Accounting & Finance 2014 Salary & Employment Insights The Rocky Road to Recovery

Transcription

1 1 The Rocky Road to Recovery Contact Hudson

2 2 Contents UK Overview 3 Adapting to the changing economic conditions 4 The rocky road to recovery 5 Uncertainty versus the upturn 7 The ticking time bomb - The employer/employee disconnect 9 About Hudson 10 Market Overview 12 Salary Tables 20 The South 20 The Midlands & The North 25 London 30 Scotland 45 Contact Hudson

3 3 UK Overview Welcome to the Hudson Salary and Employment Insights Review for The document begins with an overview of the UK recruitment market as a whole, before focusing in more detail on the accounting and finance market. As your recruitment partner and adviser, we take great pride in our in - depth knowledge of the marketplace, and also the factors currently affecting it, including general economic conditions and the expectations of organisations and their people. We hope you will find this review both interesting and useful in terms of planning and implementing recruitment activity in the year ahead. Mark Wilson Director, England Brian Cameron Director, Scotland Contact Hudson

4 4 UK Overview Adapting to the changing economic conditions After a number of challenging years for the UK recruitment sector caused by difficult economic conditions, there were signs of an upturn in many areas during These improvements were not spectacular - indeed the general mood could best be described as one of cautious optimism - but there were encouraging indications that businesses were more willing to invest in new talent, and that candidates were adopting a rather less risk - averse approach to seeking out and considering new opportunities. The exact nature of the improvements varies by sector and by geographical area, and for some companies it will take a lot more than a glimpse of the much - vaunted green shoots of recovery to persuade them to abandon the rigorous focus on scaling back and cost cutting which has been the prevailing corporate culture for so many organisations in recent times. The evidence we are seeing is that many companies now realise that, in business development terms, standing still is only an option for a limited period, while other organisations already need to staff up to service project wins in the light of general improvements in market conditions in their particular sector. Against this background, there are two key questions for 2014 and beyond. The first is are employers ready - in recruitment terms - to adapt to the changing economic conditions and equip themselves with the people they need for the next stage of their development? The second is are employees ready - and willing - to take advantage of the new opportunities that a recovering economy will create? 72% of respondents said that colleagues are being always or mostly replaced when they leave a company 69% of respondent s workloads have been redistributed among the remaining team members Contact Hudson

5 5 UK Overview The rocky road to recovery 18% of staff thought that a sound appraisal system is a good employee retention tool Hudson conducted an in-depth survey of what companies and candidates think of the changing economic environment, and its likely impact on them. We looked at its effect on work practices, compensation and benefits and, equally importantly, on employee engagement, morale, loyalty and job seeking behaviour. Our findings overall suggest that, recruitment wise, the road to recovery could be rather a rocky one for employers. The evidence is that while many businesses are focused on what the revival could mean to them in terms of increased revenue and profits, they have taken their eye off the ball where staff morale and retention issues are concerned. At the same time, employees are beginning to look for other jobs because they have more confidence in the market. And our survey has also revealed a fundamental difference between the retention strategies that organisations feel will work effectively, and what employees are actually looking for. A key place to begin an analysis of these findings is the fact that 64 per cent of employers in the survey said they believe the recruitment market in 2014 will be more candidate driven. In other words, the emphasis will move away from the buyer s market scenario that has existed in many sectors in recent years, and it will be more difficult for organisations to find, attract or retain high calibre people. At the same time, 40 per cent of candidates in the survey told us that the economic upturn is giving them more confidence to look for another job, with 45 percent anticipating a job change in the next 12 months and 25 per cent actively seeking a job at the moment. 25 per cent of employees say they feel insecure or very insecure in their current position, and more than half of respondents (55 per cent) said that they had experienced increased pressure in the workplace over the last year. Add to this the fact that a quarter of employees (25 per cent) said they were having to work more hours than 12 months ago, and 39 per cent were reporting that workplace morale had got worse over the same period, and it is clear that there is now some inherent volatility in the marketplace. 64% believe the market will be candidate driven 40% are more confident in looking for another job 45% are anticipating a job change in the next 12 months 25% of candidates are actively seeking a job at the moment 2014 Recruitment 64% 40% 45% 25% Market Contact Hudson

