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Marks Sattin, one of the oldest recruitment consultancies in the Commerce sector provides valuable and authentic insights into the latest developments and trends within the industry.
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Market Insight 2013Commerce & Industry
Accountancy, Finance & Advisory
Marks Sattin is a leading multi-divisional specialist accountancy, finance and advisory recruitment consultancy. Since our formation in 1988, Marks Sattin has established an excellent reputation for providing the full range of permanent, temporary, contract and interim professionals within the public and not-for-profit sector, commerce and industry, banking and finance and public practice.
Marks Sattin is a well-established specialist recruitment firm with over 100 recruitment consultants based in the UK and Ireland, and a further 60 consultants across our global offices.
To give an outline on the scope and size of our operations:• In 2012 we helped our clients fill more than 650 temporary placements and 850 permanent
positions • We currently work with 75 of the FTSE 100 companies• At any one time we represent over 65,000 finance, accounting and advisory professionals
throughout the UK and Ireland• We currently average over 24,000 visits to the Marks Sattin website every month• Marks Sattin are proud to work with a number of The Sunday Times Fast Track 100 and
Best Companies to Work For.
In Q4 of 2012 Marks Sattin conducted a survey with clients and candidates, focused on the demographics, length of tenure, working week, job security, career motivations, department changes, reward and bonus trends of finance professionals.
Over 2,000 accountancy, finance and advisory professionals from 20 industry sectors across the UK were surveyed.
The report is based on findings received from respondents completing the survey as well as sector specific market insight and salary ranges (annual and day rates) from our experienced consultants based at Marks Sattin’s UK offices.
Market insight and salary range data tables are provided across the following sectors and regions:
Banking and Capital Markets, Change Management, Front Office, Insurance, Investment Management, Senior Finance, Commerce and Industry, Executive, Part Qualified and Transactional, Qualified, Advisory, Audit, Management Consultancy, Taxation, North West, Thames Valley and Yorkshire.
It is important to note that this report is a useful guide, but if you need any tailored or specific advice please do contact us directly.
METHODOLOGY
CONTACT US
LONDON322 High Holborn, London, WC1V 7PB +44 20 7321 [email protected]
THAMES VALLEYDavidson House, Forbury Square, Reading, Berkshire RG1 3EU+44 118 900 [email protected]
NORTH WEST3rd Floor, Centurion House,129 Deansgate, Manchester, M2 3WR+44 161 638 [email protected]
YORKSHIREPark Row House, 19-20 Park Row, Leeds, LS1 5JF+44 113 242 [email protected]
markssattin.co.uk Marks Sattin @MarksSattin
INTRODUCTION
INTRODUCTION
Dave Way
Dave Way, Managing Director of Marks Sattin, believes in leading by example and is committed to making Marks Sattin the best financial recruitment company in the market. Having joined Marks Sattin as a graduate in 1999, Dave has worked at every level and division within the business, which gives him a deep understanding of the workings of financial recruitment. As such, he has considerable expertise in providing a bespoke service for clients and candidates alike.
[email protected] +44 20 7747 9670
DAVE WAYManaging Director
2012 proved to be a year of continued upheaval for the business community, with the eurozone crisis dragging on and the double dip recession increasing uncertainty across the markets. Despite this, the accounting and advisory community didn’t su§er in the way we’d seen in the previous downturns, with job cuts and redundancies far less frequent. However, cost management was still the order of the day, with capital expenditure, new investment and increased headcount being something of a rarity.
Some businesses, industries and geographies will always buck the trend, and there was a resurgence seen throughout the qualified commerce and industry sector in later 2012. Areas such as natural resources, digital media, advertising, online retail and property were all more bullish thanks to improved trading. Conversely, high street retailers and areas such as manufacturing su§ered significantly.
Recruitment within consultancy and public practice quietened after a busy 2011, as our clients took a cautious approach to recessionary markets. Financial services and in particular, the banking community, once more came under fire. But despite this, recruitment conditions for accountants in financial services improved as the year went on, with departments increasingly finding themselves under-resourced amid heavy regulation and change. We hope you find the results of our survey as interesting as we have. Please feel free to contact me or any of the Marks Sattin team directly to find out further details. From all the team we wish you a successful year!
In Marks Sattin’s 25th year of trading, we’re delighted to have received a record number of responses to our Market Insight 2013 survey. Over 2,000 accountancy and advisory professionals provided their feedback on key areas such as salaries, bonuses and overall business confidence – as both they and their employers see it – coming into 2013.
KEY TRENDS
Employers began to be slightly more forthcoming with pay rises for accountancy and advisory sta§ last year, with 68% of employees receiving a positive review and only 1% asked to take a pay cut.
Only 30% of permanent sta§ and 20% of contract sta§ were unhappy with their current salaries, once again showing that remuneration isn’t a key driver for leaving. This is further highlighted by the fact that a 5 to 10% uplift in basic salary would be acceptable should a move come about. 56% of respondents were happy with their benefits packages, with the most important benefits being 25 days holiday, pensions and private healthcare – all of which were deemed more important than annual bonuses. The sensitive subject of bonuses was covered in depth in our survey. 47% of respondents received a bonus, 38% were not entitled to one and 15% not awarded one. These figures aren’t necessarily surprising, as bonuses are becoming increasingly tied to company performance and a high proportion of companies have failed to deliver on targets over the course of the year.
SALARIES & BENEFITS
Of those receiving bonuses, only 44% were satisfied with what they received. 1 to 9% of salary was the most consistent amount paid out across the board (received by 41%) while 32% received 10 to 19% and a lucky 27% received over 20% of their basic salaries.
The fact that 1 to 9% of basic salary was the most common bonus payout is perhaps a sign of the increasing scrutiny of bonuses by the wider business community, although the biggest bonuses were still paid within the financial services sector. Our survey showed that across the board, accountants were far better looked after than other professionals. The average salary for accountancy and advisory professionals rose in 2013, a strong indicator of the value of finance professionals during uncertain and changing times.
Only 30% of permanent sta§ and 20%
of contract sta§ were unhappy with their current salaries
56%of respondents were happy with their
benefits
68%of respondents
received a pay increase
last year
44%of respondents were satisfied with their
bonus
56%of respondents were happy with their
benefits
68%of respondents
received a pay increase
last year
44%of respondents were satisfied with their
bonus
56%of respondents were happy with their
benefits
68%of respondents
received a pay increase
last year
44%of respondents were satisfied with their
bonus
Our survey showed that across the board, accountants were far
better looked after than other professionals
JOB SECURITY
INTRODUCTION Dave Way
Similarly to our other surveys over the past five years, the crystal ball for 2013 does not show a picture of renewed optimism, with only 20% of respondents feeling more confident about the economic prospects facing their companies compared to the last 12 months. 36% of our respondents anticipated changing roles over the next year, compared to 52% the previous year. Despite this, only 44% stated that they are currently happy within their role, perhaps showing a greater tolerance due to the current climate. Aligned with this is the clear fact that accountants find themselves far more secure in their positions than in previous years, with an overwhelming 78% feeling secure compared to 70% last year. This is clearly an encouraging statistic compared to previous surveys, where respondents expected headcount cuts as a result of the economic downturn and uncertainty. Business process/policy changes (41%) salary freezes (36%) and budget cuts (35%) are predicted for this year, showing that belt tightening and cost control are still the order of the day. Businesses are striving to ensure they maximise profits, but not to the extent of losing finance staff.
Few businesses are perceived to be taking a long term view on headcount, which is hardly surprising considering the yo-yo economy and false dawns seen over the past few years. Only 18% of respondents believed their management were planning one to two years ahead, whilst the majority (31%) thought that hiring was short term and only looking six months ahead. This lack of succession planning, which ties in with the reactive hiring we’ve experienced throughout 2012, will surely be to the detriment of some departments if not rectified in 2013. 33% of respondents actually saw an increase in the size of their teams over the past 12 months. Many businesses have clearly been as lean as possible in terms of headcount over the past few years, and whether this will come back to bite them is yet to be seen. 34% of our participants said their working hours increased over the past 12 months, with over half putting this down to an increase in responsibilities. This might suggest that a greater degree of variety and progression is coming into working life, as bosses are reluctant to add new heads or contractors to cover gaps in their departments.
