Nov 2, 2009
Hundreds of Wall Street executives and professionals filled into the three conference rooms of a midtown Manhattan high-rise with resumes in hands, lining up for an all-day job fair Friday.
They were not there, however, to meet with representatives from Wall Street giants such as Morgan Stanley or Goldman Sachs. Instead, they were on hand to interview with federal government agencies.
The attendance by hundreds of Wall Street professionals at the government job fair reflects a significant change in the financial job market structure: Federal agencies unprecedentedly are luring Wall Street professionals and some money-making talent is leaving Wall Street to be regulators for the "meaningful" work. Instead of considering them part of the problem, government agencies hope Wall Street stars can be part of the solution.
The federal job fair, held by the New York Society of Security Analysts was the second this year for Wall Street professionals.
"Experiencing financial turmoil, federal agencies are obviously more active now in regulation than before, which means they need more people to oversees and regulate Wall Street," Richard Lipstein, a finance services executive from a global recruiting firm and a volunteer job fair organizer, told Xinhua.
"The government is increasingly reaching into the private sector to fill these employment needs because Wall Street professionals have the great understanding of various jobs, firms and banks that the federal is looking for," he said.
Federal government agencies on hand included the Securities and Exchange Commission (SEC), Federal Deposit Insurance Corp. (FDIC),Commodity Future Trading Commission (CFTC), and the Federal Housing Finance Agency (FHFA).
The openings are usually for examiners, financial analysts, forensic accountants, and lawyers. Recruiters said positions are open at all levels, but experienced executives and managers are most often hired.
The job-seekers were not all unemployed. Some were looking for mid-career transitions for a fresh start. Michael, in his 40s, an equity analyst, has been working on Wall Street for almost 20 years. He said he is trying a new move to the next level to do a more "meaningful" job.
"I like my current work," Michael said. "But through 20 years in Wall Street I have seen lots of, I cannot say 'cheatings', but 'games', maybe the word, in the current financial system. Money, it is too easy to make here. Wall Street needs solutions and regulation, and I want to be part of the solution. That is what I mean a meaningful job."
Michael said leaving behind a six-figure salary for government work has little to do with money.
"Compensation is not all I am working for," he said. "I have Wall Street experience, so I can bring something new on the table for the government."
JOB MARKET REBOUNDS, BUT NOT REAL RECOVERY
"The financial job market in general no doubt is getting a rebound since the financial crisis began two years ago," Lipstein said, "Recently we have more clients coming in and pay great rates to find Wall Street professionals."
The structure of Wall Street is changing after the financial crisis. There are fewer financial giants across the street, high-risk derivative markets are shrinking, former Wall Street stars are losing jobs, and smaller start-ups are increasing.
In the states, meanwhile, the jobless rate rose to 9.8 percent in September, reaching a 26-year high. Some economists estimate it would have topped 10 percent if there had been no change in the labor force.
"The overall unemployment still remains high as the economy struggles to create jobs in the early stages of the financial recovery. Wall Street needs at least two years to be close to previous levels before the crisis," Lipstein said.