Buoyant financial services recruitment market in 2007

Half of all employers based in the City and Docklands will increase staffing levels over the next six months.

Almost half of all employers expect starting salaries to rise in the first half of 2007.

More than a third of all Financial Services staff will have received bonuses higher than last yearís.

Research released today by specialist recruitment consultancy Robert Half Financial Services Group reveals that half of all City and Docklands employers are planning to increase their number of full time financial services staff during the first half of 2007.

The City Recruitment Index, a survey of almost 140 companies across the City of London and Docklands, reveals that the main reason for companies increasing staffing levels in 2007 is due to business expansion, as stated by almost half of all respondents (44 per cent). Other factors driving the need for more staff included increased workload (20 per cent). It is interesting to note however that only seven per cent of respondents expect to hire new employees because of staff turnover.

This optimism within the market is also reflected in the salaries that are being offered with more than a third of all employers (36 per cent) stating that they plan to increase employee salaries during the first half of 2007 by an average of 5 per cent and some respondents expect an increase as high as 10 per cent.

Neil Owen, Regional Director of Robert Half Financial Services Group, said:

ìOur latest survey is a clear indication that the City and Docklands recruitment market is set to remain buoyant during 2007 and that employers recognise the value of retaining staff and are prepared to invest in their people by offering higher bonuses and increasing salaries. Itís also encouraging to see that this increase in hiring intentions is being driven by business expansion, rather than staff turnover.î

Other key findings on the benefits packages that are now being offered in the City include:

In the last six months, 11 per cent of City and Docklands employers have introduced flexible working hours to existing benefits packages.

9 per cent of employers now offer the option to work from home.

6% said they have revised their benefits packages to offer gym membership and extra holidays.

Neil Owen added:
ìA tailored benefits package is now recognised as a powerful retention strategy. As the war for talent continues in 2007, employers will need to offer a diverse range of benefits to continue to motivate and engage employees. Benefits such as career develop opportunities, flexi-time and extra holiday will enhance employersí ability to attract and retain top talent.î