78%of respondents feel secure in their
current role
70%of respondents felt secure in their
current role
2013
2012
78%of respondents feel secure in their
current role
70%of respondents felt secure in their
current role
2013
2012
33% of respondents actually saw an increase in the size of their teams over the past 12 months
KEY TRENDS
MOVEMENT
Overall, we saw a consistent movement of accounting professionals throughout 2012, with many now feeling it’s an opportune time to re-enter the job market after staying put during the worst of the global financial crisis. This is shown by the fact that 41% of our respondents were only in their first year of employment in early 2013. In line with this, the majority of hires in 2012 were replacement hires. As a result, the volume of counter-o§ers increased significantly across the board, as employers reacted to valued team members being o§ered higher salaries and rates elsewhere in the market. In 2013, this reactive element has subsided somewhat. Salaries are increasing organically, acknowledging the opportunity cost of losing the best sta§ to competition.
The motivations for moving on to greener pastures continue to be an interesting topic for our business. Throughout the downturn, we’ve seen that accountants seldom move for cash, although money does remain part of the decision to move (and very rarely do candidates ever move for less!)
The greatest drivers for moving continue to be career development, which top scored with 33%, with new challenge/interesting work in second. Higher salary was cited by just 26%, showing that our respondents on the whole put their careers before cold cash.
Recruiters continued to be the top source of finding roles (46%) with 13% coming from personal contacts. This shows the ever increasing importance of expanding your business network and keeping in good favour with previous employers. Where networking is concerned, 66% of respondents are now on LinkedIn and 59% on Facebook. Whilst neither will cover all of the bases in any given job search, this shows how much social media plays a prominent part in our respondents’ lives. 88% of respondents state that working with a recruitment agency is still a vital part of any new job search. Also of note is that 38% of candidates took only three months to find their last role, primarily as a result of the volume of roles available and being able to dedicate enough time to the job search.
RELOCATION
Never more so has relocation been a hot topic within the finance community. As a result, our non-London businesses have continued to o§er great opportunities to their local markets, benefiting from a sizable relocation of resources and highly talented candidates from the South East to the West, North East, North West and Ireland. International opportunities are also becoming more appealing, with candidates’ top motivation being a better quality of life and the second being a desire to experience a new culture. Interestingly, and despite the lucrative options being advertised overseas, only 48% said that money would be the main reason for moving, which was the fourth most important reason.
The USA was the most popular destination for a new working life (chosen by 42%) maybe as a result of its resurgent markets coming into 2013. The golden beaches of Australia appealed to 33% of our respondents, followed by the well-documented and high profile allure of Asia, with Singapore at 33% and Hong Kong at 32%.
But with talk of bonuses being capped, corporate and personal taxes being too high and our climate being as unpredictable as our economy, is now the time to spread our wings? Not according to the 29% of our respondents who wouldn’t relocate, primarily because of having settled where they are.
42%of respondents
would relocate to the USA
41%of respondents
were only in their first year of employment
88% of respondents state that working with a recruitment agency is still a vital part of any new job search.
DemographicsKEY FINDINGS
67%
33%
67% of respondents were male and 33% female
Less than 25 years 7%
26 to 30 years 23%
31 to 35 years 21%
36 to 40 years 15%
41 to 50 years 22%
More than 50 years 12%
Age
<25years
26-30 31-35 36-40 41-49 >50
RESPONDENT PROFILE
2,016
respondents took part in this year’s survey
Greater London
64%
59%South East12%
11%
North West
7%
4%
Yorkshire & Humberside
5%12% Other9%
11%
Midlands3%
3%
KEYPermanent
Contract
Work location
Gender
LinkedIn 66%
Facebook 59%
Twitter 17%
Other 7%
None 15%
Respondents could choose more than one answer
Social networks actively used by respondents
UK
CURRENT EMPLOYMENT
2-5years
6-10years
10+years
10+ 10+ years’ PQE 36%
2-5years
6-10years
10+years
10+
5 to 10 years’ PQE 18%
2-5years
6-10years
10+years
10+
2 to 5 years’ PQE 21%2-5
years
6-10years
10+years
10+
Newly qualified 9% 2-5years
6-10years
10+years
10+
Part qualified 11%
2-5years
6-10years
10+years
10+
Qualified by experience or not qualified 5%
Permanent or fixed term contract 78%
Interim or contractor 20%
Unemployed 2%
Which of the following best describes your qualification status?
How are you currently employed?
2-5years
6-10years
10+years
10+
Only 2%of respondents are unemployed
44% of respondents are satisfied in their current role
Satisfaction with current role
Permanent
Satisfied 44%
Permanent
Neither satisfied nor dissatisfied 26%
Permanent
Dissatisfied 30%
73%
73% of respondents would recommend their employer
Other
6%Public
Practice
10%
Aud
it an
d A
ssur
ance
Cor
pora
te F
inan
ce
Taxa
tion
Oth
er
Management Consultancy
11%
Unemployed
2%
Cap
ital M
arke
ts
Cha
nge
Man
agem
ent
Insu
ranc
e
Inve
stm
ent B
anki
ng
Inve
stm
ent M
anag
emen
t
Ret
ail B
anki
ng
Oth
er
Banking & Financial
Services
28%
Adv
ertis
ing,
PR
, Med
ia a
nd P
ublis
hing
Bus
ines
s S
ervi
ces
Ene
rgy
and
Nat
ural
Res
ourc
es
Eng
inee
ring
and
Man
ufac
turin
g
FMC
G a
nd P
harm
aceu
tical
s
Pro
pert
y an
d C
onst
ruct
ion
Ret
ail a
nd C
loth
ing
Tele
com
s an
d Te
chno
logy
Oth
er
Commerce & Industry
43%
Which of the following best describes the area/sector you currently work in?
SECTOR REPRESENTATION
DemographicsKEY FINDINGS
UK
Other
6%Public
Practice
10%
Aud
it an
d A
ssur
ance
Cor
pora
te F
inan
ce
Taxa
tion
Oth
er
Management Consultancy
11%
Unemployed
2%
Cap
ital M
arke
ts
Cha
nge
Man
agem
ent
Insu
ranc
e
Inve
stm
ent B
anki
ng
Inve
stm
ent M
anag
emen
t
Ret
ail B
anki
ng
Oth
er
Banking & Financial
Services
28%
Adv
ertis
ing,
PR
, Med
ia a
nd P
ublis
hing
Bus
ines
s S
ervi
ces
Ene
rgy
and
Nat
ural
Res
ourc
es
Eng
inee
ring
and
Man
ufac
turin
g
FMC
G a
nd P
harm
aceu
tical
s
Pro
pert
y an
d C
onst
ruct
ion
Ret
ail a
nd C
loth
ing
Tele
com
s an
d Te
chno
logy
Oth
er
Commerce & Industry
43%
Market Perspective
Recruitment freeze 34%
Budget cuts 35%
Profitability of business 33%
Business process/policy change 41%
Salary freeze 36%
Respondents could choose more than one answer from a choice of 14
Top 5 expectations for your business in the next 12 monthsCompared with the last 12 months, how confident do you feel about the economic prospects facing your company?
More confident 20%
As confident 52%
Less confident 28%
ECONOMIC PROSPECTS
KEY FINDINGS
64%64%
Salary freeze 20%64%
Salary reduction 3%
64%
Shorter working week 2%
64%
Redundancy 1% 64%
Other 14%
Respondents could choose more than one answer
Expectations for personal salary and job security in the next 12 months
How would you rate your current job security?
