Bonuses set to soar as City jobs increase

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The Independent Online

The Jobs market in the City is booming, with the number of vacancies more than doubling over the past 12 months and growing expectations of a big rise in the next round of annual bonuses, according to a survey.

The Jobs market in the City is booming, with the number of vacancies more than doubling over the past 12 months and growing expectations of a big rise in the next round of annual bonuses, according to a survey.

Morgan McKinley, which specialises in banking and financial services recruitment, estimates that there are about 9,200 job vacancies in the City, up 130 per cent on September last year, and that it takes 59 days to secure a job - 11 days less than a year ago.

City salaries rose 6.8 per cent to an average of £47,483 in September, with the biggest pay rises in the lower and middle sectors of the market. Middle market roles such as financial controllers and junior analysts saw a 9 per cent pay rise to an average of £42,853, while administrative and support salaries experienced a 12 per cent rise on average to £29,296.

At the upper end of the market, base salaries remained more stable, hovering near£70,000, but total pay packages at this level comprise mostly of bonuses. Rising expectations of big bonuses in the forthcoming round has enabled City employers to fill vacancies without necessarily raising base salaries this year, the report said.

Ken Brotherston, the chairman of Morgan McKinley, said, "Over the past couple of months there has been a shortage of candidates available to fill the increasing number of new jobs. Demand for candidates is outstripping supply, putting pressure on employers to increase salaries and to speed up the recruitment process."

There was a sharp upturn in new candidates in April, as City workers went to look for jobs after their annual bonuses had been paid, but also partly reflecting an improving labour market. The flow of people seeking jobs has waned as firms try harder to retain staff.

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