Matthias Schulthess: «Banker Salaries Will Come Down»

Swiss banking's job prospects, security and pay have changed dramatically in recent years as Switzerland redefines its financial center. Headhunter Matthias Schulthess tells finews.ch-TV what bankers have to brace for.

For bankers and young professionals, financial services has become far more complex and technology-driven since the financial crisis, Matthias Schulthess, partner and co-founder of recruiting firm SchulthessZimmermann told finews.ch-TV.

For bankers, better educational qualifications are required, and life-long learning has become commonplace. Even equipped with an excellent degree as «starting capital,» bankers no longer have a guarantee of good career progress, Schulthess says. 

But banks are also hiring again, after four years of slashing costs and transforming. The rise of digitization means that technical knowledge is a must for top executives, Schulthess says. 

The other side of the coin is that banking has become a more intellectually demanding sector. Specialists are highly sought after, and paid accordingly, he says, and expats are still welcomed in Switzerland. 

«There’s more competition for talent and the reputation of banking has probably been challenged as well during the financial crisis, but I still think banking is continuing to attract some of the best talent from universities,» Schulthess said in an interview.

Pay Scales

Bankers, who have been complaining for years about salaries falling since the financial crisis, won't get much relief anytime soon, according to Schulthess.

«There are areas in banking where compensation will have to come further down for various reasons: costs have gone up and margins are lower. Obviously personnel expenses are a very relevant cost position,» he says.

That is not true across the board: bankers in highly desirable areas like digital specialists or those at an interface with clients can still command healthy pay.

«Also at a senior management and in Switzerland at a board level, compensations are still very, very attractive in an international context and haven’t come down.»

Click here to watch the full interview with Swiss banking headhunter Matthias Schulthess of SchulthessZimmermann.