A Q&A on the state of Russian financial services recruitment with Nick Rees, country director for Huxley Associates and SThree

At the end of the first quarter, what's really happening to financial services hiring in Moscow in 2012? We asked Nick Rees, country director for recruitment firm Huxley Associates and SThree. This is what he told us.

1. At the end of Q1, what's the state of Russian financial services hiring? Hot? Cold? Warm?!

I would say that it depends whether you're sitting in the sun or not! Most of the international houses are being ultra-cautious at the moment, which is more due to their global situation and less to due with the local markets. Russian banks are still hiring and some are even aggressively hiring, but the standards required now are a lot higher as more and more good people become available.

2. Which banks do you expect to be the main hirers in Moscow this year?

Certainly the larger Russian banks like VTB, Renaissance Capital and Sberbank will flex their muscles, but we don't expect huge things from the internationals quite yet. We expect the global banks to use this period to clear out the bottom 10%-20% of performers.  Replacements will only be hired when the market shows stronger signs of recovery abroad.

The international banks which have approached us since we started up in Moscow in late 2011 are all asking us to prepare market maps now for very specific searches to begin late Q2 and/or Q3 this year. Main areas of interest are risk, compliance and equity derivatives.

3. Which three skills are most in demand in 2012?

Good sales people are always going to be in demand. There is a growing need for risk and compliance stars as banks try to plug gaps previously and famously exposed over the past few years. Also, 2012 might be the year we see a banking technology boom as more investment is made into back office and support functions, both with local and global houses.

4. Which kinds of candidates are you finding it hardest to place right now?

Job-hoppers are now becoming tough to place into decent banks, as are those whose education doesn't quite match the client's expectations.

Historically, moving around has been a common phenomenon in the Russian market, but firms are now trying to identify the more loyal candidates in the pool. Employers also care about the quality of a candidate's CV, even at the highest level. It's amazing how bad some CVs are and I do believe many of our placements would never have happened if we hadn't first advised the candidate how to re-write his or her CV.

5. How easy it is for Russian candidates who've spent time working overseas to return and find jobs in Moscow?

I wouldn't say any job is easy to find at the moment but there's definitely still an appetite for hungry, ambitious and talented professionals who have achieved something abroad, as opposed to those who've worked abroad but haven't excelled in anything they've done.

There is a lot of interest from Russians abroad, but they will find that they don't have many options unless they can offer something that a local competitor cannot.

6. What advice would you offer returnee Russians seeking jobs in Moscow?

Get the right advice. Moving for the sake of it is a thing of the past, so make sure you understand the best options. Choose a stable house with a record for investing in its employees. Draw up a CV that reflects your achievements and doesn't just list your employers. Foreign houses look for, and expect, applicants to sell themselves more than Russians are used to doing. If you speak to a headhunter, ask them what they know about your market - if they can't tell you in-depth about your specialised area, find someone who can.

7. Do you expect Russian banks to defer a large proportion of bonuses this year? Or will most be paid in cash?

It will vary, depending on the bank. From what I've seen over the past few months, I don't think it's an issue of whether it's deferring bonuses or cash - it's more likely a case of what percentage would be in cash and how big the bonuses will be. There will still be a lot of cash paid in bonuses by Russian banks this year to the key and most valuable employees. A second and third tier of bankers will see bonuses deferred or even dramatically cut, as the risk of losing their services is lower, and in some cases is intended.