Job security waning in financial industries

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Job security waning in financial industries

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Officials at state-run financial organizations enjoy high job security, but workers at private insurance, securities or credit card companies don’t usually keep their jobs for more than a decade, data by the Financial Supervisory Service showed yesterday.

The report from the FSS’ Data Analysis, Retrieval and Transfer System (DART) showed that no major securities or credit card company in Korea keeps its staff on the payroll for more than 10 years on average.

Bankers were a leading exception, with an average shelf life of 15 years at their respective lender, followed by employees at public financial service agencies (14.3 years). After this came staff at insurance companies (9.5 years), credit card companies (6.6 years) and securities firms (6.1 years).

Among securities firms, employees at Shinhan Investment worked for an average of 9.8 years, followed by Hyundai Securities’ 9.6 years and Daishin Securities’ 9.3 years.

“It makes sense that the working period in securities firms is less than half of that in state-run financial companies, as employees at the former frequently switch their workplaces after getting job offers based on their performances,” said an analyst surnamed Kim.

“It’s normal to think that a person has been in this industry long enough after he or she has spent five years at a company. That’s the nature of the industry. But I guess more jobs seekers who are interested in the financial sector will switch their interest to state-run financial companies when times get tough as they offer a decent salary and are considered jobs for life.”

Meanwhile, employees at E-Trade Financial Corp. were found to have worked just 2.3 years on average, while those at KTB Investments & Securities worked spent fractionally longer on the job.

In the credit card industry, BC Card boasted the longest working years of 9.9, followed by Samsung Card (9.3), Shinhan Card (9).

While employees at some major insurance companies, including Daehan Life Insurance, Hyundai Insurance, Hanwha General Insurance and Samsung Life Insurance, kept their jobs for more than 10 years on average, smaller players meant shorter shelf lives for staff.

Banking emerged as the only private financial sector where staff stayed put for 10 years, apart from public service workers.

Employees at Standard Chartered Korea were found to have worked there for a whopping 17.4 years on average, followed by Korea Exchange Bank (17.2 years), Industrial Bank of Korea (16.2), Woori Bank (16) and Kookmin Bank (15.7).

State-run financial agencies like KRX, Korea Securities Depository and Korea Credit Guarantee Fund retained their golden halos in terms of average working time as the median number of years worked at these bodies stood at 14.

Officials at KRX kept their jobs for 16.5 years on average, giving the company the best record among state-run financial agencies.

By Kim Mi-ju [mijukim@joongang.co.kr]

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