The last few years have been filled with staffing challenges for many industries, and the financial services industry is no exception. Nevertheless, maintaining adequate staffing levels is crucial for financial institutions, especially in areas subject to high regulatory scrutiny, such as Bank Secrecy Act /Anti-Money Laundering (BSA/AML) and fraud functions.
A comprehensive staffing assessment, which evaluates human resource needs for the bank or credit union, is an effective way to strengthen your financial institution's culture of compliance. It demonstrates a commitment to adequate compliance resources using data-driven evidence.
Financial institutions still face staffing challenges
Financial institutions continue to grapple with the effects of remote work trends and increasing digital usage. Employee turnover remains a significant concern for the financial sector, with many companies offering remote work options that create increased competition in the industry.
Crowe’s most recent Bank Compensation and Benefits Survey found that banks saw a sharp rise in talent turnover for nonofficer employees in 2022, even as talent remained stable at the officer level. “The turnover rate for nonofficers reached its highest levels since 2019, increasing from 16.2% in 2021 to 23.4% in 2022,” the firm said. “This trend occurred despite the average salary for these positions increasing by 5% in 2022.”
Considering the impact of these ongoing workforce changes, financial institutions must analyze their current staffing levels and anticipate the associated risks of potential employee departures.