Return to the Work Force Programs: Spotlight on Lehman Brothers
With more and more women taking time off from their careers in finance to start a family or pursue personal ambitions, it is no wonder that the corporate world is in need of qualified female applicants. After studies revealed that it was difficult for employees to re-enter the work force after a career break, Lehman Brothers became one of the first investment banks to capitalize on this untapped pool of professionals.
Lehman Brothers co-sponsored a study called “On Ramps and Off Ramps,” which looked at how many financial professionals take off from work and what they do with that time. The results showed that 37 percent of females and 24 percent of males take a career break and then have trouble re-entering the work force.
In response to the data generated by the “On Ramps and Off Ramps” study, Lehman Brothers started the Encore program. Created by Lehman Brother’s Chief Diversity Officer, Anne Erni, the program was built around the premise that inviting mid-career executives back to corporate America added value to companies.
Erni says that she launched the program after learning that the pool of qualified women in the workforce was inadequate. With many women taking time off to raise their families, she wondered if any of them wanted to come back to work but were having trouble getting their feet in the door. Erni sent emails to 16,000 employees asking for names of people who had left Wall Street but who might be interested in getting involved again. She received 200 referrals, contacted the former employees and reviewed their resumes and invited 50 back to interview for jobs at Lehman in New York.
“We have to create flexibility,” says Lehman Brothers president Joe Gregory, “We can be the best company only if we get and keep the best people.”
A recent article in Fortune magazine profiled Melissa Eisenstat, who is one of many women that took advantage of the Encore Program. In 2004, she took time off as a banker to pursue her musical passion as a cello player. After living out her ambitions and even playing at Carnegie Hall, she decided to return to Wall Street.
In 2006, through the Encore initiative, she began working 55-hour work weeks at Lehman Brothers. While her new position doesn’t ask her to travel, she did have to take a significant pay cut from her former Wall Street income. She is now paid about half of her old seven figure salary.
“It’s about keeping my sanity,” says Eisenstat about the trade-off.
Robin Scheman, another Encore graduate, heads up the training and career development program at Lehman Brothers. She believes that people often leave the work force because younger executives demand some say over their schedules and leave high-paying investment banking jobs in order to have more control over their hours and lifestyle.
Giving an employee control over their work week and flexible schedules has become a big hit in the corporate world. Goldman Sachs followed Lehman’s lead with their own return to work program called “New Directions.” Deutsche Bank and J.P. Morgan are also organizing similar efforts.
As programs like Encore illustrate, there is value in encouraging people that have left Wall Street to return to the corporate world. If you have taken a career break and want to once again join the world of client meetings and power lunches, or are considering doing so, join the dialogue below. In the meantime, keep checking The Glass Hammer for up-to-date information on returners programs, which will be prominently featured in pieces in our “Work-Life Series,” published on Tuesdays.
