July 13, 2006
World Cup effect hits City of London job market
LONDON (Reuters) - The World Cup soccer tournament proved a
big distraction for bankers in the City of London financial
center in June, causing an early lull in the job market,
according to a survey published on Friday.
July and August are traditionally quiet months for
recruitment as people put off decisions on moving jobs until
after the summer holiday season.
seasonality effect came into play a month early," said
recruitment consultants Morgan McKinley in its monthly survey
of the City of London job market.
It said this contributed to a drop in the numbers of new
candidates of 15.3 percent when compared with May.
But the overall climate remained buoyant with 34 percent
more job vacancies in June this year compared with June 2005.
Investment banks have been hiring a lot of new staff this
year to cope with a boom in financial market activity and to
expand into new areas.
"We continue to experience unwavering demand from employers
to hire high caliber financial services professionals," said
Morgan McKinley Chief Executive Robert Thesiger.
He said the average City of London salary stood at 50,214
pounds in June, the first time it has stayed above 50,000
pounds for four months in a row.
Senior bankers earn far more than that, with some
high-fliers taking home multi-million-pound packages including
big annual bonus payments.
Support staff are also in demand, with salaries for support
and administration staff rising 7 percent on the previous
The average investment banking back-office job now commands
a salary of just under 30,000 pounds.
The monthly survey is based on Morgan McKinley's weekly
records of new permanent job vacancies and new candidates
registering with the firm for permanent employment.
Statistics for the full market are worked out using Morgan
McKinley's market share.