Bank Recruitment Opens... Scale Reduced and Professional Positions Hired Irregularly Amid 'Hiring Drought' (Comprehensive)

[Asia Economy Reporter Kangwook Cho] The hiring doors of commercial banks, which had been frozen, have begun to open again. Starting with Shinhan and Woori Banks, major commercial banks such as KB Kookmin, Hana, and NH Nonghyup Banks are also expected to finalize their public recruitment schedules soon. However, due to profitability deterioration caused by the COVID-19 pandemic, branch closures, and the expansion of non-face-to-face channels, each bank is reducing the scale of general clerk recruitment to as low as one-fifth, making the hiring drought a reality. On the other hand, as the importance of talent in digital and ICT fields grows, there is a forecast that the transition from general public recruitment to specialized occasional recruitment will accelerate in the future.

Bank Sector Employment Becomes a 'Needle's Eye' Due to COVID-19 Impact

According to the financial sector on the 15th, Shinhan Bank and Woori Bank started their second half recruitment schedules the day before. Shinhan Bank's second half recruitment is for a total of 250 people. This number includes both general entry-level public recruitment and occasional recruitment in digital and ICT fields. Similarly, Woori Bank will hire a total of 200 people combining general, digital, and IT fields.

Last year, Shinhan Bank hired about 1,000 people in total, including entry-level public recruitment and occasional recruitment for experienced positions, with 630 in the first half and 350 in the second half. About half of these were entry-level public recruitment. This year, there was no public recruitment in the first half, and with a total of 250 hires including occasional recruitment in the second half, the scale of general public recruitment is expected to be less than half of last year's.

Woori Bank hired a total of 750 people last year, with 300 in the first half and 450 in the second half. The proportion of entry-level public recruitment among this year's hires has not been finalized. However, since it already conducted occasional recruitment for the first time in the first half of this year and hired 40 specialized personnel, and adding the 25 office support staff recently announced as successful candidates, the scale of entry-level recruitment is expected to be about 130 people. This is about one-fifth of last year's level. Regional banks that have already started recruitment have reduced their hiring scale to less than half compared to last year.

Other major commercial banks such as KB Kookmin, Hana, and NH Nonghyup also plan to proceed with recruitment procedures soon. KB Kookmin Bank is reviewing the number of hires, methods, and timing, and specific plans are expected before Chuseok. However, it is anticipated that the scale will be about half of last year's 500 hires. Hana Bank, which selected about 400 people last year combining regular public recruitment and occasional recruitment, has not yet finalized its recruitment plan. NH Nonghyup Bank, the only one among the top five banks that hired 280 people including public recruitment in the first half, is expected to finalize its second half recruitment schedule as early as this week. The scale is expected to be similar to last year's second half, which was about 190 hires.

Bank clerks are considered one of the preferred jobs among job seekers due to high salaries and excellent welfare benefits. In a situation where corporate recruitment doors have been tightly closed due to the COVID-19 impact this year, the news of public recruitment from these banks is a rare piece of good news for job seekers. However, with the significant reduction in recruitment scale, employment is expected to become a 'needle's eye.'

Impact of Profitability Deterioration Leading to Non-Face-to-Face Activation and Branch Reduction

The decrease in recruitment by commercial banks is related to the activation of non-face-to-face services and branch reduction due to profitability deterioration amid the COVID-19 pandemic. In the first half of this year (as of the end of June), KB Kookmin Bank closed 53 branches and Hana Bank closed 51 branches, and the total number of branches of 17 domestic commercial banks decreased by 146 compared to the same period last year. Along with branch reduction, the reassignment of working personnel means that an equivalent number of new employees will not be hired.

An official from a commercial bank said, "Due to the activation of non-face-to-face services, branch staff are being reassigned, reducing the capacity for new hires."

Growing Preference for Digital and Specialized Talent

Meanwhile, the preference for digital and specialized talent is also increasing. Shinhan Bank established a special recruitment track for digital and ICT master's and doctoral degree holders this year. It also plans to start a customized occasional recruitment process next month to select talent specialized in fields such as investment banking (IB), financial engineering, and digital planning. Woori Bank will hire new employees in three sectors including general recruitment, digital, and IT. The emergence of new internet-only banks such as Naver Financial and Toss Bank is also fueling the demand for digital and IT personnel.

Especially, with the reduced recruitment scale compared to previous years and the focus on attracting ICT talent, there are complaints that it is insufficient to satisfy job seekers hoping for general positions. Riding the wave of untact (contactless) trends and the growing importance of digital talent, big tech and internet banks are also entering the talent competition, resulting in reduced demand for general positions and making ICT personnel highly sought after.

A financial sector official said, "The boundaries between finance and ICT fields have already been blurred, and traditional banks are now focusing on transforming into digital finance," adding, "As the importance of digital and IT talent grows, the shift from public recruitment to occasional recruitment will expand."

This content was produced with the assistance of AI translation services.