Can A Job Offer Be Withdrawn?

Withdrawing a job offer is never an easy situation, whether you’re the employer or the candidate. Sometimes, however, these circumstances are unavoidable, and staying aware of the implications involved as an employer is the only way to ensure your business is kept safe from any tricky legal action. Keep reading for a full guide on how to handle job offer withdrawals.

Legal Grounds for Withdrawing a Job Offer

When a candidate has accepted the job offer, this is usually seen as binding, no matter whether it’s verbal or written. However, there might be legal grounds for withdrawing a job offer, such as:

Conditional & Unconditional Job Offers

A conditional job offer is when there are certain prerequisites a candidate must fulfil in order to actually land the job. The conditions of such offers can vary significantly, from passing certain exams or achieving certain grades to background or reference checks.

In contrast, an unconditional job offer requires nothing in order to go ahead – the job is given to the candidate, with perhaps only a few regular formalities to go through.

Because of this distinction, it is entirely possible to withdraw a conditional job offer on the grounds of the candidate failing to meet the requirements as mapped out by the employer.

Misrepresentation

This often occurs when a candidate has bent the truth or provided false information during the hiring process in the hopes of getting the job. If the employer happens to find out, and the false information is likely to impact the candidate’s ability to work within that role, the employer has the right to withdraw the job offer.

Economic Conditions

Unforeseen circumstances may arise in a business that causes management to have to withdraw job offers as a means of cost-cutting. This is unfortunate for all parties involved, but it is a legally sound reason for withdrawing as a way to control business expenses.

Employer Obligations

Withdrawing a job offer is a delicate task, not just due to the potential legal risks involved but also with regards to the candidate who’s being turned away. If you’re an employer, getting to grips with how to handle these situations with care and consideration is crucial if you want to avoid legal liabilities down the line.

Potential Liabilities

Here’s some of the legal risks to keep in mind when withdrawing a job offer:

Breach of Contract

When a candidate accepts a job offer, this is typically seen as a legally binding contract. If you have no reasonable grounds to withdraw, this could constitute a breach of that contract, which could leave you vulnerable to the candidate seeking legal action or claiming for damages.

Discrimination

This leads us on to discrimination. If a job offer has been withdrawn without a fair and just reason, it could be because the employer has based their withdrawal on discriminatory reasons, whether that’s race, gender, age, or disability, which would also be grounds for the candidate to take legal action against the employer.

Negligent Misrepresentation

This occurs in cases where the employer gave the candidate misleading information during the hiring process that led them to rely on the job offer entirely – the candidate may have quit their job as they believed they had landed this new one, only to have it withdrawn. In these instances, the candidate may have grounds to claim negligent misrepresentation.

Best Practices for Employers When Withdrawing an Offer

If you’re an employer considering withdrawing a job offer, here’s what to keep in mind to avoid any legal risks:

Document Your Reasons

Keep a record of everything that arises during the process. This will keep you protected down the line – you’ll need proper documentation if the candidate does decide to take legal action after the offer is withdrawn, so make sure to include all your reasons for withdrawing.

Communicate Quickly

Once you know for sure that the offer’s going to be withdrawn, make sure you tell the candidate fast – inform them with care and compassion, and make sure you communicate the reasons for withdrawal so that they understand why they’re not getting the job after all. Not only will this minimise any distress they might experience, but it will minimise the risk of them taking legal action against you.

Seek Professional Help

This is where legal advice really comes in handy. It’s vital to get help from a professional who’s experienced job offer withdrawals before and knows how to handle these situations if you want to stay on the right side of the law.

Clear & Conditional Offers

Lastly, make sure your offers in the future are entirely clear on what you expect from the candidate. Keep them conditional if you can, and communicate your conditions to the candidate in order to avoid any misunderstandings.

Navigating a Job Offer Withdrawal as a Job Seeker

If you’re going through a job offer withdrawal as a potential candidate, we understand that this can be a stressful and disheartening experience to navigate. Unfortunately, these situations are not uncommon in today’s job market – the most important thing is to make sure you understand why this decision was made, so you can work out whether you have grounds for taking any legal action.

Give yourself time to process, then approach the employer for some extra information. It can even be beneficial to request feedback from the employer, as this could also provide you with valuable insight that can influence your future job applications. Once you’ve determined whether the withdrawal was or wasn’t just, you can then refocus your efforts on restarting your job search and finding the right role for you.

How We Can Help

If you’re an employer wondering where to start with a job offer withdrawal, we’re here to help. At The HR Dept, we have a professional team of experts ready to offer their support with managing withdrawals in order to avoid legal risks and minimise distress. We can also assist with the recruitment process, including crafting compliant job offers that keep you safe and protected during the hiring process. Our HR consultancy and legal advice goes above and beyond to make sure your business stays in line with the law while you recruit your perfect team of candidates. Reach out today to find out more about how we can help.