In this week's Week in Review: Unemployment rates have increased for some nations more than others; financial institutions are struggling to attract and retain CEOs and other top employees; employer confidence in Australia's IT sector shows signs of improvement; and the unemployed are willing to take jobs and move temporarily in search of employment.
1. Underworked: Where Unemployment Has Hit the Hardest (Economist)
The latest unemployment rates around the world show that Spain and Russia top the list at 18.1% and 10.2% unemployment, respectively. In Spain, the unemployment rate has jumped more than 8% in the last 12 months, while in Russia, it has increased by more than 4%. Germany, where it is costly to fire employees, has seen the smallest increase in unemployment in the past year.
2. Financials Post Sign of Times: CEO Wanted (Wall Street Journal)
According to a study completed by Booz & Co., 18% of the world's largest financial services firms lost their CEO in 2008. The credit crisis, cuts in executive compensation, and government scrutiny over the industry has made it more difficult for these financial firms to find and attract experienced CEO-level candidates. Many are also leery of hiring CEOs that have previously been responsible for a troubled financial institution, which not only complicates the executive search process but also makes it difficult for these experienced CEOs to secure a job.
3. Brain Drain Takes a Toll at Citi and BofA (CNN Money)
Financial institutions are not only struggling to find C-suite executives (as mentioned in the article above), but large, troubled U.S. firms are also finding it difficult to attract and retain top employees. Institutions that have received aid from the U.S. government are experiencing a "brain-drain"-top traders and bankers are leaving these firms to join competitor firms as compensation restrictions are instituted, and the opportunities and cultures of companies change. Boutique firms and major European banks, however, are benefiting from this environment as they poach top talent from these struggling institutions.
4. Growing Employer Confidence Visible in IT Sector (Computer World Australia)
According to a report from Hudson (a recruitment firm), employer confidence in Australia's IT sector has increased for the first time since March 2008. Twelve percent of employers also expect to increase permanent employee levels in the next quarter. However, these trends imply a stabilization of employer confidence, rather than the upward trend of hiring. Overall, recruitment firms remark that although not a substantial amount of hiring is taking place, "key hires are being made based on some growth in the market."
5. Unemployed Hit the Road to Find Jobs (The Wall Street Journal)
In the U.S., a trend called "partial mobility"-when the unemployed are willing to move away from their families, even temporarily, to wherever they can find a job-is becoming increasingly popular as unemployment hits 9.4%. Whereas this trend often benefits recruiting by having workers go where the work is, families across the country are shouldering the stress of these arrangements.
Posts