6 6 UK Overview The rocky road to recovery These figures however don t tell the whole story, because in 2012, 48 per cent of employees were saying morale had got worse in their organisation, and 40 per cent were actively looking for a job. In addition, 49 per cent of people in this year s survey say they feel secure or very secure in their current role - 10 per cent more than last year - and job satisfaction levels have also gone up to 52 per cent from 46 per cent last year. Furthermore, 39 per cent of respondents also said they felt more engaged with their job and workplace, and 61 per cent would actually recommend their employer to a friend. Nevertheless, the survey reveals that there is certainly a significant core group of people for whom a change of employment status is very much on the cards within the next 12 months. This will put pressure on employers to try and fill vacancies at a time when the market dynamic could well be changing, with demand starting to exceed supply in some areas, and shortages emerging for some of the most in - demand skill sets. Over time, if people cannot be found for key positions, this could inevitably have a negative impact on the ability of organisations to take full advantage of the improved economic conditions. Evidently, one course of action that employers can take to prevent this problem - at least in part - is to keep hold of their key people by having effective staff retention strategies in place. However, our survey has shown that what businesses are offering in this area is not always what is most valued by employees. For example, 63 per cent of employees say that good career progression opportunities are the critical factor in them remaining with an organisation, yet only 26 per cent feel that their company offers them. There is a very similar difference of opinion over mentoring schemes, which are valued by employees but not as widely available as they would like to see. Conversely, only 18 per cent of staff in the survey thought that a sound appraisal system is a good employee retention tool, yet 55 per cent of employees offer one. Of course, most employee decisions on whether to seek a new opportunity remain salary driven, and the survey reveals that 35 per cent of candidates would move for a salary increase of 6-10 per cent, without promotion. In the workplace 49% 52% 39% 61% 63% 35% of people feel secure or very secure in their current role of people feel satisfied in their current role of people feel more engaged with their job of people feel they would recommend their employer to a friend of people say that good career progression opportunities are critical of people would move for a salary increase of 6-10 per cent, without promotion Contact Hudson

7 7 UK Overview Uncertainty versus the upturn But even in the far from perfect recent economic conditions, 30 per cent of respondents had still actually received a pay rise of up to 5 per cent in their existing roles, although 8 per cent had seen their salary decrease. 16 per cent of employees had not been given a pay rise for two years but, rather more encouragingly, 56 per cent of people are expecting a salary increase of up to 10 per cent over the next 12 months, significantly up on the 45 per cent who said the same thing this time last year. Perhaps surprisingly in the light of market conditions around four in ten employees still received a bonus in 2013, although mainly of a relatively modest nature in the 1-5 per cent bracket. Benefits packages, bonus payments and pensions remain the most valued extra with employees, followed in order of importance by health benefits, flexible working arrangements and above - average annual leave. Our survey responses from employees reinforce the general impression of an upturn in the recruitment market in 2013, with 41 per cent of people saying they had seen an increase in headcount in their workplace over the past 12 months, compared with a figure of 33 per cent in % of people say they had seen an increase in headcount in their workplace over the past 12 months Equally encouragingly, almost three quarters of respondents (72 per cent) said that colleagues are being always or mostly replaced when they leave the company. However, when people are not replaced, the burden can fall on their previous colleagues. In 69 per cent of cases their workload was redistributed among the remaining team members, according to respondents. Contact Hudson

8 8 UK Overview Uncertainty versus the upturn Looking at career development and planning, 64 per cent of employees had been in their permanent role for less than two years. However 10 per cent of people in a contracting or interim position had actually been in the same role for more than two years! In terms of the optimum time to stay in a role 2-3 years was the most popular period with respondents (34 per cent) followed by 3-4 years (21 per cent), 1-2 years (16 per cent) and 4-5 years (13 per cent). 15 per cent of employees thought more than 5 years was best. Meanwhile, company responses to the survey reveal that 49 per cent of employers believe that there has still been uncertainty in the market in their particular sector. As a result, 13 per cent said they had implemented a freeze on new hires for all roles, although this figure has gone down from 18 per cent last year. Rather more encouragingly, 47 per cent of companies had increased headcount in the last 12 months, 10 per cent more than last year. 30 per cent had seen employee numbers remain the same, and only 23 per cent had seen a decrease. Where headcount went up, 81 per cent of firms said it was due to genuine growth, with 58 per cent of employers believing there is further growth potential in their businesses over the next 12 months. Overall, 49 per cent of companies said their total headcount will increase in 2014, compared with 37 per cent who were of the same opinion this time last year. In terms of remuneration packages, 84 per cent of companies said they had awarded pay rises within the last two years, although 3 per cent admitted that it had been more than five years since they last gave a rise. 81 per cent expected to award rises when they next review pay. Optimum time to stay in a role 34% 21% 2-3 years 3-4 years 16% 1-2 years 13% 4-5 years 15% more than 5 years Contact Hudson

