Banking and Finance sector hit by low morale and high workloads
Well over a third (40%) of employers think that the bonus backlash will affect their ability to attract top talent. Furthermore, almost a quarter (24%) believe they will struggle to recruit the best staff because they are not offering high enough salaries, a report by recruitment consultants Badenoch & Clark has revealed.
Almost half of banking and finance organisations surveyed have committed to reducing bonuses for 2010. In the same study 12 months ago only a quarter of employers had reduced their bonuses, showing that confidence in the sector is yet to be fully restored.
Alongside this, the report has revealed that banking and financial services staff are working longer hours than ever and most are expecting hours to increase as the market picks up.
A total of 60% of employees surveyed claimed to be working longer hours, with 67% stating they expected hours to increase further in the coming months. Another 70% of employers agreed that longer hours will be a factor in market recovery.
Redundancies were cited as the main reason for an increase in workload, with 40% of those surveyed having to pick up additional work due to cuts in team capacity.
Guy Emmerson, Associate Director, Banking & Financial Services at Badenoch & Clark, comments: The financial crisis has seen the banking landscape change forever and, despite the sector being notorious for its long hours culture, it now has to work harder than ever to rebuild the reputation of the industry and restore confidence.
In particular, I would advise jobseekers to manage their expectations in the current climate. While we are seeing new levels of confidence in the sector, we have not returned to pre-recession levels. Until sector confidence is fully restored, employers will be reluctant to return to the high salary and bonus levels of the past, not only from a financial point of view, but perhaps just as importantly, from a PR point of view.