Out of every crisis comes an opportunity and, in the case of the interest rate swap mis-selling scandal that has cost a number of banks £626m and counting, this is some rather lucrative contract jobs paying up to £900 a day.
Banks including Barclays, HSBC, RBS and, particularly, Lloyds are hiring contractors to deal with small and medium enterprises (SMEs) mis-sold interest rate swaps products by their investment banking arms, according to a report in the Telegraph.
Setting up fire-fighting teams is nothing new – after the PPI mis-selling scandal, banks created call centre teams to deal with complaints. Lloyds now also employs 1,000 people to handle false cases from claims management companies.
In Ireland, with banks swimming in underwater commercial and residential property loans, huge teams of loan workout specialists have been employed often on lucrative rates, while those working for the National Asset Management Agency (NAMA) – the government entity acquiring, and winding down, property assets – are paid an average of €125k a year.
The interest rate swaps roles, meanwhile, are a little more sophisticated and at the top end can pay £230k a year. For a start, you’re usually employed by an investment bank, which require an in-depth knowledge of the products and an understanding of SME lending requirements.
Job titles include “remediation relationship sales managers” or “client relationship manager”, and pay varies between £550 a day and £900, depending on seniority.
The Telegraph article cites Aston Carter as the recruitment agency to get in touch with, but suffice to say it’s not the only one working on these roles. A thick skin is a must – every vacancy says potential candidates need to conduct “challenging” client meetings. In other words, dealing with irate SMEs and their legal representatives.
These roles are also strategic, and you’ll be expected to develop a framework for “redress” and how much is likely to be needed down the line. Getting this sort of change management and business reengineering experience in the current climate is invaluable.
“It’s like most new roles; there’s a definite skills shortage currently, but we’d expect a more plentiful supply of candidates as these roles become more common,” says one recruiter working on these positions.