Secure 78%
Insecure 22%
JOB SECURITY
Only 20%of respondents feel
more confident about the economic prospects facing
their company compared with the last 12 months
Short term (0-6 months ahead) 31%
Medium term (6-12 months ahead) 18%
Long term (1-2 years) 18%
Non-existent 10%
Not sure 23%
What is your employer’s recruitment strategy?
Remained the same
34%
How has the number of sta� in your team changed in the past 12 months?
What is the size of your department?
Remained the same
34%
Increased 33%
Remained the same
34%
Decreased 28% Remained the same
34%
Not sure 5%
1 to 5 employees 23%
6 to 10 employees 21%
11 to 15 employees 12%
16 to 20 employees 8%
More than 20 employees 36%
61%of respondents selected business growth or expansion as the main reason for an increase in sta§
of respondents selected
headcount reductions as the main reason for a decrease in sta§
HEADCOUNT
UK
33%of respondents have seen an increase in the size of their team in the last 12 months
36% of respondents have more than 20 employees in their department
EXPERIENCE
<1years
1-2 2-3 3-5 5-10 >10
Length in current roleLength of time in the accountancy, finance or advisory profession
Less than 1 year 41%
1 to 2 years 24%
2 to 3 years 15%
3 to 5 years 12%
5 to 10 years 6%
More than 10 years 2%
0 to 3 years 9%
4 to 6 years 19%
7 to 10 years 21%
11 to 15 years 18%
16 to 20 years 9%
More than 20 years 21%
Not applicable 3%
7-10years
More than 20 years
HOURS WORKEDAverage hours worked per week
How has the number of hours changed in the last 12 months?
Increased 34%
Remained the same 53%
Decreased 13%
55%of respondents chose taking on more responsibility as the main reason for an increase in working hours
41% of respondents have been in their current role for less than a year
Career InsightKEY FINDINGS
RELOCATION
42%
USA 42% Singapore 23% South Africa 10%
Australia 33% Hong Kong 22% Malaysia 9%
Mainland Europe 28% UAE 19% China 8%
Within the UK 28% New Zealand 18% India 7%
Canada 24% Ireland 12% Other 3%
Respondents could choose more than one country from a choice of 14
USA 42% Singapore 23% South Africa 10%
Australia 33% Hong Kong 22% Malaysia 9%
Mainland Europe 28% UAE 19% China 8%
Within the UK 28% New Zealand 18% India 7%
Canada 24% Ireland 12% Other 3%
Respondents could choose more than one country from a choice of 14
Improved quality of life61%
Di§erent culture 54%
New career opportunity 52%
Better employment opportunities 49%
Improved salary48%
Respondents could choose more than one reason from a choice of nine
Top 5 reasons for respondents wanting to relocate
29% of respondents would not relocate
UK
Improved quality of life is the main reason for respondents wanting to relocate
Places respondents would consider relocating to in the next 2 years
MOVING ON
Top 5 reasons for leaving last role
How do you rate the importance of the following sources when seeking a new role?
Career development33%
New challenge/more interesting work 29%
Higher salary 26%
End of contract18%
Redundancy 16%
Respondents could choose up to three reasons
36% of respondents anticipate changing roles in the next 12 months
57%
43%
19%
9%
2%
7%
29%
20%
33%
10%
36%
22%
11%
34%
33%
18%
39%
38%39%
15%
50%
3% 3%
30%
38% of respondents took up to 3 months to find their current role
57%
43%
19%
9%
2%
7%
29%
20%
33%
10%
36%
22%
11%
34%
33%
18%
39%
38%39%
15%
50%
3% 3%
30%
KEYImportance
Vital
Very important
Quite important
Not important
Source
57%
43%
19%
9%
2%
7%
29%
20%
33%
10%
36%
22%
11%
34%
33%
18%
39%
38%39%
15%
50%
3% 3%
30%
National press
57%
43%
19%
9%
2%
7%
29%
20%
33%
10%
36%
22%
11%
34%
33%
18%
39%
38%39%
15%
50%
3% 3%
30%
Online job boards/advertising
57%
43%
19%
9%
2%
7%
29%
20%
33%
10%
36%
22%
11%
34%
33%
18%
39%
38%39%
15%
50%
3% 3%
30%
Social networking
57%
43%
19%
9%
2%
7%
29%
20%
33%
10%
36%
22%
11%
34%
33%
18%
39%
38%39%
15%
50%
3% 3%
30%
Recruitment consultancies/headhunters
57%
43%
19%
9%
2%
7%
29%
20%
33%
10%
36%
22%
11%
34%
33%
18%
39%
38%39%
15%
50%
3% 3%
30%
Trade press
57%
43%
19%
9%
2%
7%
29%
20%
33%
10%
36%
22%
11%
34%
33%
18%
39%
38%39%
15%
50%
3% 3%
30%
Word of mouth/personal referrals/internal contact
How did you find your current position?
Recruitment consultancy or headhunter 47%
Online advertising 13%
Professional network or personal contact 13%
Direct approach9%
Internal promotion5%
Print advertising 2%
Other 2%
Not currently employed9%
REMUNERATION
What was the outcome of your last pay review?
Less than 6 months ago 33%
6 to 12 months ago 35%
More than 12 months ago 12%
Not applicable 20%
Pay increase 68%
Pay remained the same 31%
Asked to take a pay cut 1%
33% of respondents perceive a 5 to 10% salary increase as acceptable if they were to move roles
Salaries & BenefitsKEY FINDINGS
68% of respondents have had a pay review in the last 12 months
Permanent
Contract
Satisfaction with current remuneration
Permanent
Satisfied 44%
Permanent
Neither satisfied nor dissatisfied 26%
Permanent
Dissatisfied 30%
Permanent
Satisfied 53%
Permanent
Neither satisfied nor dissatisfied 27%
Permanent
Dissatisfied 20%
53% of contract respondents are satisfied with their current remuneration compared with 44%
of permanent respondents
When was your last pay review?
44%
Did you receive a bonus in 2012?
Yes 47%
No, not entitled to receive one 38%
No, not awarded one 15%
44% of respondents were satisfied with their bonus
BENEFITS
BONUS
Respondents rated a selection of 20 benefits in order of importance
Benefits considered most and least important when considering a new role
25 days holiday or more
Annual bonus scheme
Good company pension
Private healthcare
Sabbatical
Mortgage relief
Season ticket loan
Daily subsidised meals
Childcare vouchers
Insurance*
56%
56% of respondents were satisfied with their benefits
34%
of respondents received the same bonus in 2012 as 2011
As a percentage of your basic salary, what was your bonus in 2012?
1 to 9% of salary 41%
10 to 19% of salary 32%
20 to 29% of salary 15%
30 to 49% of salary 5%
40 to 90% of salary 4%
More than 90% of salary 3%
1-9% of salary
UK
25 days holiday or more is the most desired benefit
*PMI/death in service/life insurance
Top 5 benefits currently received
25 days holiday or more 78%
Company pension scheme 64%
Private healthcare 54%
Annual bonus scheme 48%
Insurance (PMI/death in service/life insurance) 48%
Respondents could select all benefits that applied
1-9% of salary
0
20
40
60
80
100
Banking and Financial Services Commerce and Industry Management Consultancy Public Practice
Salaries & BenefitsKEY FINDINGS
A comparison of bonuses received across sectors*
50 to 79% of salary
More than 80% of salary
30 to 39% of salary
40 to 49% of salary
KEY1 to 9% of salary
10 to 19% of salary
20 to 29% of salary
BONUS
*Bonuses received as a percentage of salary
LON
DO
NC
OM
ME
RC
E &
IND
US
TRY
Outlook for 2013Cost control will continue to be a key focus for 2013. Businesses will continue to put on hold sizable internal investments.
With challenging trading conditions set to continue, improving profit will be high on the agenda for chief financial ocers. Businesses will be looking at how to continue to cut costs, improve sales and drive eciencies – all of which lends itself to hiring commercial business partners to get under the skin of their business, and be a genuine link between finance and commercial operations.
