As early as 2017, before the adventof the COVID 19 pandemicand subsequent recruitment freezes and redundancies, the trade finance industry had been alerted by GTR to the threat of an imminent generation and knowledge gap. Like any industry, including those within trade, the evolution of trade finance is predicated on its ability to seek and develop future professionals by investing in entry-level personnel. Else, it runs the risk of stunted growth and eventual insignificance. Trade finance’s reputation as a ‘mature sector’, stems from the decades-long tenures of its leaders, who specialise and grow organically within their specialisations, reducing the continual need for new hires. Despite the industry’s institutions having known of these concerns and the need to attract young talent, progress remains uncertain.
It has been noted by industry professionals that few banks presently seek recent graduatesin their hiring processes. Often, junior positions in trade finance are advertised as requiring between 3 to 6 years of experience which is incongruent with them being ‘entry-level’. This shuts the door on young professionals exploring their industry options and allows for the formation of a gap in the transfer of knowledge and experience. Others have raised concerns as to a lack of awareness of the trade finance sector, whereby even if opportunities are available, graduates are failing to consider trade finance as a viable career option. It is a common sentiment whereby many people working in the industry today believe they found the sector by accident as opposedto via an intentioned move towards it. Given that much of the industry’s marketing is targeted towards specialised professionals within trade, a lack of general awareness is reasonable. However, it is essential that institutions reach students in school or higher education and make introductions to the career paths the sector presents. Without a strong pipeline of young professionals emerging from universities, the industry is likely to lose out on talent that will find better opportunities elsewhere.
Moreover, the question of whether there are enough jobs to go around in trade finance is divisive. According to some industry leaders, the present is a difficult time to enter trade finance as a result of changes in the industry that have resulted not only in new entrants being shut out but also traditional routes to leadership positions being diverted. This is a consequence of many operations roles being offshored or eliminated via digitalisation. However, this perspective is also contested, as others believe that good opportunities are still present within the industry, limited in accessvia their competitive nature. Many point to fintech companies and those adjacent to the industry as worthy employers, with great demand for skills in modern techniques and principles as well as more generalinnovation and creativity.
A key concern of young candidates in trade finance is being passed on by employers due to their age and what is read as a lack of experience. Those who are willing to effectively ‘raise’a young employee by allowing them the resources and experience required to grow often face the risk of losing them to better paid opportunities. Replacing the poached employee is then a consideration of whether to hire someone with the required experience or to start the trainingprocess from scratch.The fear of investing in young talent, that is easy to lose, denies many newcomers the learning opportunities that seek to effectively build theircareers whilst preventing the transfer of knowledge betweengenerations of trade financiers.
However, given the industry’s current drive to make animpact and modernise, amidst a strong push to digitalise, it is more likely to accept and imbibe a more flexible, energisedand ‘younger’ workforce as opposed to historical ‘maturity’. In an evolvingage, experiences of the past, whilst still valuable, secede to the ability to take on progress as it arrives. This means that the experience of decades is likely most valuable when combined with newer workers bringing in fresh perspectives and ideas to the industry, making the case for opening doors for younger personnel much more robust.
