A staggering 56% of finance professionals in Nigeria are dissatisfied with their salaries, according to the 2024 Salary Report by Duplo, a Nigerian B2B payment automation startup. The report, which surveyed 593 finance professionals across various industries, found that only 3% of respondents are satisfied with their compensation, a significant drop from the 14.8% who reported being happy with their salaries in 2023.

The survey respondents, who came from large and small organizations with job titles ranging from interns to chief financial officers, cited Nigeria's high inflation and foreign exchange (FX) volatility as the primary reasons for their dissatisfaction. A whopping 90.8% of professionals said these macroeconomic factors affected their earnings, leading to reduced spending power.

The high cost of living in Nigeria, exacerbated by naira devaluation and rising inflation, has put immense pressure on employers to review salaries. While some commercial banks have raised staff salaries in response to the economic conditions, 37.7% of finance employees reported no salary increase in the past year. This has led to a significant income gap in the sector, with only 7.2% of finance professionals earning over ₦1 million monthly.

The report highlights that job dissatisfaction is most pronounced among professionals earning less than ₦250,000 monthly, with one-third of them feeling uncomfortable negotiating higher salaries. This frustration is fuelling talent migration, with 22.8% of respondents having relocated in the last five years in search of better pay and stability abroad.

Economic instability, cited by 41.4%, remains the top retention challenge, followed by migration trends (34.5%) and shifting employee expectations (31.7%). To retain top talent, organizations must offer more than just competitive salaries; they need to provide career growth, work-life balance, and transparent pay structures. According to Duplo CEO Yele Oyekola, "Organisations can explore innovative benefits such as flexible work arrangements, performance-based incentives, and adequate technology solutions to retain and get the best from top talent without overburdening their budgets."

The report also reveals a trend in upskilling among financial professionals, with over 79% of respondents having pursued training in the last five years. They are focusing on skills like digital transformation, fintech, cybersecurity, compliance, and data analytics. However, even with better skills, compensation dissatisfaction persists when salaries don't reflect economic realities.

Retaining skilled professionals is crucial for organizational growth and the sector's long-term stability. To thrive, businesses must rethink their compensation strategies and offer growth opportunities that meet employee expectations. As Oyekola emphasized, "CFOs and finance leaders need to prioritise transparent and inflation-adjusted compensation packages to mitigate the current economic pressures and give themselves the best chance of retaining talent."

In conclusion, the 2024 Salary Report by Duplo paints a stark picture of the challenges faced by finance professionals in Nigeria. As the country navigates its economic challenges, it is essential for organizations to adapt and respond to the changing needs of their employees. By doing so, they can retain top talent, drive growth, and contribute to the sector's long-term stability.