Streamlined SRT process aims to optimize capital management while ensuring resilience The European Central Bank (ECB) is set to accelerate the approval process for Significant Risk Transfers (SRTs) , a move designed to improve capital efficiency for banks while maintaining financial stability. The ECB’s pilot program, scheduled to begin in early 2025 , will simplify procedures and reduce approval timelines, aligning with the growing demand for efficient capital allocation across European lenders. What’s Changing? The ECB, in collaboration with the European Banking Federation , is introducing a pilot program to shorten the SRT approval process. The notification period for SRT transactions will be reduced from three months to two weeks before deal finalization. The information submission requirements will be streamlined to ease regulatory burdens for banks. These changes are expected to make SRT transactions more attractive , all...
Key Highlights:
Decline in Degree Requirements:
- Only 17.6% of job postings required at least a bachelor’s degree in October, down from 20% in 2019, according to Indeed Hiring Lab.
- The shift reflects a post-pandemic strategy to attract a broader pool of skilled workers, even without formal degrees.
Impact of Pandemic Recovery:
- During acute labor shortages, employers, including major corporations like IBM Corp, dropped degree requirements to fill positions quickly.
- This move opened opportunities for the 60% of Americans without college degrees.
Stabilization Below Pre-Pandemic Levels:
- While the job market moderated in 2024, the share of postings requiring degrees has stabilized but remains lower than pre-pandemic levels.
Challenges for College Graduates:
- A Federal Reserve Bank of New York analysis shows over 40% of recent college grads are underemployed, working in jobs that don't require a degree.
- This trend is impacting wage growth and job alignment for university graduates.
Takeaway:
The pandemic has permanently reshaped hiring practices, with many employers prioritizing skills over formal education. While this benefits non-degree holders, it poses challenges for college graduates entering a competitive job market.
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