Q3 has been a positive and relatively buoyant one for operations across both the permanent and temporary markets. There have been many newly created roles as well as significant movement in the market which has led to replacement hires. Counter-offers have become increasingly commonplace as companies look to hold onto their best talent.
As a result, competition for top tier talent is tough; and the strongest candidates are likely to receive multiple offers. In additional to this, during the holiday season the recruitment process tends to be slower as more of the decision makers are away. This can cause the interview process to lose momentum and increases the risks of candidates dropping out. Clients with a streamlined and efficient recruitment process have benefitted over the last quarter and have enjoyed greater success securing the candidates they need.
With more roles on the market, clients are happier to look at candidates with the right fit and some transferable skills rather than like for like experience. These candidates are less likely to be susceptible to counter offers due to the clear progression they see in moving.
There has been a rise in salaries for candidates moving between roles. This is caused by the increase competition for candidates but also candidates and clients having more confidence in the market after sitting tight during some tougher years in the recruitment market.
We have seen increased hiring levels over the last quarter, especially after the usual slowing of the recruitment process during the summer months. We anticipate that the last quarter of 2014 will continue to be buoyant for operations, with employers looking to place roles in this year’s budget.
Q4 often presents challenges getting candidates to move as bonus season approaches; this is especially true for candidates at the higher end. Clients have recognised this and have been looking at solutions such as bonus buy-outs or an increase in basic salary.
There was a noticeable increase in roles available in the Asset Servicing area at various levels this quarter; this is caused by the upcoming dividend season. Though rather than this increase being mostly confined to the temporary market, clients have this year increasingly looked to bring on candidates permanently in this area; showing more confidence in the market in general.
Continuing the focus on regulation there was a high number of roles looking for strong knowledge and experience around regulatory reform in DODD FRANK, EMIR or MIIFID. This will continue to be a hot area and the more knowledge around regulation an operations candidate has the more in demand they are.
Another area we have seen more roles in at various levels is the Collateral Management area, this is likely due to recent tighter regulations in the area.
As hiring levels increase this quarter, clients have been looking for keen top-tier graduates to come in with less experience to come in as they look to build for the future. Due to hiring at the junior level there have been a number of newly created roles at the VP level as clients look to take on more senior people to cope with more at the associate and analyst level.
Overall these areas have helped create a buoyant market in operations over the quarter.
Temporary & Contract Recruitment
With regards to the temporary market, we expect to see employers prepare for the busy ISA and Asset Servicing season which will commence in Q1 2015. Given this, we anticipate an increased demand for candidates towards the latter part of Q4 in order to allow for adequate training etc. Similar to the permanent market there will be an continued interest in candidates with regulatory knowledge and experience and which we anticipate will remain throughout 2015.