SFE COMMENT ON JOSLIN ROWE RECRUITMENT REVIEW 2010
January 29, 2010
SFE supported the 2010 Joslin Rowe recruitment review of Scottish financial services. published in January 2010.
Owen Kelly, chief executive of Scottish Financial Enterprise, said:
‘The 2009 Review is an important snapshot of recruitment and employment activity in Scotland. On first reading, it may seem contradictory to find that 43% of all respondents made redundancies last year, yet 52% are expecting to increase their headcount in 2010.
‘Likewise, it may look puzzling to see that despite the job losses and the recession, the Review reported increasing numbers of respondents having difficulty in attracting staff - up from 25% in 2008 to 35% in 2009.
‘And the overall optimism for the future might raise eyebrows.
‘But, given that the data reflects a period of particular flux, for me it rings true. Looking for the impact of the crisis in Scotland, the focus was overwhelmingly on RBS and LBG. They had a tough year, but they continued to re-structure, and in some cases (such as the decision of LBG to make Scotland its centre of excellence in asset management), even enhanced parts of their Scottish operation.
‘The real impact was felt more broadly, through a reduction in business turnover for many smaller professional and business services companies. That makes it difficult to get an accurate picture of job losses and gains, but it makes sense of the findings, and the fluctuation.
‘The positive message of optimism for the future is obviously good to see. Yes, some of our largest companies are still working through a very difficult period, but they are more stable than they were this time last year, and they have strong leadership. Our industry also includes many other long-established companies (some well-known, some not) who have quietly got on with business, and done so successfully. Fund managers stand out as having continued to hire staff in 2009, for example.
‘And there is another element that may be contributing to business optimism, which is the new companies who are appearing in the UK's, and in Scotland's, financial services world. Tesco Bank, for one, stands out as a confident, ambitious operation with a strong commitment to the skilled Scottish workforce. In 2009 they announced 200 new jobs at their new Edinburgh HQ, and a further 800 jobs in Glasgow. As I write, there is plenty of speculation in the media about other new entrants to the UK market, with Virgin increasing its commitment to Scotland, and a pretty safe bet for future growth.'
The full document can be accessed here.
