The millennial generation, often described as impatient, restless, and entitled, is making a splash in the banking industry. This generation is the most significant force changing the face of banking.

This shift is a result of the unique mindset millennials bring to the table. They are not afraid of failure, value honesty, and seek purposeful work that benefits both their clients and society at large.

The impact of millennials in the workplace is particularly noticeable in the banking sector. According to Morgan Stanley research,

millennials are the largest driver of net new loan demand and will continue to be for the next eight years. They are also influencing a change in organizational culture, which is, according to the survey, equally as influential as technological changes and other disruptive forces in the industry.

The Millennial Challenge

While the positive influence of millennials is apparent, the struggle to attract and retain this new generation of talent is real. Competition for young talent among banks, private equity firms, and tech companies is intense. Banks are continually striving to understand and accommodate the needs of millennial employees to keep them engaged and committed.

This generation’s tendency towards impatience is also contributing to a high turnover rate at the junior level. Many millennials, in search of novel opportunities, are venturing towards entrepreneurial FinTech start-ups or boutique private equity firms. As a result, banks are left fighting a “war for talent” at a junior level, a war where the millennials often “interview the bank and not the other way around.”

Retaining Millennial Talent: A Multi-Pronged Approach

In response to these challenges, many banks are adopting a variety of strategies to keep high-value, high-potential millennials engaged and loyal:

• Open Dialogue: Banks are creating forums where junior employees can engage in direct conversation with senior management. This platform allows for transparency and gives millennials a voice within the organization.
• Education and Mentoring: Banks are investing in graduate training and mentoring programs. These initiatives foster personal growth and professional development, which are highly valued by the millennial workforce.
• Rotational Opportunities: Offering rotations both within practice groups and geographically allows millennials to gain a broader perspective of the organization and the industry. This exposure fuels their curiosity and desire for varied experiences.

In addition to these strategies, some banks are leveraging technology to minimize menial tasks and provide younger staff with more challenging and engaging roles.

The Anderson Search Group: Your Partner in Talent Acquisition

At The Anderson Search Group, we understand the unique challenges facing banks. Our in-depth industry knowledge enables us to align our clients’ strategic imperatives with the talent they need to attract and retain.

We build strong relationships with our clients to understand their specific business goals and cultural dynamics. This allows us to identify and engage the best industry or cross-industry talent effectively. Our connections throughout the industry allow for the seamless execution of searches, assessments, and appointments.

To learn more about how The Anderson Search Group can assist your organization in navigating the millennial talent wave, please get in touch.