EXECUTIVE Market Perspective
The big trends of 2012A shortage of quality candidates was one of the most significant challenges for recruiters in 2012. An uncertain economy, combined with low salary inflation, prompted many finance professionals to put their career search on hold. As a result of this candidate shortage, the ‘war for talent’ resumed with multiple o§ers per candidate and counter-o§ers becoming more common.
Budget cuts 37%
Profitability of business 45%
Job cuts 35%
Business process/policy change 61%
Salary freeze 33%
Respondents could choose more than one answer from a choice of 14
Top 5 expectations for your business in the next 12 monthsCompared with the last 12 months, how confident do you feel about the economic prospects facing your company?
More confident 29%
As confident 42%
Less confident 29%
ECONOMIC PROSPECTS
A shortage of quality candidates was one of the most significant challenges for recruiters in 2012
LON
DO
NC
OM
ME
RC
E &
IND
US
TRY
55%55%
Salary freeze 34%
55%
Redundancy 3% 55%
Salary reduction 3%
55%
Shorter working week 2%
55%
Other 8%
Respondents could choose more than one answer
Expectations for personal salary and job security in the next 12 months
How would you rate your current job security?
Secure 71%
Insecure 29%
Short term (0-6 months ahead) 46%
Medium term (6-12 months ahead) 18%
Long term (1-2 years) 5%
Non-existent 24%
Not sure 7%
What is your employer’s recruitment strategy?
Remained the same
37%
How has the number of sta� in your team changed in the past 12 months?
Remained the same
37%
Increased 36%
Remained the same
37%
Decreased 22% Remained the same
37%
Not sure 5%
63%of respondents selected business growth or expansion as the main reason for an increase in sta§
of respondents selected
headcount reductions as the main reason for a decrease in sta§
HEADCOUNT
JOB SECURITY
Reactions to uncertain market conditions We have seen a number of businesses trying to retain key sta§ by increasing bonuses, addressing issues such as work-life balance and looking to promote from within rather than externally.
LONDON
71%of respondents feel secure
in their current role
27% of respondents have between 1 and 5 employees in their team
LON
DO
NC
OM
ME
RC
E &
IND
US
TRY
Skills in demandSenior finance executives will be expected to maximize eciencies, reduce internal costs and streamline processes. Finance leaders must promote themselves as more than just ‘accountants’: MDs, VPs and CEOs increasingly require all-round strong commercial individuals with excellent people management skills. Those candidates investing time in developing these areas and improving their skills will stand out from the crowd and are more likely to secure top finance positions at leading companies.
Industry sector experience remains key for executive job seekers and recruiters alike. Finance professionals recognise that their specific sector knowledge can be as valuable to a potential employer as their commercial acumen and technical skills. Private equity and M&A markets have improved in early 2013 and are expected to ramp up consistently over the next few years. Experience within these areas will be a pre requisite should candidates wish to pursue a career in these fields. Senior executives with track records of fund/capital raising and strong contacts across the City will find themselves in high demand. There is a greater tendency for senior executives to bring resources in-house, with less outsourcing to professional providers in advisory/consultancy, legal and taxation services. Executives with experience across other disciplines will find themselves highly sought after.
EXPERIENCE
86%14%
<1years
1-2 2-3 3-5 5-10 >10
Length in current roleLength of time in the accountancy, finance or advisory profession
Less than 1 year 32%
1 to 2 years 23%
2 to 3 years 19%
3 to 5 years 16%
5 to 10 years 7%
More than 10 years 3%
0 to 10 years 0%
11 to 15 years 26%
16 to 20 years 23%
21 to 25 years 24%
More than 25 years 27%
More than 25 years
Supply and demand2012 saw high demand within the digital media, advertising, infrastructure and property sectors as markets improved compared to previous years. There was a notable uplift in the number of financial controller vacancies from the second half of 2012 through to the beginning of 2013 and we are increasingly optimistic that the more senior end of the market, at FD and CFO level, will soon follow suit.
HOURS WORKEDAverage hours worked per week
How has the number of hours changed in the last 12 months?
Increased 30%
Remained the same 61%
Decreased 9%
58%of respondents chose taking on more responsibility as the main reason for the increase in working hours
Career InsightEXECUTIVE
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MOVING ON
Taking the next step in your careerTHINK ABOUT WHAT YOU’VE ACHIEVED IN YOUR CAREER TO DATEEmployers aren’t just looking to know what you did in terms of standard responsibilities but more specifically what you achieved. It may be helpful to consider the return your last employer got from the salary they paid you.
THINK AHEADWhere do you want to be in five years’ time? You may have to move out of your comfort zone to move forward in your career. Smaller businesses tend to o§er broader roles and enhanced responsibility which can be more attractive than having a big brand on a CV.
ANALYSE THE COMPANY ACCOUNTS AND BUSINESS PLANSStand out from the crowd by doing thorough research into the business plans, company accounts and profiles of relevant directors within the organisation.
Top 5 reasons for leaving last role
New challenge/more interesting work 34%
Career development 28%
Redundancy 20%
End of contract 20%
Higher salary 17%
Respondents could choose up to three reasons
RELOCATION
45%
45%
Australia 34%
45%
Within the UK 28%
45%
Mainland Europe 24%
45%
Singapore 24%
Respondents could choose more than one country from a choice of 14
Improved quality of life 68%
Better employment opportunities 53%
Di§erent culture 53%
New career opportunities 53%
Improved salary 53%
Respondents could choose more than one reason from a choice of nine
Top 5 places respondents would consider relocating to in the next two years
Top 5 reasons for respondents wanting to relocate
39% of respondents would not relocate
36% of respondents anticipate changing roles in the next 12 months
LONDON
Why candidates are making a moveEvery year a higher salary becomes a lower motivational factor for candidates wanting to move roles. Career progression, engagement with the business and work-life balance are consistently the most important reasons for changing roles, and if businesses want to attract the best talent in the market, they need to adjust their ‘pitch’ to prospective employees and work on their employer branding to sell their organisation.
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Spotlight on salariesSalaries and bonuses will remain tight across much of senior finance, with many individuals finding that their easiest route to a pay rise is to make a move externally. Salary increases in senior finance have been moderate, between 2 and 5%. Commercial FD and senior finance business partnering roles have seen the highest increase in salary, along with top performing CFOs continuing to be rewarded with inflation-busting pay rises. Many FTSE finance directors have managed
REMUNERATIONWhen was your last pay review?
Less than 6 months ago 30%
6 to 12 months ago 39%
More than 12 months ago 13%
Not applicable 18%
73% of respondents received a salary increase in their last pay review
Permanent
Contract
Satisfaction with current remuneration
Permanent
Satisfied 53%
Permanent
Neither satisfied nor dissatisfied 28%
Permanent
Dissatisfied 19%
Permanent
Satisfied 70%
Permanent
Neither satisfied nor dissatisfied 15%
Permanent
Dissatisfied 15%
28% of respondents perceive a 5 to 10% salary increase as acceptable if they were to move roles
Salaries & BenefitsEXECUTIVE
to secure salary increases in the face of unpredictable and challenging economic conditions, along with those who have produced results in tough economic times through growing the bottom line or implementing turnarounds.
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Salary increases in senior finance have been moderate, between 2 and 5%. Commercial FD and senior finance business partnering roles have seen the highest increase in salary along with top performing CFOs continuing to be rewarded with inflation-busting pay rises
LONDON
Executive Salary range
Job title 2012 2013
Head of FP&A £80,000-£120,000 £80,000-£120,000
Group Financial Controller | SME £80,000-£140,000 £80,000-£120,000
Divisional Director £85,000-£150,000 £85,000-£150,000
Head of Group Reporting | PLC £90,000-£120,000 £85,000-£120,000
Finance Director | Private Equity Portfolio backed businesses £100,000-£160,000 £100,000-£160,000
Chief Financial O¬cer/Finance Director | SME £100,000-£180,000 £100,000-£180,000
Group Financial Controller | PLC £110,000-£180,000 £110,000-£180,000
Finance Director | PLC £160,000-£250,000 £160,000-£250,000
Chief Financial O¬cer | PLC £250,000-£400,000 £250,000-£400,000
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Attracting top talentRECOGNISE THE IMPORTANCE OF BENEFITSThere is more to securing top talent than o§ering an attractive salary. You need to appreciate the value of career development, challenges within a role and work-life balance as well as a fun and engaging culture in which to work.