9 9 UK Overview The ticking time bomb - The employer/employee disconnect There is a clear difference of opinion between employers and employees on the reasons for salary increases. 52 per cent of employees believe they deserve a rise to maintain their standard of living, however only 9 per cent of employers cite this as the reason they do it. Instead, 69 per cent of companies say they award rises in order to keep hold of high performing staff. Perhaps reflecting something of the same impetus, 58 per cent of businesses plan to award bonuses in the next 12 months, up from 47 per cent last year. However, once again the survey provides evidence of a disconnect between employers and employees in terms of overall benefits packages. While 75 per cent of companies believe they are offering appropriate reward and recognition to staff, only 51 per cent of employees believe this to be the case. Clearly, this and other similar issues highlighted by the survey need to be addressed, because as market conditions continue to improve, it is vital that the expectations of organisations and candidates are closely aligned to ensure maximum business development and growth and the continued revival in the fortunes of the UK economy. 52% of employees believe they deserve a pay rise to maintain their standard of living 69% of companies say they award pay rises in order to keep hold of high performing staff 58% of businesses plan to award bonuses in the next 12 months Key priorities for employers in 2014 and beyond will include developing staff retention strategies that are more valued by employees, and also increasing investment in training and development programmes to enable them to become more self-sufficient in the key skills they require in the future. Methodology The Hudson salary survey of employers and employees was conducted online over a three - week period in December Current salary information has been obtained from Hudson s internal database and quality checked against survey data. In - house recruitment specialists and company directors were interviewed to obtain their experiences of current market trends in order to compile the regional and sector - specific market overviews. Contact Hudson

10 10 About Hudson Hudson is a global talent solutions company with expertise in leadership and specialised recruitment, contracting solutions, recruitment process outsourcing, talent management, outplacement and ediscovery. The Hudson team helps clients and candidates succeed by leveraging our expertise, deep industry and market knowledge, and proprietary assessment tools and techniques. With approximately 2,000 people in 20 countries, and relationships with millions of specialised professionals, we bring an unparalleled ability to match talent with opportunities by assessing, recruiting, developing and engaging the best and brightest people for our clients. We combine broad geographic presence, world-class talent solutions and a tailored, consultative approach to help businesses and professionals achieve higher performance and outstanding results. Whether you are looking for a candidate who is part qualified/qualified accountant or risk and compliance professional Hudson Accounting & Finance can help you with your next hire. Our consultants focus on specific role levels and types within sectors so they can provide specialisation expertise. Combining our global capabilities with in-depth local market knowledge, we have been able to build strong and trusted relationships with a wide-ranging client base that includes SMEs and multinational companies. You deserve a recruitment partner with a strong record of innovation and execution and who will deliver optimised solutions to guide you through the challenges associated with your business lifecycle. Contact Hudson

11 11 About Hudson We currently work with: Practice The Big Four audit firms Top 20 UK firms Top 50 practices Audit, tax and advisory specialists Private Sector Financial services and banking Retail, media and FMCG Pharmaceutical and healthcare Technology and telecommunication Energy and utilities Oil and gas Mining Professional services Manufacturing and distribution Construction, property and engineering Public Sector Local authorities Central government Charities/not - for - profit NHS and primary care trusts Regulatory bodies Associations Education Contact Hudson

12 Market Overview 12 67% of professionals saw their salary increase in the past 12 months Our accounting and finance teams across the UK began 2013 with the hope, rather than necessarily the expectation, that the new year would show an improvement on the previous 12 months when conditions had been challenging and the prevailing mood one of uncertainty. London - Banking & Financial Services The banking and financial services market, whilst by no means back to the heights of pre-recession or even 2010, has seen an improvement over the past 12 months. However, it cannot be denied the environment is still challenging and the effects of offshoring/nearshoring have significantly reduced job volumes and left candidates cautious when considering a move to a new role. Against this background, it is encouraging to be able to report that 2013 saw something of a revival in the banking and financial services sector, helped in no small way by the ever-changing regulatory landscape. As a result, we saw increased demand for specialists within regulatory and liquidity reporting especially in light of the Basel III, EMIR and Dodd-Frank regulations changes, and the increased focus on Libor reporting. Linked to these developments, we saw increased demand during 2013 for accounting policy, audit and control professionals. As a result of the project and deadlinedriven nature of much of this work, many new opportunities created in this space were for contractors. However, wherever possible permanent hires continue to be preferred by most organisations as they are generally more cost effective. Finance business partner and decision support roles were another area where we saw uplift in demand during the year, with a particular emphasis on planning, budgeting, forecasting and performance analysis. Also, with such importance connected to cost saving, banks are paying particular attention to making sure they have efficient cost finance business partners and project accountants in place. As one would expect, a revival of this fairly modest nature has not had a significant impact on salary or contracting rates as yet, with 10-15% the average increase. Contact Hudson

