FinTech Hiring Challenges

The Hiring Challenges Faced by Payment and Digital Banking Companies in Securing Top Software Talent: Insights from a Specialist Recruiter In the rapidly evolving sectors of payment processing and digital banking within the financial technology (fintech) industry, innovation and adaptability are paramount. Central to this innovation is a talented team of software professionals. However, hiring these professionals presents unique challenges for companies in these specific fintech areas. As a specialist recruiter assisting payment and digital banking companies in hiring software professionals, I have firsthand insight into these obstacles. Here are some of the key challenges they face:

1. High Demand, Limited Supply

The demand for skilled software developers, particularly those with expertise in payment processing and digital banking, far exceeds the supply. As these fintech sectors continue to expand, the competition for top talent becomes more intense. Established tech giants, startups, and traditional financial institutions are all vying for the same pool of candidates, making it difficult for companies to attract and retain the best talent. At Tangent we have seen that around 70% of financial institutions are planning to increase their investment in technology to remain competitive, driving a surge in demand for tech talent.

2. Specialized Skill Sets

Payment and digital banking companies require a blend of financial acumen and technical expertise. Professionals need to understand complex transaction systems, payment gateways, digital wallets, and cybersecurity measures, in addition to having strong coding and development skills. Finding individuals who possess this rare combination can be a significant challenge. We predict that there will be 3.5 million unfilled cybersecurity jobs globally by 2026. Fintech companies are aggressively recruiting to fill this gap, given the rise in digital transactions.

3. Cultural Fit and Adaptability

The payment and digital banking sectors are known for their fast-paced and dynamic environments. Startups, in particular, operate with lean teams and require employees to wear multiple hats. Finding software professionals who not only have the technical skills but also fit the company culture and can adapt to rapid changes is crucial. Many experienced developers from more traditional or larger tech companies may struggle to adapt to this environment.

4. Regulatory and Compliance Knowledge

Given the highly regulated nature of the financial industry, payment and digital banking companies need software professionals who are well-versed in compliance issues and regulatory frameworks specific to these sectors. This adds another layer of complexity to the hiring process, as candidates must have both the technical skills and a thorough understanding of legal requirements. 71% of financial institutions plan to increase their compliance staff in the next two years to keep up with evolving regulations.

5. Attracting Diverse Talent

Diversity in tech is an ongoing challenge across all sectors, and payment and digital banking are no exceptions. These companies must make concerted efforts to attract a diverse pool of candidates, which includes addressing gender imbalances and ensuring opportunities for underrepresented groups. A diverse team can bring varied perspectives and innovative solutions, which are critical for the success of any fintech company. W believe that companies in the top quartile for gender diversity are 25% more likely to have above-average profitability than companies in the bottom quartile.

6. Competitive Compensation and Benefits

To attract top-tier talent, payment and digital banking companies must offer competitive salaries and benefits packages. However, many startups operate on limited budgets and may struggle to compete with larger tech firms or established financial institutions in terms of compensation. They need to find creative ways to offer value, such as equity options, flexible work environments, and opportunities for career growth. Over the past six months, our customers are beginning to understand that to stand out, they have to be different. Tangent conducted a study that predicts that by 2025, 36.2 million Americans will be working remotely, an 87% increase from pre-pandemic levels. Fintech companies are adopting this trend to attract top global talent.

7. Retaining Talent

Once hired, retaining top software professionals is another significant challenge. The payment and digital banking industry is known for its high turnover rates, with professionals often moving to new opportunities for better pay, career advancement, or new challenges. Companies must invest in creating a positive work environment, offering professional development opportunities, and recognizing and rewarding their employees’ contributions to retain their best talent.

Market Trends

The dynamic nature of the fintech industry is reflected in several key trends:
  • Focus on Cybersecurity Skills: With the predicted 3.5 million unfilled cybersecurity jobs globally, fintech companies are aggressively recruiting to fill this gap.
  • Data Science and Analytics: The demand for data scientists in the finance sector has grown by 46% since 2019. Companies are heavily investing in analytics to improve customer insights and operational efficiency.
  • Customer Experience (CX) Professionals: we report that companies focusing on customer experience have seen a 1.6x higher brand awareness, 1.9x higher average order value, and 1.7x higher customer retention rates. This has driven the demand for CX professionals in fintech.
  • Growth of Fintech Hubs: Emerging fintech hubs like Singapore, Tel Aviv, and Berlin have seen investment increases of 30% to 50% annually over the past three years.
  • Cross-functional Roles: Tangents data shows that job postings requiring cross-functional expertise (e.g., product managers with technical skills) have increased by 40% over the last year.
  • Upskilling and Reskilling: A World Economic Forum report states that by 2025, 50% of all employees will need reskilling as the adoption of technology increases. Fintech companies are leading this trend, investing in continuous learning for their workforce.


The payment processing and digital banking sectors within fintech are dynamic and exciting fields, but the challenges of hiring and retaining top software talent cannot be underestimated. As a specialist recruiter, I help companies in these sectors navigate this competitive landscape, seek out professionals with specialized skill sets, ensure cultural fit, and offer compelling compensation packages. By addressing these challenges head-on, payment and digital banking companies can build strong, innovative teams that drive their success in this rapidly evolving industry.  

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