Banks lay off IT staff as big tech projects get the chop

Tech jobs in the financial services sector are being hit by the credit crunch, with many companies cancelling or postponing large-scale IT change programs.

silicon.com Financial Services

Get the latest financial services news straight to your inbox. Sign up for the FS newsletter today!

The latest quarterly report by executive recruitment company Heidrick & Struggles found a number of major investment banks have reduced IT staff, with cuts ranging from five to 20 per cent and spread around the globe.

But there is still demand for IT expertise elsewhere in the financial services sector.

The report states: "We are seeing asset management and the hedge fund space continuing to be active in hiring senior IT staff, with an emerging trend for high quality change/PMO types to drive major change initiatives across these businesses."

Asia and Europe are also seeing continued investment in technology-based trading platforms and electronic exchanges.

The report said: "This has resulted in a continuing fight for the best technology talent in this niche."

The fourth quarter of 2007 also saw some major CIO moves and hires in financial services.

At investment bank UBS Global Asset Management Richard Thwaite moved up to global CTO, and at ING Steve Van Wyk became group CIO. Another CIO appointment was Chris Perretta, who left GE Commercial Finance to join State Street.