Contracting Market Insights H1 2018

Contract hiring has been relatively strong in the last six months of 2017. Even as we were approaching year-end of 2017, we were seeing an upward hiring trend for contractors. Hot hiring areas for contracting within the banking industry remain to be KYC/AML, compliance, risk, finance, and technology.

Cloud computing and mobile app talent were thriving

In software development, areas that contract hires were trending in were cloud computing and mobile application, as companies moved from local to server-based storage systems.

With more businesses appreciating the benefits of data analysis for predictions and forecasts, professionals with good data analysis skillset, as well as strong hands-on experience in SQL, VBA, R and Python, were also in high demand.

Risk and project management contractors were in demand

We have also seen, as banks prepare for new and global regulatory changes, an increase in contract hires in the risk and project management space. As a result of Brexit, banks with a regional processing hub based in Singapore have started on projects to identify potential gaps that they will face when their clients execute trades in different currencies.

For contractors, it has been a relatively buoyant market, even though companies have been more selective in hiring candidates with relevant experience. Most of the contract hires were at the junior- to mid-level, with positions tapering off at the very senior level.

Increased demand for senior contractors in finance and accounting

On the commercial side, however, there has been an increase in demand for contractors, particularly for senior positions such as FP&A Managers and Financial Controllers. Healthcare, media, manufacturing and IT industries are increasing their contract hiring, with FP&A and Big 4 audit professionals being highly sought after.

Contracting outlook for the first half of 2018

As financial institutions continue to look towards a more agile and flexible workforce, we can expect to see more contract hiring into the new year, especially in governance and technology spaces, due to more stringent regulations in place and the need to keep up with change.

Regulatory changes such as MiFID II and FRTB from different countries will inevitably affect banks with an international presence, leading to a continued demand for subject matter experts as well as professionals skilled in business analysis and project management.

On the local front, to aid the financing of SMEs, MAS is making changes to streamline frameworks and implement changes impacting financial institutions. Demand for contract help will be required, either to backfill permanent team members who are assigned to take on projects for a period of time or to help out in urgent projects.

Contracting will continue to grow and evolve in the coming years. In recent times, we are seeing more candidates being open to contract work to remain competitive in the market.

Contracting
Salary Report for H1 2018*

*Notes about salary table:

1. Titles and levels vary from organisation to organisation.

2. The salary ranges given are only approximate guides. For tailored salary advice, please contact us directly.

3. 12-month base salaries are assumed.

4. All other benefits and bonuses are in addition to these figures.

5. Bonus ranges can vary significantly from company to company and will be influenced by market conditions, business and individual performances. Bonus ranges from 1 month at the low end to 100%+ at the upper.

6. Holiday entitlements range from 12–25 days with senior executives not usually receiving less than 18 days. Less than 15 is very rare and 20 days is becoming the norm.

7. Healthcare policies are standard.

8. Pension plans vary with some companies offering greater than the standard contribution. Top up schemes can increase employer contribution levels as much as 15–20% of the base salary for senior executives.