In this issue, we look at how the economic downturn has affected the banking and finance sector and the process of cutting staff costs for firms operating in this sector. For some, such as brokerage firms and companies with operations in securitisation, leverage finance and credit derivatives, redundancies can be a matter of survival.
A headcount freeze is common policy for most firms in banking and finance in times of economic trouble. It is also inevitable that some local firms will have to let some of their talent go, while there has been a steady flow of Australians coming back from overseas where the credit crunch has ravaged US and UK firms.
As such, there is some talent to be picked up on the market. Every economic downturn always passes,so a little bit of flexibility on the hiring front now can pay off very well in the long-term.