In the current economic climate, the issue of attracting and retaining talent has never been so important. In order to do this, it is vital for employers to understand the needs of both current and future staff, and recognise what they are looking for in a job.
At McGregor Boyall, we have recently addressed this issue by carrying out a survey of 5,350 risk, compliance and product control professionals. They were asked questions surrounding salaries and bonuses, addressing what the current situation is like, how it is likely to change, and what the influencing factors are when job hunting. The survey revealed some interesting results.
As risk, compliance and product control have evolved in line with the financial crisis, it has created a demand for experienced professionals. In light of this, it’s perhaps unsurprising that our survey shows salaries have increased as employers strive to attract and retain talent. 57% of respondents had some form of raise in their pay over the last 2 years, with 29% experiencing no change, and only 14% seeing a decrease.
In addition, a similar pattern can be seen with bonuses, with a large number of professionals (80%) being eligible for a bonus in 2011/2012. Just over a quarter of those surveyed were given 10% of their base salary or less, almost a quarter received over 30% and one in ten obtained between 11% and 30%. Again, the results imply that compensation measures are being taken in order attract talented individuals into financial services, and hold onto existing staff.
However, when it came to thinking about the future, participants were unsure as to how their pay would change. With regard to salary and bonus expectations for next year, there was a mixed bag of results, perhaps reflecting the uncertainty of these difficult times. 71% of respondents thought that, due to current market conditions, their salary would stay the same for next year. With bonuses, just under half (47%) of respondents predicted it would stay the same, with 40% anticipating a decrease.
Looking at these findings, it begs the question: how important is money? When asked what factors would influence their decision whilst job hunting, our survey revealed that salaries and bonuses were significant for the financial services professionals. Base salary and overall compensation were seen as the two most important influencers, but were closely followed by career progression and work life balance.
This suggests that payment rewards are important, but they aren’t everything. There are other motivators that staff are looking for, and businesses can’t afford to ignore them if they want to keep hold of their employees and attract new talent. So, yes, money still talks, but not at all costs, and it’s vital that employers recognise this, particularly in the difficult economic conditions.
Laurie Boyall, Managing Director of McGregor Boyall
Financial Services Recruitment Specialists for – Change & Transformation, Compliance, Executive Recruitment, IT, Marketing, Product Control & Valuations, Risk. To view our vacancies click here!