JERSEY CITY, N.J.--(BUSINESS WIRE)--A new report from the Global Association of Risk Professionals (GARP) shows a majority of Asia-Pacific risk managers are optimistic about the profession’s outlook, with COVID-19 and economic uncertainty amplifying the need for strong organizational risk management.
In 2019, prior to the pandemic, Asia-Pacific risk managers reported the lowest percentage of bonuses or commissions among all surveyed regions, which included the Americas and EMEA, as well as the highest percentage of professionals earning less than USD 100,000.
However, the report — comprised of responses from more than 800 APAC members of GARP’s risk community and 2,100 risk professionals overall — revealed that nearly 72% of Asia-Pacific risk managers reported an increase in salary over the past year with 36% saying they received pay raises of 6% or more, compared with 29% of their peers in EMEA and 21% in Americas. Furthermore, 18% of APAC respondents indicated pay raises of anywhere from 11% to more than 50%.
Eighty-two percent of APAC respondents would recommend risk management as a profession. Of these, 49% are “very likely” to recommend it, exceeding responses of 43% for those based in the Americas. Respondents from EMEA were the most likely to recommend risk management as a career (53%).
"We’re living in a time of rapid change, with risks to companies growing because of increasing international linkages, the use of technology, and the emergence of new risks related to climate change, cyber, and financial crime,” said Richard Apostolik, president and CEO of GARP. “Professional risk managers have become indispensable in assisting financial institutions of all sizes around the world in meeting their strategic and business objectives.”
A greater need for risk management has left some organizations understaffed. Throughout the pandemic, workloads either “increased significantly” or “increased slightly” for 71% of all global respondents, with COVID-19, regulation, and new technology as the top factors driving this increase. In addition, 54% of global hiring managers reported feeling as if their risk department was insufficiently resourced for the demands being placed on it.
However, around 66% of APAC professionals anticipate their organization’s risk management department to expand their staff in the coming year, compared with around 50% of EMEA respondents and 42% of respondents in the Americas.
“Despite higher workloads and other challenges, Asia-Pacific risk professionals will likely be in a better place after the pandemic than they were before it,” said Louise Holden, vice president of GARP Membership and Chapters. “The outlook in this report reveals a bright future.”
To learn more about the state of risk management careers and insights into future opportunities, read the GARP Risk Careers Survey: Executive Summary. Individual Members can access the full survey in their Member Portal.
About the Global Association of Risk Professionals
The Global Association of Risk Professionals is a non-partisan, not-for-profit membership organization focused on elevating the practice of risk management. GARP offers role-based risk certification — the Financial Risk Manager (FRM®) and Energy Risk Professional (ERP®) — as well as the Sustainability and Climate Risk (SCR®) Certificate and on-going educational opportunities through Continuing Professional Development. Through the GARP Benchmarking Initiative and GARP Risk Institute, GARP sponsors research in risk management and promotes collaboration among practitioners, academics, and regulators.
Founded in 1996, governed by a Board of Trustees, GARP is headquartered in Jersey City, N.J., with offices in London, Washington, D.C., Beijing, and Hong Kong. Find more information on garp.org or follow GARP on LinkedIn, Facebook, and Twitter.