Finding jobs in finance has been a challenge since the economic tide turned. Photo / Thinkstock
When America sneezes, the rest of the world catches the cold. And there's no doubt that the banking and finance recruitment market is struggling to shake off all of the symptoms of the 2008 sneeze that led to the global financial crisis.
Unlike some overseas markets, New Zealand avoided the huge setback seen in other countries.
Even so, the overall number of employees in the industry fell from 63,503 to 62,597 between 2009 and 2011, according to Careers New Zealand. The government body expected to see permanent staff numbers pick up by about 4 per cent by the end of this year.
That's not to say it's business as usual on the recruiting front. The hiring environment has changed. And the effects of the GFC could take as long as 10 years to abate fully.
"The GFC had a massive impact on the recruitment market in Auckland," says Oliver Hawkley associate director at Parker Bridge Recruitment NZ.
Both trading and institutional banks have lost their appetite for risk.
No longer do we hear cliches such as "the war for talent", says Debbie Graham, director at Debbie Graham & Associates. Every hire is scrutinised.
"The pressure is head count," she says. "To get the approval to increase head count can take some time."
The banks are also much more specific about the skillsets they seek and the responsibilities involved.
There are some areas of healthy demand for staff in the banks, says Hawkley. Ironically, perhaps, the greatest demand is in credit risk, regulatory reporting and risk analytics.
"These are niche skillsets that are hard to find in New Zealand."
Although, Hawkley adds, universities such as Auckland, Victoria, Canterbury and Otago are all producing "top-class graduates".
He cites Auckland University's bachelor of property degree.
The university's property head of department, Deborah Levy, says degrees from her department are structured to produce well-rounded, practically focused and competent "ready for industry" graduates.
"Our graduates are typically taken up by banks, property funds, real estate companies, retailers and local authorities in New Zealand and overseas."
Some skillsets, of course, are far less in demand - those in leveraged or structured finance, for instance.
Hawkley says one area slowly starting to pick up is property finance hiring. It was almost dead in the water for the past few years.
The trading and institutional banks are particularly interested in returning Kiwis or those with ties to this country such as a Kiwi spouse.
Graham says they often have very good skills and the Kiwi connection usually results in good tenure.
But Hawkley says overseas experience can be a double-edged sword. Some people have very narrow experience, which can be a problem in a market where being a generalist is valued.
"People coming back from London often have narrow skillsets because they are a small cog in a big wheel."
Graham sees candidates of a high calibre returning from London and elsewhere. "They have great skills and depth of experience, which makes them very valuable." What's more, in recent years they have worked in a very tight market, which offered good learning opportunities."
It's not as hard a financial leap for Kiwis to return home now as it was before the financial crisis. Some don't enjoy the depressed morale in Britain and Europe.
And the exchange rate has moved in New Zealand's favour, says Graham. She believes it could be up to 10 years before the UK banking sector comes right.
In terms of fund management careers, the hiring is quite targeted, says Graham. Fund management has always been a smaller market than banking and isn't subject to the volatile swings the banks go through.
The market could be divided in three: NZ Super and ACC at one end, which have both continued to hire, the middle tier of the OnePaths and AMP/AXAs of this world, which have in some cases been reluctant to hire whilst going through restructures, and the boutique end of the market, which has seen some very targeted hires.
Deloitte New Zealand's head of people & performance, Duncan Brown, says the professional services market has seen returners, but not in the droves the banking market has.
Although pockets of the market such as professional services for investment banking felt the GFC hard, others have been shielded from its worst effects.
One of the big impacts of the GFC on the professional services hiring market was the drying up of secondment opportunities in London and elsewhere such as New York.
For a while this was a closed market, but has since reopened, says Brown. The final word goes to Graham, who says to get work in the local markets candidates need: "Timing, patience, realism and pragmatism."