REMEMBER INTERVIEWING IS A TWO-WAY PROCESSDuring the interview, it is vital organisations present themselves in a favourable light to candidates. One way to help this is to have a swift and ecient hiring process.
Salaries & Benefits
51%
Did you receive a bonus in 2012?
Yes 59%
No, not awarded one 18%
No, not entitled to receive one 23%
51% of respondents were satisfied with their bonus
BENEFITS
BONUS
Top 5 benefits currently received
25 days holiday or more 82%
Mobile phone/Blackberry/PDA 73%
Private healthcare 72%
Company pension scheme 70%
Insurance (PMI/death in service/life insurance) 61%
Respondents could select all benefits that applied
Respondents rated a selection of 20 benefits in order of importance
Benefits considered most and least important when considering a new role
25 days holiday or more
Annual bonus scheme
Good company pension scheme
Private healthcare
Leisure facilities
Season ticket loan
Sabbatical
Mortgage relief
Daily subsidised meals
Insurance*
60%
60% of respondents were satisfied with their benefits
37% of respondents
received a higher bonus in 2012
than in 2011
As a percentage of your basic salary, what was your bonus in 2012?
1 to 9% of salary 20%
10 to 19% of salary 27%
20 to 29% of salary 37%
30 to 39% of salary 8%
40 to 59% of salary 6%
60 to 100% of salary 0%
More than 100% of salary 2%
20 - 29% of salary
*PMI/death in service/life insurance
You need to appreciate the value of career development, challenges within a role and work-life balance as well as a fun and engaging culture in which to work
EXECUTIVE
Manager
Carmine Scalzo
COMMERCE & INDUSTRY
Part Qualified & Transactional Accounting
+44 20 7321 [email protected]
LONDON
Senior Manager
Warren Hilton
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Outlook for 2013Savvy businesses have realised that to attract and retain the best talent they need to o§er more than just a salary, and as such there will be a continued focus on employers o§ering attractive packages that allow room for development and opportunity, leaving salaries to remain largely flat.
Potential for career development remains the single biggest reason why a part qualified accountant will move jobs, but support through their studies, as well as time o§ for revision and exams, is also important.
The opportunity for a candidate to develop their skills and take study leave represents a comparatively low cost for employers, and will benefit them greatly as the employee continues to add value to the business.
PART QUALIFIED & TRANSACTIONAL Market Perspective
The big trends of 2012There has been an increased demand for part qualified accountants for roles between £30,000 and £35,000, with 35% of jobs filled in 2012 being within this range compared to 21% in 2011. The majority of these roles were management accountant and finance analyst positions.
As retention of part qualified accountants continued to improve through better training and development programmes, those who entered the job market in 2012 were typically presented with a number of attractive opportunities and in turn, some found themselves choosing between multiple job o§ers.
Competition for high calibre candidates remained high throughout 2012 and demand increased as the year progressed, with 59% of vacancies requiring accountants registered in the second half of the year.
As the market became more competitive, employers who were focused on attracting the best talent became more flexible and open to considering di§erent candidate profiles. Instead of choosing someone based solely on the basis of their sector, software or company background, they focused on candidates’ technical skills and experience and in the absence of that, their aptitude and ability to pick up responsibilities quickly.
Budget cuts 32%
Profitability of business 38%
Job cuts 28%
Business process/policy change 56%
Salary freeze 32%
Respondents could choose more than one answer from a choice of 14
Top 5 expectations for your business in the next 12 monthsCompared with the last 12 months, how confident do you feel about the economic prospects facing your company?
More confident 18%
As confident 57%
Less confident 25%
ECONOMIC PROSPECTS
Potential for career development remains the single biggest reason why a part qualified accountant will move jobs
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69%69%
Salary freeze 19%
69%
Redundancy 10% 69%
Salary reduction 3%
69%
Shorter working week 2%
69%
Other 9%
Respondents could choose more than one answer
Expectations for personal salary and job security in the next 12 months
How would you rate your current job security?
Secure 72%
Insecure 28%
Short term (0-6 months ahead) 25%
Medium term (6-12 months ahead) 15%
Long term (1-2 years) 23%
Non-existent 6%
Not sure 31%
What is your employer’s recruitment strategy?
Remained the same
38%
How has the number of sta� in your team changed in the past 12 months?
Remained the same
38%
Increased 30%
Remained the same
38%
Decreased 25% Remained the same
38%
Not sure 7%
77%of respondents selected business growth or expansion as the main reason for an increase in sta§
of respondents selected
headcount reductions as the main reason for a decrease in sta§
HEADCOUNT
JOB SECURITYReactions to uncertain market conditions Confidence in the market has continued to ebb and flow, which has invariably led some businesses to delay their recruitment plans, whether they are replacing sta§ or adding heads. That said, more employers have decided the necessity to recruit outweighs the need for caution and so have moved forward with their hiring plans.
Hires seem to be less speculative, and are instead more specific in terms of the roles and candidates needed to fill them. This is especially true in the temporary market where recruitment of part qualified and transactional accountants has typically occurred when covering specific needs, such as maternity leave, sickness cover, project work etc.
One of the positive e§ects of recent market conditions for part qualified accountants has been the opportunity to take on more responsibility. Redundancies coupled with lower stang budgets have allowed part qualified accountants to get involved in more complex finance tasks, particularly around month end, budgeting and forecasting as well as year-end and statutory work.
LONDON
28% of respondents have between 1 and 5 employees in their team
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Skills in demandGood part qualified accountants with relevant experience remain in demand and will continue to be throughout 2013. For these candidates a good balance between stage of study and experience is still crucial, and means they will always have opportunities available to them.
Demand for temporary professionals has remained constant, particularly for highly skilled management accountants and analysts with a proven track record of delivering results. These contractors are rarely out of work for more than two weeks.
EXPERIENCE
61%
39%
<1years
1-2 2-3 3-5 5-10 >10
Length in current roleLength of time in the accountancy, finance or advisory profession
Less than 1 year 37%
1 to 2 years 28%
2 to 3 years 17%
3 to 5 years 10%
5 to 10 years 3%
More than 10 years 5%
0 to 3 years 16%
4 to 6 years 26%
7 to 10 years 16%
11 to 15 years 8%
16 to 20 years 3%
21 to 25 years 3%
More than 25 years 1%
4 - 6years
Supply and demandCredit control has experienced a short supply of candidates, mainly due to lower sta§ turnover and people’s hesitancy to leave their current roles. As a consequence companies needing to recruit in this area will find fewer suitable candidates available, and will be forced to o§er higher rates or salaries as a result.
HOURS WORKEDAverage hours worked per week
How has the number of hours changed in the last 12 months?
Increased 41%
Remained the same 51%
Decreased 8%
67%of respondents chose taking on more responsibility as the main reason for the increase in working hours
A good balance between stage of study and
experience is still crucial
Career InsightPART QUALIFIED & TRANSACTIONAL
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MOVING ON
Taking the next step in your careerGAIN EXPERIENCE RELEVANT TO YOUR STUDY LEVELTry not to race too far ahead in terms of experience or studies as this can be o§-putting to potential employers.
LEARN THE JOB YOU ARE PAID FOR, THEN GAIN MORE EXPERIENCEDoing your job is your main priority, but there is no harm in stretching your capabilities to make you a more attractive employee, especially at the part qualified and transactional level. Prospective employers like candidates that have gained additional skills and experience by taking on more work.
