The traditional banking sector is still in the process of concentration, and mergers between entities in Spain have left the scene with only 12 directly supervised by the European Central Bank (ECB), compared to 62 in 2008.
During these years the banking system has made an enormous effort in personnel adjustments, in part derived from the downward pressure of the banking business as a result of negative interest rates and since last year to the effects of Covid. Despite this, salaries in the banking sector have grown by 3% in 2020, according to the Salary Guide carried out by the HAYS consultancy.
The main reason for this salary increase has been precisely that low profitability of the banks with interest rates, explains the consultancy, since the sector has resorted to promoting more profitable businesses, but also with a more expensive level of hiring, which influences in the mean. The entry of new players in the banking sector, such as fintech, also influences.
Ramon López, Team Manager of the banking sector at HAYS Spain, explains that private banking is the only way to generate profitability in the current context, and therefore there is a great commitment to profiles such as financial advisor, private / personal banker and manager of heritage.
“The market for these profiles is becoming quite inflated, because there is a lot of recruitment of talent from the competition, and this causes salaries to skyrocket,” he adds.
As for the influence of fintech companies, the analysis maintains that their boom, driven by investor appetite that continues to culminate in successful financing rounds in 2021, is consolidating itself, becoming a key hole in the Spanish and international banking scene.
“These types of companies, in addition to technical IT profiles, are hiring many profiles for business development and attracting investors,” says López.
The head specialized in banking points out that “there are also profiles of traditional banking that are being formed in digital environments to enter to work in fintech, either due to forced exits from commercial banking or active employees.”
“These companies have the capacity to pay good salaries for the financing rounds raised this last year and their powerful investors,” he points out.
There are other profiles that are also in high demand, such as recovery managers, risk analysts, M&A associates, restructuring analysts and debt analysts. The reason for your demand is precisely the lack of liquidity or the bankruptcy proceedings that are being carried out due to the economic crisis caused by Covid.
The best paid are the mergers and acquisitions partners in Barcelona, who charge about 187,500 euros, plus 150% in variable, according to the analysis prepared by HAYS. On average, a director of private banking earns 113,000 euros in Madrid, plus another 50% in variable. In Barcelona the salary drops to 103,500 euros, to which is added another 50% in variable.
A restructuring director can get to receive 156,000 euros of fixed salary, plus another 70% in variable.