April 2025 - Market Update - Risk and Compliance Professions

Change, Change and more Change...

It's a challenging time for risk and compliance professionals across the board. The relentless pace of regulatory change, mounting commercial pressures, and the cost of compliance are pushing teams to their limits. Stress and fatigue are common themes, not only for teams but also for leaders trying to hold it all together.

Volatility in the macro climate and increased cost pressures are adding to business' woes.

Below, we explore key market trends, candidate sentiment, and our thoughts on motivating and retaining talent in a tight and turbulent market. Whether you're hiring, looking to retain, or simply navigating the risk and compliance market - we're here to support you.

Market Trends and Insights

Increased recruitment activity in the first quarter of 2025, driven predominantly by approaching regulatory deadlines and organisations playing catch up on last year's cost cutting / hiring restrictions.

The demand for specific expertise remains high, particularly in:

• Technology risk (cyber security, information security)

• Compliance management (breach reporting, incident management)

• Operational risk, including resilience (e.g. CPS 230 & 220)

We have seen changes in leadership and senior management teams and these effects are flowing downstream, typically resulting in structural change to the team, revised roles and responsibilities, and a re-focus of priorities.

Candidates are navigating these turbulent times with many having changed jobs over the last 12 months in search of a better deal, and the rest are taking a "wait and see" approach.

Market activity is expected to remain consistent for the next few months, with an uptick likely post-July as new budgets are set and follow-up projects initiated.

Talent Supply/Demand Imbalance:

Senior Manager / Middle Management level ($170K–$220K+): An oversupply of candidates finding it challenging to secure roles. There is a misalignment of expectations with candidates and clients with skillset, remuneration and/or fit.

Sub $120K level: Undersupply – hiring managers are struggling to attract talent and reconciling with lower ROI.

A greater need has emerged for experienced "DOERS" as many teams are stretched and top-heavy.

Discrepancy continues between candidate remuneration expectations and actual delivery quality.

Capability in the spotlight!

Leaders and teams are looking for stability and consistency. This continues to be a challenge as organisations juggle commercial priorities, regulatory demands, higher attrition rates and rising costs of talent. Resilience, focus, and motivation are being tested across the board.

Leaders and candidates are more exposed in the current climate, with many struggling to navigate the chaos. There are more reports of capability shortfalls.

Candidate Sentiment

Across all levels, there's a strong desire for collaboration and recognition. A simple "good job" or "great work" goes a long way.

Amid workplace pressures and instability, candidates report a lack of clear direction and inspiration from leaders—leading to lower morale and increased retention risks.

Many candidates have changed roles recently, but the "honeymoon period" has proven short. There's openness to new roles, though expectations for remuneration remain high.

Reflection Piece for Candidates

These are some thoughts from senior professionals when asked how they navigate through change, uncertainty, chaos and/or a negative environment.

"When I reflect on my career, I have had the most personal development and growth when there has been chaos and change. I focus on the personal growth and development aspects which gives me clarity and focus."
– Experienced Chief Risk Officer

"I won't run away from a role, instead I will run towards an opportunity."
– Senior Candidate

Food for thought

These insights reflect a broader sentiment: rather than fleeing a difficult environment, try to focus on personal growth, clarity, and purpose.

If you have decided that it's time to make a move, be selective and run towards an "opportunity" rather than just another "job". As the sayings go – you don't want to jump from the frying pan into the fire and the grass may not always be greener on the other side.

For Hiring Managers

Are high performers really in the market? High quality candidates are increasingly hard to attract. They will be selective and will look for an "opportunity" i.e. to learn, grow and further their career and/or the opportunity to work with an inspirational leader. Make sure you have a clear pitch for why they should come and work for you and the organisation.

Remuneration is still a key consideration for candidates however, leadership and culture are critical for retention. We have seen many candidates change roles for better pay, only to leave shortly after due to poor cultural fit.

"Teams don't seek certainty... they seek CLARITY"

Replacing top performers is just as costly—if not more—than retaining them. Productivity dips and team morale often suffer when top talent departs.

Hybrid / remote working along with business pressures have seen team comradery, team bonding and collaboration take a hit. This doesn't mean returning to the office is the solution but instead, serves as a reminder to invest in team bonding activities.

Some thoughts when recruiting:

• Have a clear pitch for candidates - why should they choose to work for you?

• Balancing capability, cultural fit and remuneration. Tweak these leavers if you aren't getting the right candidates.

• What are the candidate's drivers?

• When capacity is stretched, consider interim or consultant support to maintain momentum and avoid burnout.

Consider this - a standard vacant role will go un-occupied for 8-10 weeks (i.e. from someone resigning to the next candidate starting). If you get it wrong from a process and expectations perspective, this timeframe could potentially double.

PX Resources is a specialist in governance, risk management, audit and compliance recruitment and executive search. We take an advisory based approach to recruitment and sourcing talent and we work closely with clients and hiring managers to provide "fit for purpose" recruitment solutions.

Contact Us for a confidential discussion.