Still making do with a role in financial services

Business school graduates may be turning their back on banking, but those already working in the sector are not moving much further afield. More than 60 per cent of workers who leave banking end up in other parts of the financial services sector, according to analysis carried out by professional global network LinkedIn for the Financial Times.

The findings dispel the common perception that large numbers of bankers are quitting for what some may consider more morally rewarding careers such as teaching, or more enterprising opportunities, such as in start-ups.

LinkedIn studied the profiles of almost 24,500 people leaving and joining banks in key financial centres during the first six months of the year. The figures are based on analysis of the 14,500 people who joined the banking sector in the first six months of the year, and the 9,000 who left, in New York, London, Hong Kong, Paris, Frankfurt and Zurich.

Although the research includes only those workers who have LinkedIn profiles and updated them — representing a fraction of the total workforce — the analysis provides a compelling snapshot on the flow of talent in and out of banks.

The research also highlights how narrow the recruitment pool for banks is despite their efforts to bring in more diverse talent. The finance sector supplied 52 per cent of workers joining banks for the first time. This includes workers who list their previous industry as “financial services”, accounting, management consultancy, investment management and insurance.

Outside of the financial sector, the IT industry was the biggest supplier of new banking talent, providing 7 per cent of new joiners.

Financial Times