13 13 69% Market Overview of professionals are satisfied with their current benefits package London - Banking & Financial Services London - Risk & Compliance However, at a time when remuneration levels are flat, and bonuses non-existent in many cases, we are seeing candidates place more emphasis on other aspects of a role, such as its career development potential and work-life balance. To keep employees motivated, businesses will need to place more emphasis on their learning and development and talent management strategies in the future. This could mean moving into a different asset class or a different role altogether and providing extra training. Candidates want to enhance their skill sets and generally aren t interested in a sideways step unless they can considerably increase their compensation. Work-life balance and the ability to work from home are also attractive to candidates. There is an opinion in the market that this year more so than recent years will see more people willing to look at new opportunities after bonus rounds, as realisation sets in that bonuses are pretty similar across the board and the focus is now on base salary, security, and the opportunity itself. This in theory should therefore open up more opportunities as people move firms and although internal moves will be considered first to fill these roles there will be some that will have to come out to the external market. With this in mind, top performers across all functions are going to have to prove their worth in the coming months and years, refining and developing their skills sets to ensure they retain their value in the market saw London cement itself as the epicentre of global financial services, with risk and compliance management at the forefront of CEO s minds. Now, moving into 2014 and under the guidance of the twin peaks regulatory model, the Prudential Risk Authority and Financial Conduct Authority will continue this focus to ensure that companies really do put their customers at the heart of their operations. Due to this revised regulatory focus, the compliance and risk recruitment markets were very buoyant, and again this is forecasted to continue into As a by-product of such increased volumes of hiring, there has been a marked increase in average salaries across all levels, most notable at the AVP and VP levels as top talent becomes more expensive to hire. To that end, it can be concluded that from a risk and compliance perspective, it is very much a candidate driven market. Under its new guise at the Bank of England, the Prudential Risk Authority wasted little time in reshaping capital requirement calculations and risks analysis and identification, demonstrably with the introduction of a more sophisticated model for stress testing and reporting. This led to a sharp rise in the need for stress testing specialists and in turn, many interim positions were created. Credit analysis was another prominent area of risk recruitment with the need to analyse portfolios and counterparties in a far more stringent fashion. The need to really understand business s clients and counterparties, has led to a noticeable increase in the volume of KYC remediation programmes across London, and in turn the volume of KYC contractors, moving from project to project has risen considerably saw a necessary focus on anti-money laundering as several large companies endeavoured to make amends for well publicised fines. The need for robust financial crime detection and prevention was well documented and is anticipated to continue with the revised emphasis being placed on anti-bribery and corruption and ethics and corruption. The outset for 2014 is positive, however the underlying consensus is that in order to attract the top talent, companies must compromise on either their time to hire expectations, or on their salary bandings. The candidate market will continue to be transient as there will continue to be new Global and European regulations that need implementing, and the need for genuine subject matter knowledge will not abate. Contact Hudson

14 Market Overview 14 41% of said they were less engaged than last year London and the South - Industry & Commerce London & South - Not for Profit and Public Sector Meanwhile, the industry and commerce recruitment market across London and the south of England followed much the same pattern as banking and financial services in the capital in A steady recovery was made so that the lack of confidence in the market and poor job flow that was evident at the start of the year had developed into a renewed spirit of optimism and increased hiring volumes by the end. In terms of trends in the marketplace, one of the key features of 2013 was the strong demand from clients for accountancy professionals with real evidence of commercial acumen who can drive decision making and add value and benefit. This increased emphasis on crossfunctional business partnering and decision support reflects the ever-increasing involvement of finance in all aspects of organisational development across businesses of all sizes. Linked to this focus on commercial accounting, we also saw a significant call for high-calibre cost and financial analysts during the year, while there was also noticeable demand for candidates with strong internal audit, control and compliance skill sets. Opportunities for candidates within finance roles across the not for profit and public sector continue to remain limited. Organisations are opting to assess internal resource as a primary sourcing channel as opposed to seeking external talent saw a decline in job flow and opportunities for qualified interim and contract professionals. In 2014 we envisage a moderate rise in interim opportunities as focus continues on resource allocation, efficiencies and cost saving initiatives. Recruitment within the not for profit and public sector market is set to remain challenging in 2014 with salaries and day rates for interim and permanent finance professionals remaining static. Contact Hudson

15 Market Overview 15 89% of professionals expect a pay rise in the next 12 months South of England Market Midlands & the North market Looking at the performance of individual verticals across the south of England during 2013, we saw increased hiring in technology and media, fast moving consumer good (FMCG), retail and construction. It is worth noting though that most of the new positions that have come on stream in recent months have been for permanent hires, with a notable decline in job flow and opportunities for qualified interim and contract professionals. If market conditions continue to improve, we anticipate a return to more flexible resource planning as companies implement major new change and development projects. In terms of other areas of accounting and finance recruitment in the south of England in 2013 the general trend was again rather similar - steady rather than spectacular improvements in job flow and job volumes as the year progressed. Although the improvement in the financial services space outside the capital was not quite as marked as some other sectors, once again it was the regulatory arena that generated the most opportunities, with increased job volumes in risk and compliance, most of them permanent hires. The performance of the public and not-for-profit sectors was also more stable in 2013, with evidence of some relaxation in the constraints on hiring that had been prevalent for some years. As a result, we believe the outlook in the south is reasonably positive for 2014, with further improvements in the market in terms of demand and supply, and more opportunities available for good candidates. The picture across the Midlands and the North was consistent with that recorded by our teams elsewhere across England during 2013, with a greater willingness by businesses to invest in new talent after being in a recruitment holding pattern for several years. There was strong demand for high quality chartered accountants, business partners and analysts, as the trend continued for companies to effectively move these types of finance roles from the back office to the front office, to enable them to add value as a core element in strategic business planning. As in other regions, the banks have also needed to strengthen their accounting policy and regulatory policy teams. Overall we saw a significant upturn in hiring in financial services and manufacturing and steady growth across most sectors including FMCG, retail, media and engineering. After a difficult year for interim and contract work in 2012, the result of corporate cost cutting and the impact of the AWR legislation, we have seen something of a revival in this space over the last 12 months. Looking to 2014 and beyond, and potential skills shortages that may arise, we are now seeing the effects of the reduction in big four graduate recruitment that occurred during the years of recession, with fewer newly qualified professionals now entering the market. This is clearly a challenge that the sector needs to address as a matter of urgency. Contact Hudson

