1/2 Year Luxembourg Market Report form KR recruitment

Luxembourg Market Update: ½ Year Market Report – July 2014

 

We have arrived at the half way point of 2014.  The wider global economy is growing steadily and this is reflected in the activity in Luxembourg.

 

The market has definitely improved on last year, with most businesses beginning to grow again after a period of the re-structure during the crisis.

 

It is clear that the general mood in the market is more upbeat with client companies prepared to re-invest and create new roles. Candidates also have the confidence to move jobs now.  We see no reason why this positive activity should not continue through the rest of 2014

 

 

KR Recruitment - Key Trends of Q1 & Q2 2014

• We are returning to a market conditions similar to the dynamics experienced pre-crisis .  The strongest candidates are receiving multiple offers, which is driving up salaries again.  Also, due to this competition for talent in the market place it is the companies who can create a quick recruitment process who are winning the race most often. We have seen a large number of offers turned down due to competitor groups moving more quickly – speed is essential! 
• Year to date (YTD) KR Recruitment has seen a growth of c10% year on year (YOY) in revenue.  This is also reflected in the number of placements made, with c10% growth YOY. 
• The average fee is slightly up, c3 to 4% YOY, showing that salaries are on the rise again
• KR Recruitment continues to see a good mix of mid-level roles €45-60K, and the more senior roles €80K-120K.  We have seen a trend upward on the average fee, showing that there are more senior roles being placed on the market.  This is a good sign for the Luxembourg as we shift upward in terms of “skilled” employment
• KR Recruitment has seen a good spread of placements across Financial Services / Banking / Private Banking / Trust / Commerce & Industry / Insurance – all sectors seem to be improving.  There is also a good mix of roles across Tax / Treasury / Accounting / Legal / Operations / Sales
• The Trust market (and excellent barometer of new entrants to the Luxembourg market) is growing very strongly again.  All the major players are experiencing strong growth which shows the overall market is growing
• Confidence has been fully restored with Clients (job creation) and Candidates (prepared to move) – and so the market was very dynamic and moving toward pre crisis activity

 

KR Recruitment – Outlook for Q2 2014

• We would hope that the market continues along it’s steady recovery and envisage a YOY growth mirroring the 1^st half of the year – c10% growth
• New multinational groups continue to enter the market and set up footprints in Luxembourg, this is positive news for the wider economy
• It is becoming increasingly clear that some skills are not readily available in Luxembourg and we need to head hunt skills form other major European capitals.  This trend will continue to increase in the coming year, especially as some of the Shared Service Centres require skills not normally found in Luxembourg
• The pipeline of new roles and activity for the coming 2 months looks solid (even over the summer months, which are traditionally a slow period)

 

KR Recruitment – Examples of roles successfully placed during the first ½ of 2014

• Head of Internal Audit - €130K (Head Hunt)
• Marketing Manager x2 - €70K (Head Hunt)
• Head of Tax EMEA - €130K
• Finance Analyst  - €70K (Exclusive)
• Finance Manager €90K (Exclusive)
• Senior Real Estate Accountant (x4 Exclusive) - €50 to 60K
• Transfer Pricing Manager - €120K (Head Hunt)
• Corporate Secretary / Corporate Admin – €60K to €80K (Various)
• Senior Lawyer - €120K
• Junior Lawyer - €60K
• Financial Controller - €90K
• Purchasing Manager - €80K (Head Hunt)
• Senior Accountants (various Holding / PE / RE) - €45  to €65K
• Senior Accountants (IFRS / US GAAP experts) - €45K - €65K
• Head of Legal - €180K (Head Hunt)
• Head of Commodity Trading - €150K (Head Hunt)
• Etc…………