Banks Facing Staff That Don’t Want To Move

London employees will need some persuasion to relocate

                                                       By: Tony Coe

Tony.Coe@saunders1865.com

Employees move in londonLondon banks that are reportedly looking to move shed loads of employees out of London are apparently expecting their Brexit bills to top $500 million according to media sources.

Well, my relocation firm moves a lot of top bankers internationally and that sounds like fake news to me!  Methinks those “sources” may have an agenda!

Costs are climbing partly because banks are finding it more difficult than anticipated to persuade reluctant Londoners to move abroad.  Banks, therefore, anticipate a shortage of experienced bankers in EU cities like Dublin, Paris and Frankfurt.

“There’s no doubt that the costs are significantly bigger than the banks originally expected,” said Jon Terry, a partner at PricewaterhouseCoopers LLP. “There aren’t enough qualified people in local EU markets to meet the needs of the banks, so they are going to have to rely on moving more expensive staff from elsewhere. And a lot of those people don’t want to move.”

What we’re hearing from Saunders 1865 clients is that they expect the bulk of their staff to remain in London but they are moving a few people to EU locations in case the Brexit negotiations don’t work out the passporting issue on favourable enough terms.  I think the fake news is largely calculated to put pressure on the UK government to negotiate a sweetheart deal with the EU or perhaps forget Brexiting all together!

London is a fabulous place to live so it’s little wonder that people are reluctant to move out.  A daily reality for my international relocation team is persuading people on our clients’ behalf that the international move could well enhance their lives.  We show them the positive aspects of living in the destination city.

And it’s also important for banks to provide first class, VIP-level relocation support to make the transition as smooth and easy as possible for the people they are asking to move.

In a testament to its enduring popularity among bankers, London retained its crown as the world’s top financial centre in a ranking that surveys industry professionals, extending its lead over New York and Hong Kong despite Brexit.  Frankfurt finished in 11th place, Paris a distant 26th and Dublin 30th in the latest Global Financial Centres Index published by Z/Yen and the China Development Institute.

“We’re talking about people,” Andrea Orcel, the chief executive officer of UBS Group AG’s investment bank, said in a Bloomberg TV interview.  “Depending on the location, a lot of people may either not move, move to another bank that has chosen a better location or leave the industry.”

But there’s no doubt that Banks must move some key talent into the EU zone in preparation for an adverse Brexit

If you are a business relocating employees internationally, be sure to talk to us. 

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