16 16 Market Overview Scotland Market Financial Services In recent years, many finance functions have been run very leanly resulting in limited opportunities for development or promotions for existing staff. As buoyancy and renewed confidence has been returning to the economy, so too has the desire to grow these teams and the need to bring in new experienced hires. As such, the accounting and finance recruitment market in Scotland has grown significantly over the course of the last year as companies have looked to recruit this new talent to help realise their growth plans and mid to long term strategies. Many companies are increasingly relying upon strong partnerships with recruitment agencies to help target the required talent that exists in the market and further afield. With many candidates remaining passive in their approach, there is a need for innovative sourcing strategies to ensure the right talent is found. The talent assessment proprietary tools that Hudson has developed, such as BAQ s, MDQ s and Interview Manager have played a key part in allowing us to identify the right talent for our clients. Social media strategies that exist across the market have also changed the way companies are directly targeting the market and profiling their brand. It is anticipated that the increased demand for top talent will drive salary levels up across certain parts of the market, as described below, and many companies will have to work with their recruitment partners to ensure their proposition and message to market is very clear in attracting potential candidates. Other attraction and retention benefits are increasingly important to employees, such as flexible working practices, condensed hours to name a few and needs to be taken into account in order to retain existing key staff and attracting new talent to their business. Over the last 12 months, the sector has increasingly gained momentum against a background of significant restructuring in the retail banking sector focused on downsizing, efficiency programmes and balance sheet de-risking. Increased regulatory demands on the financial services sector generated a strong call for specialists in the areas of internal audit, financial reporting, IT/technical audit, liquidity, treasury, compliance, risk and capital adequacy. Many of these opportunities were for project roles. With multiple clients seeking the same skill sets to meet the same regulatory challenges, this particular space became very competitive with salary inflation prominent and the availability of talent significantly reduced. Other in-demand skills across Scotland were financial transformation specialists to support accounting system upgrades and corporate restructuring projects, systems accountants and business change professionals for the new banks such as the supermarket-related operations. The shortages of available newly qualified accountants continues to be a worrying aspect for employers with organisations now looking at other ways of developing existing staff. Clients are looking to utilise Hudson to target those individuals via a retained strategy, in order to ensure the required personnel within those teams. We anticipate these trends continuing into 2014 when the market is likely to become significantly more candidate driven than it has been for some time. Contact Hudson

17 Market Overview 17 31% of professionals do not anticipate a job change in the next 12 months Industry & Commerce Professional Services Accounting and finance recruitment within industry and commerce recorded a slow start to 2013, mainly because of the challenges created by the Eurozone crisis. However, the market picked up significantly in the second half of the year and finished strongly, with increased job volumes across multiple sectors including FMCG, energy and renewables, shared services, LPO and the traditional central belt SME manufacturing and engineering base. It is strongly anticipated that the hiring for accounting across this sector will be consistent across Also, it is important to note that the Aberdeen market continues to outperform the rest of the Scottish market and has shown significant growth across all areas of finance over the course of the last 12 months. There has been strong demand for commercial accountants, systems accountants, technical accountants, and candidates with specific regulatory expertise. At the non-qualified level, candidates with strong credit control and accounts receivable along with part qualified accountants are very much in demand. As noted elsewhere, the graduate recruitment drop-off of recent years, and the resultant shortage of newly qualified accountants, is impacting many clients looking to grow their finance teams. Businesses are seeing increasing benefits in their finance and IT functions working more closely together on improving processes and bringing forward joint cost control, development and growth strategies. The professional services market is typically reactive to economic developments and, with confidence only recently beginning to re-appear in the market, we saw little into mergers and acquisition projects last year. The focus instead from an advisory perspective was on restructuring/turnaround work with a large number of organisations in the UK facing an uncertain future. There was a continued need for governance and assurance professionals reflecting the market s desire to create a solid platform for growth and development. As ever, experienced tax compliance practitioners have been in high demand with the on-going need for tax efficiency from individuals and corporates alike. In 2014, in the light of increased regulatory demands on the sector, we anticipate more opportunities to be created in compliance and risk, and if market conditions continue to improve, there is the potential for more activity in the corporate finance space linked to growth and acquisition projects. Contact Hudson