BE REALISTIC AND PLAN YOUR MOVES There is always an element of luck when taking new opportunities, but good judgement and foresight are vital when shaping your career path. As a part qualified or junior accountant you should never move simply for money. Instead move for the right role and opportunity. Short term pain could lead to greater long term financial gain and a more rewarding career.
UNDERSTAND YOUR MOTIVATIONS BEFORE TAKING YOUR NEXT STEPBefore making a career move it is important to consider your reasons for moving and your expectations for your next role. It is essential that your next job should fulfil your aspirations.
Top 5 reasons for leaving last role
Career development 35%
Higher salary 25%
New challenge/more interesting work 22%
Redundancy 14%
Better location 12%
Respondents could choose up to three reasons
RELOCATION
37%
37%
Australia 30%
37%
UAE 22%
37%
Within the UK 21%
37%
Hong Kong 21%
37%
Singapore 21%
Respondents could choose more than one country from a choice of 14
Improved quality of life 64%
Di§erent culture 54%
Improved salary 48%
New career opportunities 44%
Better employment opportunities 37%
Respondents could choose more than one reason from a choice of nine
Top 6 places respondents would consider relocating to in the next two years
Top 5 reasons for respondents wanting to relocate
27% of respondents would not relocate
37% of respondents anticipate changing roles in the next 12 months
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Spotlight on salariesYear on year salaries have largely remained flat, but wider salary brackets have not been uncommon in order to attract a greater pool of candidates. Although demand for part qualified accountants remains strong, companies are inclined to keep control of salaries within their teams.
Credit controllers with proven track records and strong experience are still in high demand, which has led to increases of 4% to 8% in salaries, as well as improved bonuses.
REMUNERATIONWhen was your last pay review?
Less than 6 months ago 36%
6 to12 months ago 30%
More than 12 months ago 18%
Not applicable 16%
69% of respondents received a salary increase in their last pay review
Permanent
Contract
Satisfaction with current remuneration
Permanent
Satisfied 30%
Permanent
Neither satisfied nor dissatisfied 32%
Permanent
Dissatisfied 38%
Permanent
Satisfied 72%
Permanent
Neither satisfied nor dissatisfied 21%
Permanent
Dissatisfied 7%
29% of respondents perceive an 11 to 15% salary increase as acceptable if they were to move roles
Salaries & BenefitsPART QUALIFIED & TRANSACTIONAL
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Part Qualified | By position Salary range Hourly rate
Job title 2012 2013 2012 2013
Assistant Accountant £22,000-£28,000 £22,000-£30,000 £13-£17 £13-£17
Financial Accountant £28,000-£36,000 £30,000-£38,000 £14-£18 £14-£20
Management Accountant £30,000-£40,000 £30,000-£41,000 £15-£24 £15-£22
Financial Analyst £32,000-£42,000 £32,000-£42,000 £16-£24 £16-£22
Finance Manager £32,000-£45,000 £32,000-£45,000 £16-£28 £16-£28
Part Qualified | By stage Salary range Hourly rate
Job title 2012 2013 2012 2013
ACCA/CIMA Fundamental/Operational
£22,000-£28,000 £22,000-£30,000 £13-£16 £13-£17
ACCA/CIMA Managerial/Professional
£30,000-£37,000 £30,000-£37,000 £15-£22 £15-£22
ACCA/CIMA Finalist/Strategic £32,000-£40,000 £32,000-£42,000 £17-£24 £17-£22
Transactional Accounting Salary range Hourly rate
Job title 2012 2013 2012 2013
Payroll Assistant £18,000-£25,000 £18,000-£25,000 £10-£14 £10-£14
Graduate/Trainee Accountant £21,000-£25,000 £21,000-£25,000 £11-£14 £11-£14
Accounts Payable/Receivable Assistant
£21,000-£26,000 £21,000-£25,000 £10-£15 £10-£14
Accounts Assistant £21,000-£28,000 £21,000-£28,000 £11-£15 £11-£15
Payroll Manager £25,000-£40,000 £25,000-£40,000 £15-£25 £15-£25
Revenue/Billings Manager £28,000-£50,000 £28,000-£50,000 £15-£28 £15-£28
Accounts Payable/Receivable Manager
£30,000-£45,000 £30,000-£45,000 £14-£25 £14-£25
Credit Control Salary range Hourly rate
Job iitle 2012 2013 2012 2013
Credit Controller £22,000-£30,000 £22,000-£32,000 £12-£20 £12-£20
Credit Control Senior/Supervisor £26,000-£35,000 £26,000-£40,000 £13-£20 £13-£20
Credit Control Manager £30,000-£50,000 £35,000-£60,000 £16-£30 £16-£30
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Attracting top talentOFFER AN ATTRACTIVE PACKAGE, NOT JUST A COMPETITIVE SALARYMost part qualified accountants or those towards the beginning of their accountancy careers are attracted by the opportunity to develop their skills and receive study support. Put yourself in the prospective candidate’s shoes and consider what would attract you to this role.
ENSURE YOUR SEARCH IS INCLUSIVEDirect recruitment methods such as job boards, LinkedIn and referral schemes can be a good way to source candidates, but as fewer candidates move, fewer will be actively looking by these means. So tapping into the passive candidate market is important and ensures your selection process includes as many good quality candidates as possible.
DO NOT ASSUME ANYTHINGYou should not presume the market is slow or that there are fewer opportunities available. Companies always want to attract and hire the best talent available, therefore competition remains high. So try to ensure a quick but thorough recruitment process to avoid missing out on your first choice candidate.
Salaries & Benefits
33%
Did you receive a bonus in 2012?
Yes 40%
No, not awarded one 26%
No, not entitled to receive one 34%
33% of respondents were satisfied with their bonus
BENEFITS
BONUS
Top 5 benefits currently received
25 days holiday or more 71%
Company pension scheme 54%
Annual bonus scheme 40%
Private healthcare 38%
Insurance (PMI/death in service/life insurance) 32%
Respondents could select all benefits that applied
Respondents rated a selection of 20 benefits in order of importance
Benefits considered most and least important when considering a new role
25 days holiday or more
Good company pension scheme
Flexible working
Annual bonus scheme
Car or car allowance
Mortgage relief
Sabbatical
Daily subsidised meals
Mobile phone/Blackberry/PDA
Insurance*
46%
46% of respondents were satisfied with their benefits
52% of respondents
received the same bonus in
2012 as in 2011
As a percentage of your basic salary, what was your bonus in 2012?
1 to 9% of salary 55%
10 to 19% of salary 33%
20 to 29% of salary 9%
30 to 39% of salary 3%
More than 40% of salary 0%
1 - 9% of salary
PART QUALIFIED & TRANSACTIONAL
*PMI/death in service/life insurance
COMMERCE & INDUSTRY
Qualified
+44 20 7321 [email protected]
LONDON
Senior Manager
Russell Williams
Associate Director
Manager
Simon Smith
Pres Pillai
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QUALIFIED Market Perspective
Recruitment freeze 35%
Budget cuts 40%
Profitability of business 35%
Business process/policy change 51%
Salary freeze 35%
Respondents could choose more than one answer from a choice of 14
Top 5 expectations for your business in the next 12 months
ECONOMIC PROSPECTSCompared with the last 12 months, how confident do you feel about the economic prospects facing your company?
More confident 20%
As confident 49%
Less confident 31%
Newly Qualified ACA 2012 saw increasing demand for newly qualified ACA accountants across a number of sectors, mainly within commerce and industry, professional services and management consultancy. Employers are targeting candidates with strong academics e.g first time passes and experience of working with clients in their sector. Those who have proven to be most successful tend to have strong interpersonal and commercial skills. Most newly qualified accountants are interested in making a move from practice into industry, corporate finance or management consultancy. Whilst moves into commercial finance positions are possible, the most readily available roles in 80% of cases are financial accountant, group accountant and internal audit.
