2023 Pay trends in the Financial Services industry

Employee attraction and retention plague organizations around the globe

Organizations are struggling to fill key roles at every level

Key roles for which employers will be recruiting in the next 12 months

2022 saw the highest salary budget increases in nearly 20 years

Given the fundamental role salary plays in an organization’s ability to attract and retain talent, employers plan to carry this adjustment through to 2023 – yet remain cautious about how and when they allocate the overall budget.

Additionally, organizations leveraged bonus payouts in 2022 and, again, are on track to the same in 2023

25%: Average 2022 projected variable payout for middle managers and professionals.

Organizations around the world have taken or are considering taking the same three actions

Top 3 highest-paid functions across all industries at Professional Level 3 (P3)

Median pay mix for Manager level 3 (M3) in the Data Scientist function

There are a handful of roles that will receive the highest pay premiums across regions

Trends that will drive 2023 rewards decisions

1. Rising interest rates will provide opportunities for retail banking, but challenges will prevail in capital markets and related businesses. With no one-size-fits-all definition of “better” results, organizations will look closely at how rewards are administered.
2. Persistent inflationary pressures will continue fueling employee expectations and perceptions around job security and financial wellbeing, causing organizations to continue their focus on the employee experience and attempt to develop a more resilient, secure workforce.
3. With workplace flexibility not yet fully settled, Financial Services organizations will continue exploring the best way to develop flexible work arrangements and leverage these programs as a differentiator in the war for talent.