Insurers tighten belts as recruitment falls 13.8% in a year

Recruitment levels in general insurance have fallen by 13.8% over the past year according to Reed’s job index between February 2011 and February 2012. Over the same period advertised salaries increased by 6.2%.

The recruitment company’s monthly index highlights the diminished appetite for hiring new recruits within the industry, while salaries have improved as employee retention becomes increasingly important.  

Reed’s executive divisional manager Colin Lloyd said: “What we’re tending to find is that compared to twelve months ago there has definitely been a decline in the total number of GI jobs advertised. That’s probably down to the economic climate being as it is and brokers and insurers are looking hard at their recruitment strategies.

“There’s always been a bit of window shopping in the market place, but maybe the quality out there isn’t what companies are looking for. There is a general lack of confidence in the market place. Brokers are looking at their renewal books and saying ‘what’s going to happen to our income this year? Can we put our fees up? What’s going to happen to premiums?’

“Everyone’s getting squeezed. Everyone’s short of money, so companies need to get the best bang for their buck.”

The job index examines trends from over 8,000 UK recruiters, and reports an overall rise in advertised job opportunities and salaries in the UK over the past year.