18 18 Market Overview Business Change Risk Candidates with high level business change and transformation skill sets have been much in demand throughout the financial services sector. There is and has been a wide range of complex restructuring, divesting, and development projects as well as many mandatory and regulatory ones in this sector - retail banking, life and pensions and investment management - which have required management and expertise across the vast project/change skill range. Perhaps most notably there has been the increase and widespread demand for experienced, highly skilled and, importantly, career-minded business analysts (BA s) for many clients. BA s who have/or are forging a career in business analysis and who can demonstrate solid BA (minimum 5/6 years+) and financial services experience are required, but often with a particular product knowledge. This has resulted in a spike in contractor rates and permanent salaries to some degree, for candidates with this specific expertise and knowledge. Furthermore Hudson has seen a real increase in demand for business change and transformation and project professionals spanning other industries and sectors such as energy and renewables, telecommunications and manufacturing where the client base continue to implement new strategies and also public sector - to a lesser extent - but where process improvements and efficiency saving initiatives creates a demand for candidates across the wide business change skill sets, particularly on an interim basis. Meanwhile, the increased regulatory focus across this sector in recent years has resulted in strong on going demand for candidates across the risk management practices including operational risk, regulatory risk and compliance, conduct risk, credit risk, financial crime, anti-bribery and corruption and anti-money laundering. As a result, job volumes in this area saw continued steady growth during the year, with employers seeking candidates with not only a deep understanding of their specialism but also a broader range of skills including strong commercial awareness and excellent stakeholder management skills. No longer can a deep understanding of a particular area ensure that you are successful, you need to combine this with the ability to embed this knowledge across a multitude of areas hence the need for advance communication skills. As a by-product of the 2008/9 financial crisis, there has been an under investment at grass roots level over the last several years across the industry. This has effectively created a talent vacuum in the industry at junior and senior management levels and with market demands exceeding supply, the war on talent is pushing up the salaries required to attract and retain specialist staff in these disciplines The number of senior appointments we handled during the year is a reflection of the increased buoyancy of the compliance and risk recruitment market, in a year in which we also saw strengthening demand for advanced analytics and high calibre data management professionals. Contact Hudson

19 19 Market Overview Conclusion Looking ahead into 2014 and beyond, if the performance of the accounting and finance recruitment sector continues to improve across the UK, leading to potential skills shortages in some areas, there are issues around recruitment that organisations will need to consider if they are to secure and retain the best talent. In fact, our teams are already seeing increased buy back activity from companies keen to keep hold of key staff who are actively seeking a move. Further to this, Hudson is increasingly being asked to support our clients with recruitment planning so we can advise on market trends, bench marking and pool relevant talent in advance so our clients future hiring needs are met As well as being aware that salary is now just one of a number of important considerations for many professionals seeking a new challenge, businesses need to ensure the best possible user experience for candidates during the recruitment process. The process itself also needs to be streamlined to ensure organisations can move quickly to secure the people they need, as the best candidates with in-demand skills will often have alternative offers on the table. Businesses will need to devote time and resources to developing effective staff retention strategies and, looking further ahead, to increase investment in training and development programmes to enable them to become more self-sufficient in the key skills they require in the future. 41% of professionals said they were less engaged than last year Contact Hudson

20 20 The South Salary Tables Contact Hudson

21 21 The South Salary Tables The South Public Sector & Not for Profit Permanent ( Per Year) Contract/Temporary ( Per Day) Role Part Qualified Newly Qualified Qualified (2-5 years) Qualified (6 years+) Pay Rate Finance Director/CFO N/A N/A 50-80,000 70, Head of Finance/Finance Controller N/A N/A 45-70, , Chief Accountant N/A N/A 40-58, , Finance Planning & Analysis Manager N/A 37-45, , , Finance Manager 28-35, , , , Project/Systems Accountant 28-35, , , , Financial/Business/Commercial Analyst 28-35, , , , Management/Financial Accountant 26-32, , , , Specialist Roles Head of N/A N/A 40-60, , Auditor 25-35, , , , Treasury 25-35, , , , Regulatory/Compliance 24-35, , , , Part Qualified & Transactional Finalist 30-38,000 N/A N/A N/A Intermediate 26-34,000 N/A N/A N/A AP/AR/Credit Control/Payroll Manager 26-40,000 N/A N/A N/A AP/AR/Credit Control/Payroll Supervisor 24-35,000 N/A N/A N/A Assistant Accountant/Finance Officer 25-35,000 N/A N/A N/A AP/AR/Credit Control/Payroll Clerk 22-30,000 N/A N/A N/A Foundation/Graduate 18-25,000 N/A N/A N/A Contact Hudson

