The London financial services hiring market saw a further decline in September 11. The number of newly available job roles fell from 4,095 to 3,843, a 6% drop from the previous month and a new low for the year. This was also a decline of 19% from the level of newly available jobs in September 10, which registered 4,725.
The number of professionals entering the jobs market in September 11 fell to 8,610 from 10,291 – a decrease of 16% month-on-month. Compared to September 10, which registered 10,850 professionals looking for new roles, this was a decrease of 21%.
Andrew Evans, Chief Operations Officer, Morgan McKinley Financial Services commented:
“Typically, September is the month when there is a resurgence in recruitment activity after hiring managers and job seekers return from summer holidays. However, the fall in job opportunities this month illustrates that the hiring market across the City is now impacted predominantly by continuing economic and financial issues both in the UK and globally.
“It is unsurprising to see that the number of job opportunities has declined further in September 11 compared to both August 11 and the same month last year. Anecdotal evidence from the financial institutions that we work with as well as the drop in number of professionals entering the hiring market underlines that the sentiment across London’s financial services sector remains extremely cautious. Our colleagues across Europe, the Middle East and Asia Pacific have also identified similar challenges which are affecting financial services hiring around the world.
“Looking ahead, anticipating when business performance will improve remains difficult. However, regulatory developments and further quantitative easing may have a positive impact on the hiring market. From a global perspective, finding a solution to the debt crisis in Greece and other Euro zone countries will go some way to providing a clearer picture of the immediate future for industries and economies across Europe and beyond.”
Hiring decisions slow while salaries remain buoyant
The time taken to fill roles slowed down in September 11, taking on average five extra days compared to August 11. Salaries for those taking up new positions rose by 6% to an average of £55,607 compared to remuneration for those starting new roles the previous month.
Andrew Evans continued:
“Financial institutions are being incredibly wary about taking on new headcount until year end at least. Naturally, hiring decisions will slow down as resourcing requirements and recruitment budgets are managed very carefully. Despite this, remuneration levels remain steady, which highlights the fact that hiring has not stopped altogether. There is still demand for certain job roles and functions, which is keeping average remuneration stable across the sector as organisations compete only to invest in the best talent.”
