Banking jobs market seeking more talent in 2010
As the rest of the UK economy continues to struggle to recover from the impact of the global financial crisis, there is a growing number of banking jobs in London available, prompting a war for talent in the sector.
With many institutions dramatically cutting staff numbers during the recession, banks seem to be starting to hire again and are now looking to appoint talented individuals looking for finance jobs. Although certain sectors - such as construction and manufacturing - are still struggling, analysts are increasingly forecasting growth in the banking industry as it recovers from the downturn. In a recent report for eFinancialCareers, Sarah Butcher predicted compensation paid in 2010 to those working the finance sector was likely to exceed that allocated by banks in 2009, although ratios may still remain below 2008 levels.
Following a series of job cuts in the industry last year, financial services companies may need to work hard to coax back those who have moved into other sectors. The government has been encouraging people with experience of the private sector to consider switching to a career in teaching and there are currently shortages of maths educators in the UK schools system.
Bloomberg has quoted Credit Suisse chief executive Brady Dougan as suggesting the firm is planning to hire 130 new sales appointments, including 30 foreign exchange specialists, having experienced a "strong start" to 2010. Additionally, eFinancialCareers has suggested JP Morgan is seeking new investment banking workers in order to assist in the expansion of its European wealth management activities. With so many opportunities starting to emerge, skilled jobseekers may find themselves more in demand, while strong growth forecast this year in the adoption of electronic trading systems may result in considerably more positions available for talented IT specialists seeking technology jobs in banking in London.
Those seeking banking operations staff could look at hiring more female workers after a new study commissioned by the Government Equalities Office to mark International Women's Day on March 8th found 60 per cent of respondents believed big businesses should have more female directors and only seven per cent believed that men should have sole responsibility for the future of the finance industry.
Meanwhile, fortunes of older people looking for finance jobs may also be looking up as institutions start to rehire staff laid off in the recession and expand their operations. UBS senior economic adviser George Magnus suggested this year that recruiters should "think more flexibly" about workers over the age of 50 and "the UK needs to re-boot its ideas about how it adapts to ageing". The government unveiled £10 million plans in March to provide greater assistance to those in this group seeking employment and promote the skills and experience they can bring to a business.
New opportunities may also emerge in the UK banking sector, as some skilled staff move overseas with the growth of Asian markets. Stricter regulations are being imposed on financial services companies based in Britain and this may persuade some talented individuals to seek new opportunities in low-tax jurisdictions.
In short, for those trying to find new positions in London, the prospects for employment in 2010 are looking considerably better than 12 months ago, with banks increasingly competing with one another to hire the most talented and experienced people in the market.
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