22 22 The South Salary Tables The South Public Practice Permanent ( Per Year) Contract/Temporary ( Per Day) Role Big 4/Top 20 Small & Medium Firms Pay Rate Audit & Assurance Partner 100, ,000 + N/A Director , ,000 N/A Senior Manager 60-75, , Manager 50-60, , Assistant Manager 35-45, , Senior 28-38, , Semi Senior 20-28, , Advisory Services/Corporate Finance/Corporate Recovery/Forensics Partner 100, ,000 + N/A Director , , Associate Director 60-80, , Manager 45-60, , Executive 35-40, , Taxation Partner 100, ,000 + N/A Director , , Senior Manager 70-80, , Manager 50-60, , Assistant Manager 35-45, , Senior 28-38, , Semi Senior 20-28, , Contact Hudson

23 23 The South Salary Tables The South Commerce & Industry Permanent ( Per Year) Contract/Temporary ( Per Day) Role Part Qualified Newly Qualified Qualified (2-5 years) Qualified (6 years+) Pay Rate Finance Director/CFO N/A N/A 60-80, , Head of Finance/Finance Controller N/A N/A 50-70, , Finance Planning & Analysis Manager N/A N/A 50-65, , Finance Manager 30-42, , , , Project/Systems Accountant 30-42, , , , Financial/Business/Commercial Analyst 30-42, , , , Management/Financial Accountant 25-40, , , , Internal Audit/Compliance Head of Audit N/A N/A 55-70, , Manager N/A N/A 50-65, , Auditor 20-40, , , , Corporate/Group Finance Director/CFO N/A N/A N/A , Finance Controller N/A N/A 50-75, , Finance Planning & Analysis Manager N/A N/A 50-70, , Group Financial/Business Analyst 30-45, , , , Management/Financial Accountant 25-45, , , , Contact Hudson

24 24 The South Salary Tables The South Commerce & Industry Continued Permanent ( Per Year) Contract/Temporary ( Per Day) Role Part Qualified Newly Qualified Qualified (2-5 years) Qualified (6 years+) Pay Rate Part Qualified & Transactional Finalist 30-40,000 N/A N/A N/A Intermediate 28-35,000 N/A N/A N/A AP/AR/Credit Control/Payroll Manager 35-45,000 N/A N/A N/A AP/AR/Credit Control/Payroll Supervisor 25-35,000 N/A N/A N/A Assistant Accountant 20-30,000 N/A N/A N/A AP/AR/Credit Control/Payroll Clerk 20-26,000 N/A N/A N/A Foundation/Graduate 18-25,000 N/A N/A N/A Taxation Tax Director N/A N/A N/A , Head of Tax N/A N/A 60-75, , Group Tax Manager N/A N/A 60-75, , Tax Manager N/A N/A 50-65, , Tax Accountant N/A N/A 45-55, , Tax Technician N/A N/A 28-40,000 N/A Contact Hudson

25 25 The Midlands & The North Salary Tables Contact Hudson

26 26 The Midlands & The North Salary Tables The Midlands & The North Public Sector & Not for Profit Permanent ( Per Year) Contract/Temporary ( Per Day) Role Part Qualified Newly Qualified Qualified (2-5 years) Qualified (6 years+) Pay Rate Finance Director/CFO N/A N/A 50-80,000 70, Head of Finance/Finance Controller N/A N/A 45-70, , Chief Accountant N/A N/A 40-58, , Finance Planning & Analysis Manager N/A 37-50, , , Finance Manager 28-38, , , , Project/Systems Accountant 28-38, , , , Financial/Business/Commercial Analyst 28-38, , , , Management/Financial Accountant 26-36, , , , Specialist Roles Head of N/A N/A 40-60, , Auditor 25-38, , , , Treasury 25-38, , , , Regulatory/Compliance 25-36, , , , Part Qualified & Transactional Finalist 25-35,000 N/A N/A N/A Intermediate 20-27,000 N/A N/A N/A AP/AR/Credit Control/Payroll Manager 25-45,000 N/A N/A N/A AP/AR/Credit Control/Payroll Supervisor N/A N/A N/A Assistant Accountant/Finance Officer 18-25,000 N/A N/A N/A AP/AR/Credit Control/Payroll Clerk 17-23,000 N/A N/A N/A Foundation/Graduate 18-25,000 N/A N/A N/A Contact Hudson

27 27 The Midlands & The North Salary Tables The Midlands & The North Public Practice Permanent ( Per Year) Contract/Temporary ( Per Day) Role Big 4/Top 20 Small & Medium Firms Pay Rate Audit & Assurance Partner 100, , Director , , Senior Manager 65-75, , Manager 50-60, , Assistant Manager 35-45, , Senior 28-38, , Semi Senior 20-28, , Advisory Services/Corporate Finance/Corporate Recovery/Forensics Partner 100, , Director , , Associate Director 70-80, , Manager 50-60, , Executive 35-40, , Taxation Partner 100, , Director , , Senior Manager 70-80, , Manager 50-60, , Assistant Manager 35-45, , Senior 28-38, , Semi Senior 20-28, , Contact Hudson

