Workout specialists are now receiving pay rises of up to 20%
Three years' ago, if you were a corporate banker forced into a property loan workout role just to remain in employment you'd have probably considered yourself a little hard done by. Now, as a seasoned professional in this niche yet in demand area, you're likely to be the subject of a bidding war.
Pay is on the up for workout specialists; usually former corporate bankers seconded away from developing new business into a role trying to restructure or maximise returns from underwater property loans. In the last quarter alone, salaries have increased by 10-20%, according to research from Robert Walters.
This is down to the rather simple dynamics of supply and demand. Most of the domestic banks are recruiting - particularly AIB, but also Anglo Irish Bank and Bank of Ireland as well as consultancies like Certus, which took on Bank of Scotland (Ireland)'s liabilities - but in the majority of cases they're fishing from one another.
"There's a distinct lack of candidates in this area," says Alan Bluett, director of recruiters The Panel. "Before 2008, Ireland's financial sector was on an upward trajectory, meaning few people have experience working on what are essentially negative projects. People moved across to these roles three years ago - at Ulster Bank and Anglo - and now these are among the most skilled and experience people in this area."
Evidence of poaching in the sector emerged last month when AIB was allegedly offering 30% pay rises to lure 20 managers working at Anglo across.
These roles do not pay astronomical sums, but salaries are increasing. At the junior end, you can expect around €40k, and this rises to €75-80k at the mid-level and €90-100k at the senior end.
To some extent, this helps explain the merry-go-round - if you're seeing a 20% uplift on a relatively modest salary, such an offer is too tempting to refuse. There's also the fact that the pipeline of work, while substantial, is ultimately finite, so a mercenary attitude to pay also makes sense.
