According to new research by Hays, City workers have seen their bonuses fall, leading to low satisfaction levels, but are remaining loyal to their employers.
Nearly two thirds (62%) of City workers have seen their bonuses drop or did not receive a bonus, according to new research from Hays, the leading recruiting expert. The survey of over 2,400 city workers found a over half (57%) said they would consider leaving their current employer, with 60% of these people considering leaving because their bonus was below expectations.
Geoff Fawcett, Director of Hays Financial Markets, says, “City workers are clearly feeling dissatisfied about their bonus payments. However, the uncertainty around jobs means that on the whole they are being realistic about their options and are taking a more considered approach to a new job search rather than deserting their employers purely because of a low bonus season. Many workers still believe the grass is greener, with over half (55%) believing that their main competitors are offering better bonuses.”
Just under two thirds (69%) stated that they weren’t satisfied with their bonus and the majority weren’t compensated in other ways, such as with an increase in basic salary or share options. Over half (57%) of those surveyed believe that even given current market conditions their total remuneration should be higher. 91% of respondents believe it is positive staff that working in the industry have had to become more accountable for their bonuses and in addition 84% believe bonuses are a powerful tool to encourage high performance..
“Despite their disappointment with this year’s bonus pots, they remain strong advocators of bonuses in terms of the important role they play encouraging strong performance. Staff also appear to have adopted a more responsible attitude towards bonuses and understand the public pressure that companies are under to make sure they are accountable for offering such high rewards. However, the high levels of dissatisfaction should act as a warning to companies – they can’t be complacent or their top talent may well opt for the greener grass when the market turns. If the image of excess in the City is really going to be challenged, benefits packages as a whole need to be reviewed.” adds Fawcett.
About the survey
The findings are based on an online survey of over 2,400 City employees February 2012.
Hays plc (the "Group") is a leading global professional recruiting group. The Group is the expert at recruiting qualified, professional and skilled people worldwide, being the market leader in the UK and Asia Pacific and one of the market leaders in Continental Europe and Latin America. The Group operates across the private and public sectors, dealing in permanent positions, contract roles and temporary assignments.
As at 31 December 2011, the Group employed 7,988 staff operating from 247 offices in 32 countries across 20 specialisms. For the year ended 30 June 2011:
– the Group reported net fees of £672 million and operating profit (pre-exceptional items) of £114 million;
– the Group placed around 60,000 candidates into permanent jobs and around 190,000 people into temporary assignments;
– 31% of Group net fees were generated in Asia Pacific, 33% in Continental Europe & RoW (CERoW) and 36% in the United Kingdom & Ireland;
– the temporary placement business represented 54% of net fees and the permanent placement business represented 46% of net fees
– Hays operates in the following countries: Australia, Austria, Belgium, Brazil, Canada, Colombia, China, Chile, the Czech Republic, Denmark, France, Germany, Hong Kong, Hungary, India, Ireland, Italy, Japan, Luxembourg, Mexico, the Netherlands, New Zealand, Poland, Portugal, Russia, Singapore, Spain, Sweden, Switzerland, UAE, the UK and the USA
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