28 28 The Midlands & The North Salary Tables The Midlands & The North Commerce & Industry Permanent ( Per Year) Contract/Temporary ( Per Day) Role Part Qualified Newly Qualified Qualified (2-5 years) Qualified (6 years+) Pay Rate Finance Director/CFO N/A N/A 60,000-80,000 75, Head of Finance/Finance Controller N/A N/A 50,000-70,000 65, Finance Planning & Analysis Manager N/A N/A 50,000-65,000 60, Finance Manager 25,000-40,000 32,000-45,000 40,000-60,000 55, Project/Systems Accountant 25,000-40,000 28,000-40,000 35,000-55,000 45, Financial/Business/Commercial Analyst 30,000-40,000 35,000-50,000 40,000-55,000 50, Management/Financial Accountant 25,000-40,000 35,000-50,000 40,000-55,000 50, Internal Audit/Compliance Head of Audit N/A N/A 50,000-70,000 65, Manager N/A N/A 45,000-60,000 55, Auditor 20,000-40,000 35,000 to 45,000 40,000-55,000 50, Corporate/Group Finance Director/CFO N/A N/A 70, , , Finance Controller N/A N/A 45,000-80,000 70, Finance Planning & Analysis Manager N/A N/A 50,000-70,000 60, Group Financial/Business Analyst 30,000-40,000 35,000-50,000 40,000-55,000 50, Management/Financial Accountant 25,000-40,000 35,000-50,000 40,000-55,000 50, Contact Hudson

29 29 The Midlands & The North Salary Tables The Midlands & The North Commerce & Industry Continued Permanent ( Per Year) Contract/Temporary ( Per Day) Role Part Qualified Newly Qualified Qualified (2-5 years) Qualified (6 years+) Pay Rate Part Qualified & Transactional Finalist N/A N/A N/A Intermediate N/A N/A N/A AP/AR/Credit Control/Payroll Manager N/A N/A N/A AP/AR/Credit Control/Payroll Supervisor N/A N/A N/A Assistant Accountant N/A N/A N/A AP/AR/Credit Control/Payroll Clerk N/A N/A N/A Foundation/Graduate N/A N/A N/A Taxation Tax Director N/A N/A N/A Head of Tax N/A N/A Group Tax Manager N/A N/A Tax Manager N/A N/A Tax Accountant N/A N/A Tax Technician N/A N/A Contact Hudson

30 30 London Salary Tables Contact Hudson

31 31 London Salary Tables London Public Sector & Not for Profit Permanent ( Per Year) Contract/Temporary ( Per Day) Role Part Qualified Newly Qualified Qualified (2-5 years) Qualified (6 years+) Pay Rate Finance Director/CFO N/A N/A 50-80,000 70, Head of Finance/Finance Controller N/A N/A 45-70, , Chief Accountant N/A N/A 40-58, , Finance Planning & Analysis Manager N/A 37-50, , , Finance Manager 28-38, , , , Project/Systems Accountant 28-38, , , , Financial/Business/Commercial Analyst 28-38, , , , Management/Financial Accountant 26-36, , , , Specialist Roles Head of N/A N/A 40-60, , Auditor 25-38, , , , Treasury 25-38, , , , Regulatory/Compliance 24-36, , , , Part Qualified & Transactional Finalist 30-38,000 N/A N/A N/A Intermediate 26-34,000 N/A N/A N/A AP/AR/Credit Control/Payroll Manager 26-42,000 N/A N/A N/A AP/AR/Credit Control/Payroll Supervisor 24-35,000 N/A N/A N/A Assistant Accountant/Finance Officer 25-35,000 N/A N/A N/A AP/AR/Credit Control/Payroll Clerk 22-30,000 N/A N/A N/A Foundation/Graduate 18-25,000 N/A N/A N/A Contact Hudson

32 32 London Salary Tables London Public Practice Permanent ( Per Year) Contract/Temporary ( Per Day) Role Big 4/Top 20 Small & Medium Firms Pay Rate Audit & Assurance Partner , ,000 N/A Director , ,000 N/A Senior Manager 65-85, ,000 N/A Manager 54-65, , Assistant Manager 45-52, , Senior 40-45, , Semi Senior 30-40,000 22, Advisory Services/Corporate Finance/Corporate Recovery/Forensics Partner , ,000 N/A Director , ,000 N/A Associate Director 65-80, , Manager 47-60, , Executive 43-48, , Taxation Partner , ,000 N/A Director , ,000 N/A Senior Manager 65-95, , Manager 48-65, , Assistant Manager 40-55, , Senior 36-45, , Semi Senior 25-33, , Contact Hudson