"In the past, people were hired right out of undergraduate or graduate school, and then they entered a formal bank-training program," said Roseann Casiere, senior executive recruiter at P.S. White Associates Inc., a Saddle Brook-based finance and banking search firm. "To deepen our leadership pool, we recently launched the 'Build for the Future Pipeline' Academy for the next group of leaders," said Sue Cummings, executive vice president, human resources at TD Bank's Mount Laurel office.
sPOtLiGHt: BankinG & FinanCE Retirements may hurt banks that cut training in slumping economy By Martin C. Daks ThinkStock Photos The slow economy has spurred some banks to trim or even scrap their training pro- grams in favor of raiding experienced execu- tives from competitors, according to some industry recruiters. It may be good business for head hunters, but there’s also some long-term concern about what will happen when these mainly middle- aged execs retire and there’s no younger base to replace them. “In the past, people were hired right out of undergraduate or graduate school, and then they entered a formal bank-training pro- gram,” said Roseann Casiere, senior executive recruiter at P.S. White Associates Inc., a sad- dle Brook-based finance and banking search firm. “The programs were aimed at grooming the best and the brightest to rise through the executive ranks. “But as the banking and financial envi- In the slow economy, many banks did away with formal ronment changed, many institutions cut back employee training to save on costs, instead hiring more or abandoned the programs, and instead experienced employees. But as these employees retire focused on simply hiring people who already in a few years, banks worry there will be a much shorter had well-rounded experience.” pipeline of qualified workers to replace them. Part of the reason was cost cutting, and part of it involved a desire to get experienced can get exposed to all of the bank’s operations. people who could “hit the ground running” It’s just done on an informal basis now.” and quickly respond to the rapidly changing A decade-long “tailwind” that propelled WE DO THEM LOCALLY. finance environment, casiere said. the general economy meant banks didn’t have Are you waiting for someone in another state or time zone to get “But it was also driven by a concern to worry about training the next generation of that after sinking a lot of money into train- leaders, said Alan J. Kaplan, ceo of Kaplan & back to you? Is your bank’s loan center processing applications ing someone, the person would just jump to Associates Inc., a Philadelphia-based execu- from 50 states? Unlike nationwide banks, The Provident Bank another bank,” she added. “But sooner or later, tive search firm that works with banks in new focuses on helping local businesses. We process all loan the current ranks of executives will be retiring Jersey and elsewhere. applications right here in New Jersey – for a quicker decision. — and you’ve got to have people available to “In today’s turbulent times, some banks replace them.” are feeling the leadership pinch,” he said. Our commercial bankers are here, our loan center is here and casiere calls it a “cyclical development,” “many of them have been looking outside for most imp
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