People in Hong Kong’s financial sector are starting the year with caution, both jobseekers and employers, due to layoffs, stagnant deal-making, and a struggling stock market. The industry has faced numerous challenges, leading to uncertainty and concern among jobseekers. Hong Kong’s financial services sector saw a 3% drop in employment in 2022, and equity markets in Hong Kong and mainland China have been among the worst performers globally.
Major financial institutions like UBS Group and Bank of America have reportedly announced job cuts in Asia, particularly in China and Hong Kong. Hong Kong’s position as the top initial public offering destination has also declined, falling to eighth place last year. Meanwhile, China experienced a significant decline in deal volume for the third consecutive year.
Jobseekers are especially concerned about job security due to redundancies and market uncertainty. However, some companies in Hong Kong are seizing the opportunity to attract top talent by providing more stability. Candidates who were laid off in the past year are actively searching for new opportunities, particularly in financial institutions that offer greater job security.
Certain areas within the sector will be in higher demand than others. Buy-side firms are currently seeking fundraising talent and establishing high-performing investment teams as higher interest rates have encouraged more investment in banks. Client servicing professionals are also in demand as the fundraising landscape remains challenging. The family offices space is another hot jobs area, thanks to efforts by the Hong Kong government to attract wealthy individuals and create demand for yuan products.
Industry experts are cautiously optimistic about the job market’s performance after the Lunar New Year holiday. Although there has been a downward trend in the past 18 months, there is hope for improvement in the second half of the year. However, it is essential to remain realistic about the current circumstances.
Overall, the job market in Hong Kong’s financial sector is proceeding with caution due to layoffs, market challenges, and global economic concerns. Both employers and jobseekers are closely monitoring the situation, hoping for stability and improved hiring conditions in the coming months.
