The financial services sector is witnessing a rebound in recruitment following a difficult 2023.
- Recent data shows a significant rise in job listings at the beginning of 2024, marking a potential market turnaround.
- Despite a 38% drop in financial services jobs in 2023, the start of 2024 sees a 7% increase in new roles compared to late 2023.
- An increase in job applications is observed alongside employers raising pay to attract talent in a skill-short market.
- APSCo highlights recent regulatory challenges but expresses optimism for the financial services sector’s near future.
The financial services industry is experiencing a recruitment recovery after encountering significant challenges in 2023. According to data from the Association of Professional Staffing Companies (APSCo), compiled by Broadbean Technology, the sector has shown promising signs of improvement as 2024 unfolds. The report outlines how financial services recruitment suffered a considerable 38% decline over 2023, predominantly dragging in the latter part of the year due to substantial regulatory challenges.
The beginning of 2024 points to a potential turning point with noteworthy growth in job listings. Specifically, January saw a 7% increase in the number of new roles when compared to November 2023. This upward trend suggests a rejuvenation in recruitment activity as firms navigate and adapt to the regulatory landscape that hampered hiring efforts in the previous year.
Simultaneously, there has been an observable rise in job applications, indicating a growing interest among job seekers in the sector. Employers appear to be responding to the skill shortages by offering higher compensation to attract qualified candidates. This strategic shift in salary offerings aims to fill vacancies and address the talent deficit that has challenged the financial services industry.
Ann Swain, Global CEO of APSCo, remarked on the sector’s recent history, noting that “the financial services sector has faced some notable challenges over the past 12 months with major regulatory overhauls impacting many organizations’ hiring activities.” Her statement underscores the widespread effects these changes have had on both permanent and contract job numbers, which saw declines during the latter half of 2023.
Despite these obstacles, Swain conveys a sense of optimism for the sector’s trajectory as 2024 progresses. The initial months of the year present an encouraging scenario, and industry observers are keen to see how the employment market evolves in the coming months.
The financial services employment landscape shows encouraging signs of recovery as organizations adapt to previous regulatory challenges.
