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9 December 2011 | Angeline Albert
Performance-related bonuses are bumping up
the earnings of buyers working in financial services, which pays purchasers more
than other sectors.
The pay packets of procurement staff in the
financial sector has risen by 5 per cent in the last year, while the wages of
buyers in other industries has seen little change, according to figures from
the job candidates database of supply chain recruitment firm Langley Search & Selection.
The number of vacancies in the financial
services sector for procurement staff has leapt by 12 per cent in the past
year. The company said a lack of qualified staff has pushed
up basic salaries and led to bonuses returning for the first time since the
credit crisis began.
The recruiter said annual payments of up to
40 per cent of basic salaries for mid-level staff are now common, and
performance bonuses have also returned. It said mid-level vice-president
procurement staff in financial services now command an average basic salary of
£80,000 per year, up from more than £76,000 this time last year.
For the equivalent seniority purchasing
staff across all sectors, the average wage in 2011 was £63,000. The annual
salaries for procurement directors in financial services often exceeds £150,000
and department heads can sometimes receive bonuses of as much as 100 per cent
of their basic pay.
Performance-related bonuses are offered not
just to get the employees to hit targets such as cost-reduction, but also to
retain their staff members, according to the recruiter.
Managing director Christina Langley, said in a statement: “The past six months of eurozone
turbulence has added a fresh urgency to efforts to reduce costs and this is
leading to a noticeable increase in new procurement jobs in this sector which
is pushing up wages.”