When looking to make a move, do your research into the organisation and prospects for career progression, as well as the calibre of individuals and management within the business. After 18 months of learning the ropes in financial reporting, candidates are increasingly being promoted to more commercial roles within the organisation. In 2013, there will be an increase in the number of companies looking at candidates from mid-tier and Big 4 firms, due to their varied experience and hands-on attributes.
Whilst moves into commercial finance positions are possible, the most readily available roles in 80% of cases are financial accountant, group accountant and internal audit
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57%
57%
Salary freeze 29%
57%
Redundancy 4% 57%
Salary reduction 1%
57%
Shorter working week 1%
57%
Other 8%
Respondents could choose more than one answer
Expectations for personal salary and job security in the next 12 months
How would you rate your current job security?
Secure 72%
Insecure 28%
JOB SECURITY
LONDON
The big trends of 2012PERMANENTThere was a significant increase in the number of qualified candidates citing lack of career progression and hitting the ‘glass ceiling’ as reasons for wanting to leave their current role.
With increasing numbers of organisational restructures, finance teams rightsizing, and modest growth in the majority of sectors during 2012, there were fewer opportunities for people to gain promotion and further their careers internally. As such we saw an increase in the volume and quality of qualified professionals looking to further their careers externally as they looked to climb the career ladder.
TEMPORARYWith the state of the economy still uncertain, successful businesses learnt to become more agile and adaptable in facing business challenges, whether these challenges were related to structural changes, improving performance or assessing risks.
From a resourcing perspective we saw companies take an ever more prudent approach to hiring contractors, and adapting a more service delivery focus to complement strategic objectives of finance departments.
The number of overseas contracting professionals arriving in the UK (typically from Australia, New Zealand and South Africa) has continued to decline, meaning demand for UK contract sta§ has increased as many are choosing more lucrative temporary assignments over permanent positions.
During 2012, there were fewer opportunities for people to gain
promotion and further their careers internally
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QUALIFIED Market Perspective
TEMPORARYWith the market likely to be volatile for some time to come, business leaders are still taking a cautious approach. Most chief financial officers expect a gradual pick-up in the economy towards the end of 2013, but will be reluctant to increase headcount.
This could be good news for the contract market as businesses seek to improve profits by taking on change management programmes such as system improvement and cost reduction, as well as launching new products.
Many chief financial officers are concerned by the increasing regulatory burden which will no doubt create demand for accountancy professionals with strong technical skills, particularly from the Big 4.
In the next 12 months we expect to see businesses continuing to rein in their costs whilst improving efficiency. There will also be an additional focus on seizing new opportunities.
The past four years of economic uncertainty hava left many finance departments lean, with limited capacity to cope with unexpected workloads, projects with tight deadlines and sudden market changes. As a result we’ll see business turn to the interim market to quickly satisfy these crucial business challenges.
Outlook for 2013PERMANENTOver the next 12 months the battle for commercially minded, qualified candidates with at least one year’s industry experience is likely to continue heating up, as employers have one eye on growth and snapping up the best talent in the market for an assault on 2014. This is across commerce and industry as a whole and salaries for this type of position are likely to creep northwards towards the £50,000 to £55,000 mark.
Most chief financial officers expect a gradual pick up in
the economy towards the end of 2013, but will be reluctant
to increase headcount
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Short term (0-6 months ahead) 42%
Medium term (6-12 months ahead) 14%
Long term (1-2 years) 13%
Non-existent 12%
Not sure 19%
What is your employer’s recruitment strategy?
Reactions to uncertain market conditions PERMANENTEmployers have largely taken a cautious approach to recruitment and are likely to continue to do so in 2013 as they pursue the perfect fit. Talent attraction and retention has moved to the top of the recruitment agenda to ensure that businesses keep the best people, particularly where internal opportunities are fewer.
Towards the end of 2012 the market was showing signs of polarisation. On one hand, businesses were looking to bring in commercially-minded finance professionals for various business partnering opportunities. At the same time, focus remained on the production of accurate financial reports, resulting in high demand for group accountants and financial accountants, especially with ACA qualifications, IFRS, US GAAP and consolidation experience.
TEMPORARYThere has been a notable positive change to the way businesses are reacting to the market compared to previous years. For some time there has been a shortage of good talent available and finance leaders have had to move faster to secure the best people. Employers have had to sell the job opportunity to candidates, instead of cherry picking the best professionals due to the competition.
LONDON
Remained the same
36%
How has the number of sta� in your team changed in the past 12 months?
Remained the same
36%
Increased 32%
Remained the same
36%
Decreased 27% Remained the same
36%
Not sure 5%
52%of respondents selected business growth or expansion as the main reason for an increase in sta§
of respondents selected
headcount reductions as the main reason for a decrease in sta§
HEADCOUNT
30% of respondents have more than 20 employees in their team
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Market growthPERMANENTThere has been growth in pockets of commerce and industry, with the most notable sectors being energy, natural resources and property.
The professionals most in demand are Big 4 trained ACA qualified accountants with up to five years’ part qualified experience and CIMA qualified accountants with up to five years’ part qualified experience. We expect current levels of demand for these roles to continue.
EXPERIENCE
68%
32%
<1years
1-2 2-3 3-5 5-10 >10
Length in current roleLength of time in the accountancy, finance or advisory profession
Less than 1 year 44%
1 to 2 years 24%
2 to 3 years 14%
3 to 5 years 12%
5 to 10 years 5%
More than 10 years 1%
0 to 3 years 2%
4 to 6 years 13%
7 to 10 years 24%
11 to 15 years 24%
16 to 20 years 12%
21 to 25 years 12%
More than 25 years 12%
Not applicable 1%
Career InsightQUALIFIED
TEMPORARYDespite seeing a gentle increase in growth across the majority of the commercial sectors over the past 12 months, businesses are still being cautious in their outlook. Both the eurozone and the emerging markets remain a concern for a number of business leaders and they are not expecting significant changes in 2013.
The professionals most in demand are Big 4 trained ACA qualified accountants with up to five years’ part qualified experience and CIMA qualified accountants with up to five years’ part qualified experience
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Supply and demandPERMANENTThere is a lack of high calibre candidates available in internal audit, and individuals with one to three years’ commercial industry experience, so demand in these areas is strong.
HOURS WORKEDAverage hours worked per week
How has the number of hours changed in the last 12 months?
Increased 32%
Remained the same 51%
Decreased 17%
55%of respondents chose taking on more responsibility as the main reason for the increase in working hours
TEMPORARYDemand remains high for accountants with strong technical skills in terms of IFRS, Excel and ERP systems. Typically businesses are looking to hire one to two year post qualified candidates. The supply of these candidates has been somewhat limited by the ever increasing desire for candidates to move into commercial and analytical roles. This is likely to be the most competitive area in 2013.
Demand remains high for accountants with strong technical skills in terms of IFRS, Excel and ERP systems
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Career InsightQUALIFIED
Taking the next step in your careerBE FLEXIBLECandidates regularly dismiss a number of opportunities before widening their search, as they are set on specific sectors or particular job titles for their next role. A good recruiter will be aware of this and will be able to explain the opportunities to you for every role, even if it doesn’t exactly meet your criteria.
STAY IN TOUCHWe speak to hundreds of people in any one month, so keeping in touch either by email or calling once or twice a week will keep you at the forefront of our minds for any opportunities we have on.
RELOCATION
42%
42%
Australia 35%
42%
Within the UK 27%
42%
Canada 27%
42%
Mainland Europe 25%
Respondents could choose more than one country from a choice of 14 Improved quality of life
64%
Di§erent culture 58%
Improved salary 50%
New career opportunities 50%
Better employment opportunities 43%
Respondents could choose more than one reason from a choice of nine
Top 5 places respondents would consider relocating to in the next two years
Top 5 reasons for respondents wanting to relocate
32% of respondents would not relocate
KEEP YOUR CV UP TO DATERegularly update your CV and add any new achievements throughout your career as this can save valuable time when your assignment ends and you are ready to start your next job.
