Credit Management magazine December 2017

HAYS – SALARY GUIDE
RISING STOCK
How credit managers are seeing salary increases
and optimism prevail over Brexit uncertainty.
AUTHOR – Karen Young FCICM is Director of Hays Credit Management
THE credit management
market remains positive,
with employers seeking
talented individuals and
candidates looking for new
and exciting opportunities.
As we move through Brexit proceedings,
most organisations are keeping the
mantra of ‘business as usual’ even while
the outcome of the referendum remains
uncertain.
Employers, however need to work
hard to attract talent and businesses
will find that if they are offering salaries
below market rate, coupled with a noncompetitive
choice of benefits, they will
struggle to recruit against the current
outlook.
SALARY INCREASES
Pay for credit professionals increased
by 2.4 percent across 2017, significantly
higher than the overall increase seen for
finance professionals at 1.4 percent and
higher than the overall UK salary increase
(1.8 percent). The findings from the ‘Hays
UK Salary & Recruiting Trends’ guide
show that the average salary for credit
professionals recruited by Hays Credit
Management within the last 12 months was
£37,292, 2.4 percent up from 2016.
Although the average increase of
salaries for credit professionals is lower
than the data last year (3.7 percent), the
majority are still enjoying above average
salary increases. However, 53 percent of
credit professionals still aren’t satisfied
with their salaries this year, and 48 percent
are hoping for a pay increase in the coming
year.
Similar to our findings last year, salary
increases were not isolated to London,
with a number of regions receiving above
average increases to the rate of pay in the
finance profession. Credit managers in the
East of England for example saw a nine
percent increase in pay, followed by a six
percent increase for the same role in the
North West, and five percent in the South
East. Credit controllers in Northern Ireland
received a five percent increase, as well as
controllers in the East Midlands.
For credit professionals, there is a
positive outlook and demand especially
within the permanent market. In London
particularly, candidates with specific
industry knowledge, such as legal or
property are in demand as employers look
to hire experienced talent who can hit
the ground running. Language skills, and
good technical acumen are also in demand
across the UK, in particular in areas where
there is a concentration of shared service
centres, so candidates with this potential
can expect good opportunities and offers.
From a regional perspective, in the
South we’ve witnessed a rise in employers
looking to hire risk or credit analysts
specifically. In the North West, there
has been a notable recent increase in
roles available for senior professionals,
including head of credit, credit risk
manager and credit team leader
opportunities.
EMPLOYER OPTIMISM
Positively, the majority (95 percent) of
finance employers are optimistic that
their organisation’s activity levels will
either increase or stay the same. Our
results indicate that those predicting
growth is lower than last year, at just
over half (52 percent) compared to 58
percent, however this is recognised due
caution in light of political and economic
uncertainty. Similarly, fewer employers of
finance professionals are looking to hire
(57 percent) over the next year, compared
to the UK average (71 percent).
Skills shortages remain challenging
for employers, with the majority saying
they have experienced either moderate
or severe shortages when recruiting this
year. Nearly two-thirds of employers
believe that competition for job roles is
the main cause of shortages in the sector,
followed by a lack of talent pipeline.
Worryingly, skills shortages are impacting
more than just productivity as employers
reported significant impacts on employee
morale, business development, expansion
and profit.
CAREER PROGRESSION
There is cause for concern for employers
as credit professionals are worried at the
lack of career progression and are willing
to move roles if they feel they aren’t
progressing; two-thirds said they felt
there was no scope for progression within
their current organisation, significantly
higher than finance professionals overall
at 57 percent.
Some 49 percent of credit professionals
are also planning to move roles within the
next 12 months, with a third saying the
main reason for doing so would be a lack
of future opportunities in their current
organisation.
Employers are warned that if they don’t
start to invest sufficiently in promoting
clear career paths for credit professionals,
as well as opportunities for training, they
are unlikely to attract and retain the talent
they need.
Employers who want to attract the right
talent should expect to offer salaries at a
market rate or above, as well as generous
benefits and career development or
training opportunities. As more and
more job and person specifications
include a request for candidates who have
studied or are studying for their CICM
qualifications, those employers who
actually offer a study support package as
an element of the overall package, can
certainly help themselves stand out.
Counter offers are commonplace
as employers look to retain talent, as
is the likelihood of someone receiving
multiple offers, particularly in London, so
employers recruiting should expect this
during the hiring process and act quickly.
Employers should also ensure that
opportunities for personal development
and career progression have been clearly
and carefully positioned all the way
through the interview stages.
Hays UK Salary and
Recruiting Trends 2018
In early Summer 2017 Hays surveyed
over 100 employees working in credit,
and 1,089 accountancy and finance
employers.
Salary data has been compiled using
information gathered during 2017
from Hays offices across the UK, and
is based on job listings, job offers and
candidate registrations.
hays.co.uk/salary-guide
The Recognised Standard / www.cicm.com / December 2017 / PAGE 34