Thousands Of New Bankers!

The economy is growing and, as a result, banking is also continuing to expand steadily. New plans and an increase in business volumes in everything from loans, to retail banking, credit cards and foreign trade transactions is producing an increase in the number of people working in banks. 4,000 people joined the sector in the period from 2002-2004. This number is expected to rise rapidly in the future.

According to data from the Banks’ Association of Turkey (TBB), at the end of 2004 a total of 127,163 people were employed in the sector as a whole. This figure had reached 170,401 at the end of 2000. That is to say that, as with other fields, there had been a significant contraction in banking in terms of human resources.

Of course, the closure of some banks had an impact on the number of people leaving the sector. According to the same figures, in 2000 a total of 46,637 people were working in the banks which were later closed. In addition, in parallel to a contraction in the market in 2001 and 2002 in particular, the cost-cutting measures that were taken resulted in a significant level of layoffs. This produced a decline of approximately 50,000 people in the sector’s workforce.

But in 2003 it became easier for everyone to see into the future. At first people were cautious and made investments using their own resources before in 2004 they started to work with banks instead. This situation prompted banks to begin to review their strategies.

The recovery from the effects of the crisis and the significant improvement in the economy meant that banks began to become more aggressive in marketing. They increased the number of their branches and began to expand the size of their workforce. As a result, the total number of the workforce, which had fallen to 123,000 at the end of 2002, rose to 127,00.

The increase in foreign interest in the sector and the banks’ growth plans mean that considerable movement is expected in the sector, particularly in 2005.

The largest workforce is at Ziraat

According to figures from the TBB, at the end of 2004 a total of 76,880 personnel were employed in privately-owned banks and another 39,467 in state-owned banks. The same data showed that there were 403 people working at Bayındırbank, which is being administered by the Savings Deposit Insurance Fund (SDIF), 5,880 in foreign-owned banks, and a further 4,533 personnel in non-deposit banks.

When we analyze banks from the perspective of the number of their employees, it is clear why the state-owned banks have been criticized in this regard for so many years. In terms of the number of personnel, Ziraat is the sector leader. At the end of 2004, the bank had 21,172 employees, while İş Bankası ranked second with a total of 16,055 employees. These two banks were followed by Halk Bankası with 11,145 employees, Yapı Kredi with 10,537 and Akbank with 10,423.

Garanti Bankası, which has been attracting interest from foreign banks, employed 9,128 personnel.

HSBC is the leader amongst foreign-owned banks with 3,652 employees, followed by Citibank with 1,351 personnel. At the moment, the banks are undergoing a period of extensive preparation. For this reason, there are plans for a significant increase in the workforce.

The main reason for this is the boom on the markets in 2004, the fall in interest rates and the fact that, as a result, retail banking has become more important. Because this means that banks increase the number of their branches. The result is an inevitable increase in their payrolls. Indeed, since the beginning of the year banks have expanded their payrolls to a significant degree.

The greatest need is in branches

When we look at the new employment fields in banks, we see that the greatest demand is in positions which provide direct services. That is to say, we see departments which employ the highest number of personnel such as sales and operations teams and call centers.

Anadolubank Assistant General Manager İsmet Demir says that they will take on new personnel in marketing in particular. Citygroup Assistant General Manager Levent Ergin says that recruitment will be most intense in sales staff. He adds that they will also continue to recruit for head office positions. “At the same time, in order to share experience, and in accordance with needs and the abilities of the personnel concerned, we shall offer our workforce the chance to work in other countries in which the bank is active. For example, over 100 of the Citigroup’s Turkish personnel are currently working abroad,” says Ergin.

Garanti Bankası Human Resources Manager Murat Akgün says that in 2005 they will give importance to categories such as assistant auditor, management trainee and sales trainee. In addition, he adds that they will also recruit for the bank’s basic entry positions such as assistant counter personnel and call center customer representatives. Akgün says that the growth in the branch workforce will mean that they will continue to recruit new graduates and experienced personnel for positions which are required by sales and customer relations.

Denizbank Human Resources and Training Group Manager Mehveş Demir explains that, in terms of recruitment, the emphasis will be on sales personnel, portfolio managers and the auditing department.

HR SUPPORT INCREASES MARKET SHARE

ECONOMIC DEVELOPMENTS HAVE AN IMPACT The positive developments in the Turkish economy, the fact that we had a good year and hopeful expectations as regards 2005 all have an impact on the banking sector.

An increase in economic activity also increases activity in our sector. When banks focus on services and activities they began to feel the need for a large, qualified workforce even more. In order to overcome the shortcomings of the sector, banks need to go on the offensive.

PERSONAL DEVELOPMENT IS IMPORTANT The personal development of employees in the banking sector is becoming increasingly important. We see that in 2005 there has been an increase in the budgets allocated for the training and development of personnel. The new legal amendments related to banking and banks’ needs, as a result of the  legislative changes, for experienced, knowledgeable human resources in auditing, financial analysis, budgeting and inspection mean that recruiting will continue.

8 bank’s recruitment plans

TEB 375
MNG Bank* 30
Citigroup* 172
Finansbank* 300
Garanti Bankası 1200
Dışbank 800
Denizbank 500
Anadolubank* 90

*The number of new personnel employed by the banks so far this year. They have not disclosed their targets for year-end.

BELGİN BAYIR LEVENT
blevent@capital.com.tr