BE REALISTIC ABOUT MONEYWhen seeking salary increases in a new role, be realistic about what you can get. A 5% to 10% increase is market rate, so focus your attention to other search motivators as well, such as holiday allowance and pension schemes for example.
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MOVING ONTop 5 reasons for leaving last role
Career development 36%
New challenge/more interesting work 36%
Higher salary 27%
End of contract 17%
Redundancy 16%
Respondents could choose up to three reasons
38% of respondents anticipate changing roles in the next 12 months
Why candidates are making a movePERMANENTWork-life balance and a lack of career opportunities are the most common reasons for candidates looking for other roles, as well as the threat of redundancy.
If employers want to retain sta§ they should look to improve their benefits package, o§ering more flexible working hours, as well as clearly promoting the opportunities to develop at the company using examples of individual’s career paths within the team.
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TEMPORARYTalented professionals in the temporary and contract market want to keep moving their careers forward so seek senior roles that o§er a number of development opportunities. If their current role has fulfilled this purpose, candidates will look elsewhere.
Although contractors’ remuneration correlates with the amount of days/hours they work, work-life balance is still a very important factor for most when deciding between roles.
Candidates are also increasingly seeking opportunities that facilitate exposure to commercial work and decision making processes. Being involved directly with the business is often cited as an attractive attribute in a role. If employers want to improve in these areas they should establish a clear succession plan before embarking on a search, so they have a clear plan of where roles have the potential to go within the company. On the temporary and contract side, hiring managers should try to identify skills or business exposure a candidate can add to their CV for their next role. The recruitment consultant you are dealing with will be best placed to advise and pre-empt what is important to each individual before you interview them.
Employers should establish a clear succession plan before embarking on a search, so they have a clear plan of where roles have the potential to go within the company
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Spotlight on salariesPERMANENTSalaries and bonuses have remained largely static year on year and are likely to continue to do so for 2013. A 5% to 10% uplift in basic salaries has become the norm for individuals making an external move.
REMUNERATIONWhen was your last pay review?
Less than 6 months ago 28%
6 to 12 months ago 40%
More than 12 months ago 11%
Not applicable 21%
76% of respondents received a salary increase in their last pay review
Permanent
Contract
Satisfaction with current remuneration
Permanent
Satisfied 55%
Permanent
Neither satisfied nor dissatisfied 24%
Permanent
Dissatisfied 21%
Permanent
Satisfied 54%
Permanent
Neither satisfied nor dissatisfied 26%
Permanent
Dissatisfied 20%
40% of respondents perceive a 5 to 10% salary increase as acceptable if they were to move roles
Salaries & BenefitsQUALIFIED
TEMPORARYOver the last five years, and especially in the past 12 months, there have not been any significant changes to salaries and bonuses in the temporary qualified market.
However, certain skill sets in terms of systems, change management and regulatory exposure remain in demand and those with a track record of adding significant value in their previous roles are seeing as much as a 20% increase in their rates.
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Qualified | Permanent Salary range
Job title 2012 2013
Newly Qualified CA/ACMA/ACCA £41,000-£50,000 £43,000-£50,000
Qualified | 1 year £45,000-£55,000 £50,000-£55,000
Internal Auditor £45,000-£60,000 £45,000-£60,000
Finance Manager £45,000-£60,000 £55,000-£70,000
Qualified | 2 years £50,000-£57,000 £55,000-£67,000
Group Accountant £50,000-£65,000 £55,000-£65,000
Qualified | 3 years £55,000-£65,000 £62,000-£68,000
Audit Manager £55,000-£70,000 £60,000-£70,000
FP&A Manager £55,000-£80,000 £60,000-£85,000
Commercial Finance Manager £60,000-£80,000 £65,000-£90,000
Financial Controller £60,000-£85,000 £65,000-£90,000
Finance Director £85,000+ £90,000+
Chief Financial O¬cer £150,000+ £150,000+
Qualified | Temporary Daily/hourly rate
Job title 2012 2013
Newly Qualified CA/ACMA/ACCA £25-£35 per hour £25-£30 per hour
Qualified | 1 year £30-£35 per hour £30-£35 per hour
Internal Auditor £30-£40 per hour £30-£40 per hour
Finance Manager £30-£40 per hour £35-£40 per hour
Qualified | 2 years £32-£38 per hour £32-£38 per hour
FP&A Manager £35-£45 per hour £35-£45 per hour
Audit Manager £35-£45 per hour £35-£45 per hour
Group Accountant £35-£45 per hour £35-£45 per hour
Qualified | 3 years £32-£38 per hour £35-£45 per hour
Commercial Finance Manager £350+ per day £350+ per day
Financial Controller £350+ per day £350+ per day
Finance Director £450+ per day £500+ per day
Chief Financial O¬cer £700+ per day £800+ per day
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Attracting top talentTHE INTERVIEWER IS ALSO THE INTERVIEWEEInterviews are a two-way process where the candidate also forms an opinion of your business and considers the opportunities put in front of them. Ensure you make the right impression!
BE FLEXIBLEIt is important to understand the factors that contribute to a candidate’s decision to join a business, and identify what they are for each candidate at the o§er stage, whether it is development, work-life balance, benefits or remuneration.
HAVE A SENSE OF URGENCYMove quickly if you like someone and run a flexible and streamlined recruitment process.
EMPLOYER BRANDINGYou need to be able to sell the business as well as the role, so make sure your brand is worth talking about. In the interview process promote the working culture and use employee success stories. Externally, use social channels to provide candidates with positive and up-to-date exposure to your company’s personality and vision.
Salaries & Benefits
51%
Did you receive a bonus in 2012?
Yes 52%
No, not awarded one 14%
No, not entitled to receive one 34%
51% of respondents were satisfied with their bonus
BENEFITS
BONUS
Top 5 benefits currently received
25 days holiday or more 85%
Company pension scheme 76%
Private healthcare 66%
Annual bonus scheme 57%
Insurance (PMI/death in service/life insurance) 56%
Respondents could select all benefits that applied
Respondents rated a selection of 20 benefits in order of importance
Benefits considered most and least important when considering a new role
25 days holiday or more
Annual bonus scheme
Good company pension scheme
Private healthcare
Leisure facilities
Childcare vouchers
Daily subsidised meals
Season ticket loan
Mortgage relief
Flexible working
66%
66% of respondents were satisfied with their benefits
40% of respondents
received the same bonus in 2012 as they did in 2011
As a percentage of your basic salary, what was your bonus in 2012?
1 to 9% of salary 38%
10 to 19% of salary 37%
20 to 29% of salary 18%
30 to 39% of salary 3%
40 to 59% of salary 3%
60 to 100% of salary 0%
More than 100% of salary 1%
1 - 9% of salary
QUALIFIED
We would like to extend our appreciation to all those who completed this survey and made this market report possible. If you didn’t participate, please do so next year so we can continue to develop the depth and quality of this report and provide you with a fair and balanced picture.
This report is only ever intended to give a very general overview on the changing nature and complexity of the employment market for accountancy, finance and advisory professionals and can serve as a useful guide. However, if you require a more tailored and confidential discussion on how this will affect your business, finance department or indeed your own career, please do not hesitate to get in touch.
This research was carried out by means of an electronic questionnaire and supplemented with data and market information that Marks Sattin has access to. The results are provided as generic market information only. Marks Sattin does not make any warranties regarding the use, validity, accuracy or reliability of the results and information obtained. Marks Sattin will not be liable for any damages of any kind arising out of or relating to use of this information. Commercial use and distribution of the contents of this document is not allowed without express and prior written consent of the author.
ACKNOWLEDGEMENTS
DISCLAIMER
Editor and Marketing: Kirsty KellyAssistant Editor: Alex Voskou Alicja Skrakowski
Promotion: Your future in finance and accountancy
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markssattin.co.uk Marks Sattin @MarksSattin