There is no such thing as a standard approach to recruitment.
The recruitment market is highly fragmented and every sector brings its own unique set of issues and challenges. The financial services sector is one that is particularly fast-moving.
The financial services recruitment market has long been highly competitive. For many years, firms have been competing fiercely to attract the best talent and to cope with the shortage of qualified candidates. Brexit is a new factor that is also shaking up the market, with some jobs and staff relocating from the UK to the EU.
Meanwhile, technology and data scienceare transforming financial services, streamlining operations andcreating radical change across the board.
The financial services industry comes with its own set of compliance requirements, too. This is another factor that makes recruitment for this sector especially challenging.
At TalentTide, we aim to have a deep understanding of the full range of issues affecting our clients, so we can get under the skin of their industry and find the best people to contribute to their future growth.
1. Digital transformation
The power of digital technology continues to reshape the financial services market. AI, automation, and mobile apps are all having a big impact. This increases the intense competition between firms to attract the top specialist talent across a broad range of positions, from data scientists to systems analysts.
2. Entry level talent
Those firms trying to attract the best entry level talent now face increased competition from fintech and insuretech companies. There is likely to be a shortage of young talent, with companies not only needing to offer enhanced remuneration packages, but also top quality training and mentoring programmes to allow this talent to deliver its full potential.
3. Demand for compliance skills
The financial services industry has been under close scrutiny since the financial crash of 2008. The level of regulation and the complexity that this brings continues to grow. The advent of the SMCRis just one recent example of this growing trend. GDPR is another example of recent compliance regulationthat has a big impact on financial services companies. So there will be strong competition for individuals with exceptional talent and expertise in this area who can help ensure compliance with highly technical regulations and steer companies away from costly mistakes.
4. The impact of Big Data
More than 50% of finance companies are now actively pursuing Big Data as one of the key drivers of their business strategy. This will produce huge demand for new skills in this area to be recruited into the leading firms. But it is not just data specialists that will be needed. Big Data could have a broad impact on the way in which financial companies operate, with new talent and new thinking required to implement the strategy across the business.
5. New recruits look to the long term
With a large number of firms chasing a limited pool of talent, there is more power in the hands of candidates to look beyond the remuneration package and to be influenced by the wider benefits of moving to a particular firm. What long term career path does it offer? What training and development opportunities will there be? Is there a fast route into management? Does it have flexible working policies? All this will call for more imaginative thinking from employers and their recruitment consultants.
6. A shortage of cybersecurity specialists
With the vast amount of highly sensitive data that they hold, security breaches represent a major threat for financial companies.In addition to ransomware, there a growing threat from state-sponsored cyber warfare, which is increasing in its sophistication. Against this background, it is estimated that by 2021 there will be a staggering 3.5 million cybersecurity positions unfilled across the globe. So we can expect to see a major push from government to encourage more young talent to pursue this field as a career, and fierce competition between firms to recruit the most talented cybersecurity experts.
At TalentTide, we will work with you to clearly define the precise skills and experience that you need to fill your key positions in finance. With our experience in this field, we can go beyond technical skills and help you identify those candidates with the ideal ‘cultural fit’ with your company – the ones that are likely to succeed in the longer term and therefore deliver the best return on your investment.