I applied to an internal position in my company. It was a lot more responsibilities and graded significantly higher than my current role. After a 5 month long grueling process during which the woman who was leaving even started her handover to me, they offered me the role.
At the same grade, at the same salary.
I politely asked a few times if it could be revised, and made a business case for it (experience, time in current role/grade, extent of role expansion etc) but to no avail. I rejected their offer and decided to stay in current role while I look for another job. Today I found out they're getting someone externally who has lesser experience than me (and obviously no experience of internal processes) at 1.5 times my pay and a higher grade.
Why do companies do this?