1.8 people for every new job

15 October 2008

1 minute read

September's figures from recruitment firm Morgan McKinley underscore the fact that it's not particularly easy to walk into a new job in the City right now. According to the company's estimates, there are now nearly two people for every new vacancy.

Lehman ex-employees have contributed to this sorry situation. Morgan McKinley estimates that the number of financial services professionals on the market rose 42% to 10,050 in September. Exits from HSBC and UBS may soon make themselves felt, too.

Meanwhile, jobs were down 14% month on month and 42% year on year.

All these jobseekers are starting to take their toll on pay. Morgan McKinley doesn't capture bonuses, but it estimates that the average salary declined 3% between August 2007 and August 2008, to 49.9k.

Surprisingly, it is still possible to move jobs and earn more money. Between July and September, people apparently earned 18% more in their new jobs than they did in their previous ones.

AUTHORSarah Butcher

Global Editor

He
Headhunter
16 October 2008
The statistics are complete nonsense. Revenue generating jobs in the the City have always been ultra-competitive with far too many applicants chasing far too few jobs, even in the good years. With the Lehman bodycount and the current state of the market ----- there are a lot more than 1.8 people for every new job. Trust me.
Reply
He
Henry
16 October 2008
Have worked at two banks. Thankyou for a 2 year guarantee whilst everyone else gets lower bonuses than last year :-)
Yes you're right, there are far too many people in FX - exactly my point.
Reply
BC
BC
16 October 2008
Henry - you've only worked at one bank, you don't know anything. There are plenty upon plenty of people doing FX
Reply
He
Henry
16 October 2008
Again, this is only good news. Higher competition levels means that only the very best quality people will get jobs. Unfortunately at certain banks not enough's being done to push out the deadweights, but eventually it'll happen and the reformed banking industry will be fresh and cleansed of inferiority!
Reply
Wa
Wall Street trader
16 October 2008
honestly, you are telling me there are less that 2 professional looking for a job for every opportunity available in london? Are we including McDonald's jobs as well? If not, i really can't see where the 5000+ jobs are (10,000 applicants divided by 2)... I'm confused...
Reply