BFSI Hiring – Trends, In-Demand Roles And Skills In India (And Ways To Attract Top Talent As An Employer)

The Banking, Financial Services, and Insurance (BFSI) sector in India has witnessed sustained growth in recent years. With rising demand for services, BFSI hiring is going into overdrive in the Indian job market. Understanding the BFSI hiring meaning and future implications has become crucial for employers facing a skewed labour market marked by chronic talent gaps. In this article, we explore the BFSI hiring meaning and lessons for employers in India, specially focusing on tactics to attract the best young talent.

The Current State Of BFSI Sector And Hiring In India

One particular statistic best encapsulates the trajectory of the Indian BFSI sector in the last decade – in 2022, more than 80 percent of the Indian population had access to a bank account, compared to just 17 percent in 2009.

Even as the global banking system faces macroeconomic challenges, FY 2023 proved to be a marquee year for Indian banks in terms of annual earnings, with a 42 percent growth year-on-year (YoY). The State Bank of India experienced a massive 83 percent increase in its income YoY.

Hiring trends are also on a steady upswing for most organisations in the BFSI sector in India, according to reports in the Economic Times. Active job volumes in the sector were up 14 percent in Q1 2023, with another 15 percent increase in job opportunities predicted for H2 2023 (YoY).

Another critical factor for the future of BFSI hiring in India is the size of the Fintech market. Driven by a massive up tick in digital payments, India is the third-largest Fintech market in the world. It is also one of the fastest growing, with more than 2000 Fintech businesses.

In-Demand Roles For BFSI Recruitment In India

The demand for talent is spread across three main domains – sales, finance, and technology. Since this is a double-digit growth market, the bulk of the employer demand is in sales-related activities. Consumer engagement, in particular, is witnessing significant demand from BFSI organisations in India.

According to a CIEL HR survey of executives from over 60 BFSI companies, software development is close behind sales as the second most sought after role in the sector. The demand for tech professionals is also rising in several other roles.

Notable tech areas of interest for BFSI recruitment include cybersecurity, data analytics, and digital marketing. Customer experience is a key priority for banks and other service providers. This has further created demand for UI/UX developers, mobile app developers, and AI/ML engineers.

The rise of hybrid roles in BFSI hiring

In the past, there used to be a somewhat clear demarcation between the roles of finance professionals, software developers (and other tech roles), and sales executives. With the evolution of the Fintech scene, new hybrid roles that combine technology expertise with domain knowledge is also emerging.

A key driver of this trend is the chronic shortage of tech talent in the Indian job market. According to NASSCOM, the demand supply gap currently stands at around 21.1 percent of the supply. By 2026, the shortage of qualified tech professionals could widen to 15 lakh from the current figure of 5 lakh.

Employers in India are adapting by resorting to reskilling, which accounted for nearly 70 percent of the digital talent gained in FY 2021. Fintech represents a complex intersection of technology, finance and sales. Here are some examples of hybrid roles in BFSI:

• Digital wealth advisors are investment professionals who can combine financial planning expertise with digital tools with a focus on enhancing client experience.
• InsurTech sales consultants are sales professionals who have expertise in both technology solutions and insurance processes.
• Financial advisors with data analytic skills are also in demand due to their ability to leverage AI and ML technologies to extract critical insights.

Skills that are prized by BFSI recruiters

Apart from technology proficiency, BFSI employers are looking out for candidates equipped with a wide array of soft skills. In a fast evolving market with a considerable first-mover advantage, innovation is a crucial skill for success.

With the rise of advanced AI technologies, disruption on a massive scale is happening with each passing day. Adaptability is a skill that acquires greater significance in these times, particularly since the financial services industry is likely to be heavily affected by AI and automation.

Other major skills that are always in demand, irrespective of the sector, are communication, problem-solving, and critical thinking. According to Indeed surveys, there has been a clear increase in demand for these skills among employers in India in 2023.

How To Attract Talent As A BFSI Employer

Although lay-offs in the IT sector can help BFSI hiring by increasing the supply of tech candidates in the market, you will still face stiff competition for high level talent, particularly in hybrid and niche roles. Here are some important steps to consider if you want to attract top talent to BFSI:

Consider flexible work

Offering employees flexible working options gives them more control over their work life, reduce stress levels, and boost employee engagement. Around 7 in 10 jobseekers in India consider flexible work options as a critical factor, more important than even the salary. Giving your employees the option of even a few days of work-from-home every week can drastically improve your prospects of attracting talent.

Improve employer branding

Toxic workplace culture can shred your reputation to bits and make it much harder to attract top tech talent to your organisation. Consider focusing on improving your employer branding by addressing any workplace issues, and investing in sustainability, diversity and inclusivity.

Address the gender issue

The gender imbalance in BFSI in India is quite shocking, with women accounting for just 18 percent of the total workforce and less than 10 percent of leadership positions. Employers can address this by offering flexible work, ignoring resume gaps, and providing job posts that highlight women-friendly policies.

Facilitate career growth

Upskilling and career growth opportunities are decisive factors for 88 percent of Indian workers, according to surveys. Consider investing in internal training and mentorship programs, upskilling/reskilling opportunities, and highlight the same in your job posts to attract more candidates.