Struggling to attract top banking and finance talent? Discover the key issues and game-changing strategies to help you stay ahead of the competition and build a winning team.
It’s been a rocky start to the year for banking and financial services. With volatile global stock markets, rising bond yields and high-profile bank failures, confidence in these sectors is lower than it has been for some time. Factor in the talent shortages facing virtually every industry, and banking hiring managers face a tough road ahead.
You can’t control the global economy. But you can fine-tune your talent acquisition strategy to stay ahead of the competition. Here’s a closer look at the obstacles you’re facing, plus some tips for overcoming them.
challenges facing the banking industry
Here’s a rundown of the most pressing issues for hiring managers:
1. a lack of skilled financial services professionals
There are simply not enough skilled financial professionals to fill open positions. The Bureau of Labor Statistics projects employment in business and financial occupations to grow seven percent between 2021 and 2031, resulting in about 715,100 new jobs over the decade.
And these are just new jobs from growth. Workers who leave their roles will need to be replaced, leading to nearly a million (980,200) openings yearly.
2. an inability to offer job security
The 2023 Randstad Workmonitor found that economic and job security are top of mind for most workers, with over half (52%) worried about the impact of economic uncertainty on their job security and nearly two-fifths (37%) expressing concerns about losing their job.
These concerns are understandable: The stability of the financial services sector has been called into question recently, with the recent collapse of several high-profile banks against the backdrop of large-scale layoffs in other industries.
3. fierce competition for tech talent
Digital transformation has created a demand for new tech positions in treasury management, human resources and other functions within banking and financial services. That means leaders need talent with the right skills and knowledge in both finance and digital innovation. And to make things more challenging, you’re competing not only with industry rivals but also tech companies for this specialized talent pool.
opportunities for the banking industry
Now for the good news: New labor market trends in recent years have presented banking leaders with a wealth of untapped opportunities. For example:
1. flexible working means a broader talent pool
Flexible working is more important than ever. The 2023 Randstad Workmonitor found that nearly half (45%) of workers said they wouldn’t accept a job if it didn’t offer accommodating hours.
While not all banking and financial services roles can be fulfilled remotely, flexible working can help differentiate you from competitors. Offering remote or hybrid positions also allows you to recruit outside your geographical area, giving you access to a much wider talent pool.
2. room for upskilling/reskilling to plug talent gaps
While 85 percent of finance professionals recognize the importance of reskilling and upskilling, only 71 percent say their employer offers these programs. In other words, not everyone keen on boosting their skills and productivity gets a fair shot at achieving their goals.
With upskilling a key driver of retention, consider taking a closer look at your organization’s career development and training offerings. Moreover, as technological advancements, like the rapid rise of AI-powered tools, make some jobs obsolete and create new ones, your current employees — who already know the company culture and have shown their worth — can be trained or retrained to tackle these new roles.
3. developing shared values to attract new talent
Corporate values matter. The Workmonitor found that over half (54%) of workers would quit if they didn’t feel they belonged at their company, while 42 percent said they wouldn’t take a job if the company’s values didn’t align with their personal ones.
To attract top talent, you need an employee value proposition that appeals to today’s socially conscious workforce. Start by actively promoting your commitments to diversity, equity and inclusion, as well as leaning into value-driven (and profitable) fields like clean energy, financial inclusion and community investment.
Ready to make the most of these opportunities to attract and retain the best financial talent? Get in touch with our experts today.