How do I avoid this for the future? I need your help and suggestions.

It's quite possible for a job offer to be withdrawn at this stage,

My question,why apply for new job,attend interview and sign up the offer letter which is agreeable to both parties and reject it later?

it show that he has bad faith blinding by monetary value simply.

There are always risks, no matter what.

This is a very common occurance and unavoidable especially with HOT skills or in a HOT job market.

Some people refer to this as lack of ethics or professionalism on part of the candidate and some refer to it as "He took an opportunity he found more suitable" . Either way it is your loss.

Since such an occurrence is unavoidable the best is to minimize the risk:

1. Pick up early signals, after a couple of similar experiences (sorry, this is trial by fire) - you will be able to pick up a trend and pick up early on - a potential dropout. Still this is not a100% but you can start preparing in advance

2. Have back up candidates ready

3. Inform the hiring manager/stakeholders

    a. Even though they have made a selection and an offer has been made, you would like to continue interviewing potential candidates - just in case the one offered drops out. So keep a couple as back up and ready to offer (negotiate and keep it ready)- if the original candidate joins, you can send a regret note to the back ups. This is a reverse situation of what you are going through but - business as usual

    b. Don't wait for the last minute to inform the stakeholders of a dropout, it will make matters worse. Never hide facts - be as transparent as possible - this way you will win trust.

Happy recruiting!!

Well Fida, this isn't a very uncommon scenario is it? I am not sure if this is completely avoidable. His not turning up can be various reasons; 

1. Mismatch between the role and his expectations

2. Something in the recruitment process, that he did not like

3. His current organization (May be made a better offer in the last moment)

4. The candidate doesn't have a conscience

In the first3 reasons, except for number3, you may be able to influence. In number3, you may be able to; should the candidate come back to you to negotiate (if he does so, I would prefer pushing him out of all the future pipelines totally). 

Essentially, it all boils down to the fact that you've followed your process thoroughly or not. If yes, then a candidate with a good conscience would never back out. All the people who play such tricks are people who do not understand / or do not want to understand the impact it has on their careers in the long run. 

We would not be able to put a body that could regulate such instances purely because of the fact that the options for candidates is innumerable. 

All that you can do to avoid such an instance is - follow your recruitment process in a proper manner and if you feel the slightest of negativity with regards to the candidate, do not put him in your pipeline.

Thanks and regards

Gopi Krishna

So the candidate did not show up after confirming that he will? 

I think when there is a situation like this you need to put it in writing and let them sign it. A verbal agreement never works and should always be written. It should state what that person is there to do and be specific. If he signs it and does not show up or do the job you can forfeit his pay, and also write a bad review (if such system exists in your country). A review that states he is not punctual, can't keep his word, unreliable, etc. Also you can include other reparations or consequences if the job isn't done, other than not paying him. You have to make it clear, be specific and stern. 

First option: To get the Offer letter signed

Second option: To reduce the joining time requested (This request can also be represented by the candidate in writing and signed)

Basically: Once he confirms the appointment and the offer letter got signed, he is in principle has become your employee, so that you can keep some of the testimonials presented along with the CV until his reporting.  Also it would be appropriate  to get references from the previous employer(s)  (if so) or from reputed persons with adequate contact details, may reduce the happening of such issues on psychological grounds.

Such kinds of incidents are rare to happen.  At the most, such incidence arise when the employer's standing in the field is yet to prove for certain employee anticipations; or may be due to some miscommunication received to him indirectly/or better job opportunities after your selection.

Keep confidential of all employment matters at a safe distance only known to the HR department to avoid informal communication. Keep2 or3 contacts with him in between.

Anyway, we cannot assure cent percent and diplomatic approach is also a must where some such risks are inevitable.

Unfortunately there is no much to do to avoid this situations, luckl they are not very frequent.

One thinkg that will help for sure is to give less time before they join in.

There must be a good choice and the emphasis on employee that is a job offer with privileges equivalent to the current or a little better so that there is competition between the old and the new offer

On the other hand, should be preferred which corresponds to a qualified and experienced in the selection of the right person in the right place

In such a situation, there's nothing much you can do. And exactly for a situation like these you hire one more extra candidate and keep him/her on stand by/ wait-list, notifying them that if the priority candidate doesn't joins then you're next.

Take this advise seriously, and you won't face any trouble in the future :) !!!

Dear Fida, this had happens with us twice and after signing offer letter and confirmation of joining. Both he candidate didn't turn up and before joining called me and excuse for their move. Though, i discuss it with our legal team and they said to some extent we could pressurize the candidate but in longer we cannot drag such issue as that person just accept the letter and he didn't sign joining letter and other formalities as he would be called Employee. Now, the solution which i opted is to just e-mail the candidate from official e-mail mentions the designation only. we don't mention salary which is the core point on which candidate bargain on his company. well, we this is a issue which we(HR) face and will face. The worst thing is that that person is being treated as black listed and in our circle we do intimate other recruiter to be alert from such person.

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