[1mm Financial Talk] Soaring Salaries of Financial Sector Developers... The Top Position Goes to 'CSS' Specialists

Financial Sector Developer Shortage... Entry-Level Salary Hits 100 Million KRW Era
Hard-to-Find CSS Specialists See Increasing Salaries

The value of developers in the financial sector is skyrocketing. In particular, the annual salaries of those responsible for credit scoring models (CSS) or MyData analysis are "priced as high as they are offered." This is because a developer's skills are directly linked to a company's performance, and it is difficult to acquire the necessary job competencies, with very few experienced professionals available.

According to the financial sector on the 28th, recently, Savings Bank A placed a program order with a university to advance its CSS. Although PhD-level researchers worked intensively to create a successful CSS, they encountered a problem. They needed competent developers internally to maintain and manage the CSS. Even offering high salaries, it was difficult to find CSS personnel, and ultimately, A decided to recruit the researchers themselves.

A decided to pay these researchers a base salary approximately 10 to 20 million KRW higher than the employees with the best regular wages. Considering bonuses and stock options that financial sector employees receive, their annual salaries are estimated to reach several hundred million KRW. This is a phenomenon rarely seen in financial companies where ranks are strictly defined.

This exceptional treatment is proof of how important CSS personnel are in the financial sector's recruitment market. CSS serves as the basis for evaluating the credit score of loan applicants, determining interest rates and loan limits. The better the CSS, the easier it is to distinguish between sound and risky borrowers, allowing loans to be offered at lower interest rates and broader limits. CSS itself is a competitive advantage.

Coding, Mathematics, and Financial Industry Experience... "Salaries Have to Be High"

Nevertheless, CSS personnel are severely lacking. As CSS advances, the number of variables handled exceeds tens of thousands. Without advanced coding skills, the work is impossible. Especially when designing the program rather than just maintaining or managing it, mathematical ability is also required. A financial company official said, "To have designed a CSS entirely is a completely different matter from having experience in application (app) development or IT planning," adding, "It is so rare that IT executives even ask their former professors who taught them to help train CSS personnel."

The same applies to innovative finance-related technicians such as those working with MyData. When financial companies recruit MyData professionals, the required skills and experience number around 30 to 40. Particularly, to perform customer behavior pattern prediction or data analysis, knowledge of artificial intelligence (AI) or statistics is necessary. At the same time, it is difficult to find those who also have experience working in financial companies, according to financial sector insiders.

The complexity of development work in financial companies compared to other industries has also had an impact. A single mistake in program design can lead to a major financial accident. Another financial sector official said, "Even a small error in a financial company's app can harm countless customers," and added, "As they try to bring in excellent developers, salaries keep rising."

With a 'salary increase relay' involving the financial sector, IT companies, and game companies intertwined, developer salaries continue to rise without stopping. Another financial sector employee said, "Recently, a competing financial company recruited an IT company developer, and I heard that their base salary was about 1.2 million KRW higher than office workers with similar years of experience," adding, "Developer wages are no longer average but are approaching the 100 million KRW range for entry-level positions."