If you’re working for Barclays’ investment bank and are hoping to get out and join Royal Bank of Canada’s (RBC’s) expanding fixed income business, you might want to send your CV directly. RBC has sent an email to recruitment firms informing them that it won’t be paying them any fees for people they present from Barclays.
The email, which eFinancialCareers has seen, was sent in the middle of May, shortly after Barclays’ strategy day, at which it revealed that it will be making nearly 28% of its investment banking staff redundant before the end of 2016. “Following recent reports about the reduction in headcount at Barclays, RBC will not be paying agency fees on Barclays staff who are at risk or who have been let go,” writes a senior in-house recruiter at RBC.
He goes on to say that agency recruiters who have Barclays candidates “in process” need to inform the RBC recruitment team immediately, concluding that: ‘In the spirit of partnership, agencies are encouraged to inform Barclays staff of the need to approach RBC directly”.
RBC has been hiring from Barclays. Telecoms analyst Jonathan Dann joined the bank Canadian bank in May, followed by Tom Millar, head of UK liability driven investors and banks rates sales at Barclays. As we reported in early May – shortly before the email to recruiters was sent, RBC is building its London-based fixed income business and insiders are keen to hear from concerned staff at Barclays.
While Barclays staff who approach RBC directly have nothing to lose from the Canadian bank’s policy, external recruiters are none too pleased about it. “It’s outrageous,” said one. “They’re not paying us and they’re asking us to put people their way in the spirit of companionship.” RBC has particularly punitive terms for recruiters, he alleged. “If someone leaves within a year of us placing them, we have to repay half their fees.”
RBC didn’t return a request for comment.