Employment Trends Survey - Accountancy, Finance and Banking sector

Pay rises, Brexit negotiations, GDPR, skills shortages, the problems of (almost) a full employment economy and increasing numbers of returning Irish are spotlighted in the 2018 Abrivia Recruitment/TCD Salary, Employment and Economic Trends Survey.

Undertaken in partnership with Trinity Business School at Trinity College Dublin, over 7,400 clients and 45,000 employees from multiple industry sectors were contacted and the data was compiled from the responses received.

Survey analysis and economic commentary were provided by Dr Brian Lucey, professor of finance, Dr Charles Larkin, assistant professor and research fellow and Dr Na Fu, associate professor in human resource management, Trinity Business School.

Donal O’Brien, managing director, Abrivia Recruitment, said, “85% of employers surveyed plan to take on new staff in 2018 with salaries in IT and Finance pulling far ahead of other sectors. In line with the general trend of staff shortages in key areas, 64% of employers have employed a non-Irish applicant based outside Ireland in the past 12 months, up from 58% in the previous survey.

84% of employers expect salaries to increase in 2018 but at a more modest rate than last year, less than 3%. This contrasts with employee expectations, 73% of whom are expecting a salary increase this year and well over one third of those (37%) are looking forward to a pay increase of between 5 and 10%,” Donal continued.

Another key finding is that despite the housing and rental crisis, the emotional pull of home and family is proving too strong. Irish professionals are returning in greater numbers, with well over half of companies surveyed (56%) reporting they had hired returning Irish nationals in 2017, up from 47% in 2016.

Professor Brian Lucey commented, “In economic terms 2018 is going to be a very interesting year for Ireland. We will finally see the extent to which the United Kingdom is willing to concede the existence of reality, negotiated seriously around an exit agreement from the European Union that preserves economic common sense. This will not be possible of course until the Tory Party Civil War finishes and as it has lasted for at least 40 years, we shouldn’t hold our breath. Without a shadow of a doubt Brexit remains the largest single cloud on the economic horizon. To ignore its reality, as many companies have been prone to do, is simply not an option.

For the full survey download, with detailed commentary and salary breakdown by role and sector, go to www.abrivia.ie.

SURVEY HIGHLIGHTS

Accountancy, Finance & Banking Employers

  • Irish professionals are returning in greater numbers, with 71% of employers in the Finance and Banking sector reporting they had hired returning Irish nationals in 2017, the highest of all the categories surveyed.
  • Almost all increased salaries in 2017 and they anticipate the same in 2018, with between 3-5% the norm.
  • 85% planned to pay bonuses in 2018.
  • The shortage of rental accommodation continues to bite, with 60% of employers in these sectors saying that it was affecting their ability to hire staff.
  • 56% said that increasing rents was going to lose them staff.
  • 79% of employers in these sectors increased headcount in 2017, among the highest in all the categories.
  • 90% plan to take on new hires in 2018, in line with last year.
  • Those in the accounting sector were far more likely to provide pensions for a group of employees.
  • 60% of employers in these sectors were willing to provide visa sponsorship to fill roles.
  • In line with the general trend of staff shortages in key areas, 74% of employers have employed a non-Irish applicant based outside Ireland in the past 12 months.
  • About half said that salary expectations were lower among candidates who needed a visa in these sectors.
  • 52% of employers said that the marginal tax rate was making it difficult to attract overseas staff.
  • One third of firms in these sectors said they would be willing to participate in a pension enrolment scheme.

Accountancy, Finance & Banking Employees

  • Salaries in Banking & Finance and ICT pull far ahead of other sectors.
  • 2% of respondents were earning over €100,000 per annum and well over one-third of those were in the ICT sector (37%), followed by Finance & Banking (14%) and Accounting (12%)
  • Career advancement followed by higher pay were the main reasons for their last job move, followed by more interesting work and work-life balance. Almost 16% said they moved to escape an incompetent or negative boss.
  • When asked about what would have a major impact on their decision to accept a job offer, aside from salary, location followed by interesting and meaningful work were rated higher than other financial benefits like sick pay, healthcare and maternity benefit.
  • Almost 25% said that a reputation for diversity would have a major impact on their decision to accept a job offer
  • One quarter of employers in these sectors said they’d be willing to accept a 5% pay cut to work outside Dublin and 19% were willing to go take up to a 10% cut but 16% said they wouldn’t consider a move outside Dublin.
  • Almost 40% of those working outside Dublin said they would need a salary increase of over 20% to move to Dublin
  • 45% are planning to change job in 2018
  • 66% of employees surveyed said that free third level college fees should continue and just over 10% are in favour of a graduate tax.
  • 74% expect a salary increase in 2018 and 37% of those are looking forward to a pay increase of between 5 and 10%, in contrast to what employers are expecting to pay.
  • 82% seek out reviews from reputable sources before going for interview. 81% said a negative review would influence their decision to even accept an interview request.
  • Glassdoor is the no. 1 source for reviews, according to 53% of respondents in these sectors and was especially popular for banking and finance employees, followed by Irishjobs.ie and Indeed.
  • On average, 66% of respondents in these sectors said they had a private pension and it was noticeably higher amongst banking and finance.
  • 55% of respondents believe in pension auto-enrolment, in line with schemes in other small open economies like New Zealand.
  • When asked what kept them in Ireland, career advancement opportunities was the number one reason, followed by salary prospects and then friends and family.

Article Published: 16/01/2018