they are currently engaged are more likely to make good long-term employment decisions and may be less likely to renege on job acceptances.
Employers can use offer deadlines to assist in planning a recruitment strategy. The offer deadlines are influenced by the available candidate pool, the available recruitment opportunities, and anticipated staffing needs. Definitions of sufficient time for these offer deadlines vary, given industry standards, students’ prior experience with the employer, offer timing, quality of student, and proximity to graduation date/start time. Some issues that employers may wish to consider when establishing their offer deadlines are:
- Housing—Does the student have sufficient time to research housing costs and availability?
- Proximity to graduation—Does the student have time to explore a wide range of options?
- Time to make offers to other students if initial offers are not accepted—Will the student pool be sharply decreased by a delay?
- Prior experience with candidate—Does the student believe prior internship will lead to a job offer?
- Impact of technology—How quickly offers can be extended along with offer details, such as salary, benefits, and bonuses?
To further illustrate deadline issues, consider these scenarios and how time frames can be interpreted differently.
- A student who will graduate in December receives an offer in October from a local employer. This employer gives the student one week to respond. If the student had already attended career fairs, explored other opportunities, or had a geographic preference, this time frame may be reasonable.
- A student interned with ABC Company during the summer and will graduate the following May. ABC Company extends an offer at the end of the summer and asks the student to respond by mid-September. This may be unreasonable if the student wants to explore other opportunities. However, it may be reasonable for the employer to request a decision by the end of November.
- A top engineering student plans to graduate in May, but participates in the fall career fair and campus interviews. An employer extends an offer and signing bonus at the end of October, requesting a decision within two weeks. The bonus decreases after one week and is eliminated if the student doesn’t accept within two weeks. The student asks for an extension and is given one additional week to decide, but the original signing bonus still expires after two weeks. This is likely undue pressure as the student has up to six months remaining to explore opportunities and may face financial loss by not accepting the offer.
- A student graduating in May recognizes that XYZ Company typically recruits in the fall. The student is an aggressive early job seeker, makes contact with XYZ, and receives an interview. XYZ Company tells the student it will not extend offers to May graduates until it has commitments from December graduates. The student has other pending offers and wants to make a decision well in advance of graduation. The student pressures the employer to extend an offer now. The student is likely placing undue pressure on the employer who is up front about recruiting practices and recognizes that there is still time for the student to evaluate opportunities.
- A student receives an offer for a summer internship at a slightly lower-than-expected rate of pay; however, the employer and specific opportunity are very appealing to the student, so the student is tempted. However, the internship requires relocation to a major metropolitan area in another area of the country and the employer provides no assistance with housing or relocation for interns. The recruiter gives the student three days to decide on the offer. The student expresses interest in the job and concern that he/she won’t be able to determine if he/she can locate affordable housing in so little time, but the recruiter does not yield on the deadline. This is likely undue pressure.
Deliberation
The NACE Principles Committee examined the issue based on NACE research, thoughts expressed by both career center and employer members, and discussion at the NACE 2008 Annual Conference. The primary basis for deliberation was the preamble to the Principles for Professional Conduct document that directs members to:
- Maintain an open and free selection of employment opportunities in an atmosphere conducive to objective thought, where job candidates can choose optimum long-term uses of their talents that are consistent with personal objectives and all relevant facts.
- Maintain a recruitment process that is fair and equitable to candidates and employing organizations.
- Support informed and responsible decision making by candidates.
The committee's opinion also drew upon several specific principles from the Principles document, including:
- Employment professionals will refrain from any practice that improperly influences and affects job acceptances. Such practices may include undue time pressure for acceptance of employment offers and encouragement of revocation of another employment offer. Employment professionals will strive to communicate decisions to candidates within the agreed-upon time frame.
- Career services professionals will provide students with information on a range of career opportunities and types of employing organizations. They will inform students of the means and resources to gain access to information, which may influence their decisions about employing organizations. Career services professionals will also provide employing organizations with accurate information about the educational institution and its students, and about the recruitment policies of the career services office.
Conclusion
The NACE Principles for Professional Conduct Committee understands that not all employers recruit at the same time of the year, nor do all colleges follow the same academic calendar. Therefore, recommending specific calendar dates for offers and acceptances would not be appropriate. Furthermore, many employers issue offers to their graduating co-ops or interns at the start of the employer’s recruiting cycle in order to provide those students priority consideration prior to extending offers to other students. Finally, shorter decision time frames would be appropriate if the candidate's graduation date and start date are very close.
Employers should assess their use of offer deadlines to ensure they are not placing undue pressure on a student. Pressure can come not only from the deadline, but also the use of financial incentives (signing bonuses, increased salary, and so forth) encouraging very early acceptance of offers. Today’s technology can significantly shorten the time from interview to receipt of complete job offer information. Although both students and employers benefit through this quick communication, it also can shorten the time available for students to make good decisions and increases the sense of urgency.
Career centers should provide guidance to students to help them make informed decisions when accepting or not accepting job offers. Career centers may provide guidance to employers and recommend that they consider extending deadlines when needed. Students should also be sensitive to employer needs and accept offers in a reasonable time. Career centers can help students work with employers to determine what might be a reasonable time.
NACE and the Principles Committee do not advocate enforcing a specific time frame, but rather encourage practices reasonable and appropriate for both employers and students. The Principles Committee believes that providing sufficient time for students to evaluate the employment opportunities offered to them allows them to make the wisest decisions for all concerned, creating a positive experience for candidates and employers, and ultimately reducing renege and attrition rates.
July 2008
