Morgan McKinley London Employment Monitor - July 09

“Monitoring the pulse of the City jobs market”

New City job numbers retain some momentum despite start of summer season

Highlights

• During July 09, the number of new job opportunities within London’s financial services sector decreased 7% versus the previous month (June 09).
• Despite the dip, this number was still the second highest recorded this year 
• The annual month on month comparison in new job numbers registered a 59% decrease versus a year ago (July 08
• There was a 9% rise in the number of individuals who began their search for a new role during July 09 compared with June 09
• This number was 9% down on the same month the previous year (July 08)
• The average City salary was £53,223, registering a 6% increase on June 09 but a 1% decrease versus a year ago (July 08)

Job volumes in the City affected by seasonal factors rather than further weakening in hiring market

The number of new job vacancies in London’s financial services sector fell 7% in July 09 versus the previous month (June 09). Despite the fall, the July 09 figure was still the second highest number of new jobs recorded in any one month this year, second only to June 09 levels. As confidence in the City continues to gradually improve, it is suggested that the decrease is due to seasonal factors rather than a weakening jobs market. In contrast, the annual picture demonstrates how suppressed the market remains, registering a drop of 59%in new job volumes in July 09 versus July 08.

The number of financial services professionals who began their search for a new role in July 09 increased by 9% compared to the previous month (June 09). Improving market sentiment prompted more individuals to investigate what opportunities are available in the market and this helped drive the uplift in July’s candidate numbers. This number was still down 9% compared with a year ago (July 08).
 
Andrew Evans, Managing Director of Morgan McKinley’s financial services division comments:

“As expected, the levels of hiring in London’s financial services industry slowed as we moved into the first month of the summer holiday season. Given the delicate state of the jobs market, it was encouraging to see that despite the decrease from the previous month, July still recorded the second highest number of new jobs in any one month so far this year.  With employers’ increasing commitment to hire and a gradual improvement in City confidence levels, the month on month drop is more likely to be the result of seasonal factors rather than a further weakening in the jobs market. While recruitment continues to be at very suppressed levels compared to 2008, hiring is occurring across most areas within the City’s financial services industry, particularly at the manager level and above.

“In terms of those looking for a new job, there was an encouraging uplift in the numbers in July 09 as the improved market sentiment seemed to filter through to the talent pool. Buoyed by the early signs of confidence returning to the industry and in turn the jobs market, anecdotally more individuals in employment have started to tentatively look at what new opportunities are out there. It’s still very early days in terms of whether some level of stability is returning to the recruitment market and, while there has been some improvement, visibility remains very poor.”

Average City salary

The average City salary registered £53,223 in July 09. This was similar to a year ago (July 08), dipping 1% but increasing 6% versus the previous month (June 09).

Andrew Evans, Managing Director of Morgan McKinley’s financial services division comments:

“With slightly more competition between employers to secure the very best talent, the average City salary crept up last month. Hiring managers are looking for candidates who have multiple skill sets and who are the star performers in their field and they are offering these individuals competitive salaries to secure them.”

Chart 1: New candidates v. new jobs

 

 

London Employment monitor July 09

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Chart 2: Average City salary

 

 

 

 

-ENDS

-Note to editors:

Further press information:

Allira Carroll                                            Elizabeth Faulkner   
Tel: +44 (0)20 7438 3143                       +44 (0)20 7438 3155
Email: acarroll@morganmckinley.com    efaulkner@morganmckinley.com

Alternatively, please contact the Press Office on +44 (0)20 7438 3150.

 

Statistical methodology
Salaries
Annual salaries are based on confirmed placements by Morgan McKinley in a particular month. Salaries are segregated into three pay groups:
• Support and administration: Secretaries, receptionists, statistical assistants, administrative clerks, settlement clerks, fund administration, trade support, graduates, client services (salaries ranging from £20,000-£34,000)
• Middle market professionals: HR officers, junior analysts, project managers, financial controllers, product controllers, portfolio analysts, business analysts (salaries ranging from £35,000-£60,000)
• Directors and senior professionals: Corporate finance, bankers, fund managers, senior analysts (salaries ranging from £61,000+)

Monthly new jobs and new candidates
These are based on Morgan McKinley’s own weekly records of new permanent job vacancies and new candidates registering with the firm for permanent employment. Statistics for the full market are derived using Morgan McKinley’s market share.

About Morgan McKinley
Morgan McKinley is a global professional recruitment consultancy connecting specialist talent with leading employers across multiple industries and disciplines.

With 24 offices across the UK, Europe, the Middle East and Asia-Pacific, its professional recruitment expertise spans across Banking & Financial Services, Commerce & Industry, Public Practice, Public Sector & Not For Profit and Taxation. Morgan McKinley is a preferred supplier to many of the major employers in its specialist sectors, as well as thousands of smaller local employers.

Morgan McKinley is a fully owned subsidiary of Premier Group.