Earlier this year, when Derek Iwanaka realized that Uranerz Energy Corp. would likely be merging with Energy Fuels, he braced for a layoff from the IR job he’d held for the past five and a half years. Iwanaka began speaking with industry contacts, many of whom approached him after realizing that Uranerz’s acquisition might mean that he would soon be available.
“There’s a lot of change right now,” says Iwanaka. “There are mergers and bankruptcies. I’ve had quite a few friends in investor relations who have lost their jobs and are looking around.”
Patrick Donnelly, President of First Mining Finance Corp., met with Iwanaka and offered him a position as Vice President of Investor Relations. Just as that job offer came through, Iwanaka was offered an IR position in the Denver office of Energy Fuels and a former employer – B2Gold Corp. – also attempted to hire him.
Wracking up three job offers in a single week is very unusual in the current Canadian market. Far more common are tales of IROs who have lost their positions and are struggling to find new ones.
John McKay, Calgary-based of Spencer Stuart’s global energy practice, who focuses on the oil, gas and utilities businesses, says: “I’ve been doing search for 30 years, and this is the worst job market I’ve seen in all that time.”
CIRI President and CEO Yvette Lokker presents a similarly bleak picture – especially in the mining and oil and gas sectors, where opportunities are scarce. “Issuers are downsizing IR departments, and I’d say more so at the larger companies. These companies have greater flexibility because they have more people to spread the workload over,” she says. “In general, we’ve seen a decrease in department size.”
And in fact, in its most recent Investor Relations Compensation and Responsibilities Survey, CIRI detected a shift to smaller IR teams. While 10% of companies had an IR staff count of five or more in 2012, that figure had dropped to 2% by 2014.
Using IR Skills to Land a Job
Many believe that IROs are particularly well positioned to launch successful job searches for a number of reasons.
First and foremost, the skills that make individuals stellar IROs will likely help them land on their feet, career-wise. Within a week of being one of 30 employees laid off by Argex Titanium, Sophy Cesar had accepted a new job as Vice President, Investor Relations and Corporate Communications, at PyroGenesis in Montreal.
This seeming good fortune was arguably the result of diligence on Cesar’s part. “I had been networking very heavily for the six months leading up to the layoffs,” she says. “When you’re in investor relations, you see what’s going on a little clearer. You’re following the numbers, the burn rates, the revenues, the profits. You hear whisperings about mergers. So we’re in a role where it’s easier to see the writing on the wall – and we can be proactive.”
Cesar’s job exploration began with deciding she wanted to stay in Montreal. From there, she created a target list of companies where she’d like to work, and then began asking herself: “Where in my network are there people who could open the door or make an introduction?”
While still employed at Argex, Cesar reached out to people whom she hadn’t spoken to recently, and she vowed to attend at least one networking event a week. Cesar recommends CIRI events as an excellent way to meet other IROs, but she also urges job seekers to attend events in the industries where they’d most like to work. For Cesar, who was transitioning to the tech sector, that meant attending events sponsored by Écotech Québec.
Cesar knows colleagues who haven’t found new positions so quickly, and for them, she says, consulting has been a popular option. “People are finding innovative ways to use the relationships they’ve built in investor relations [to stay visible],” she says.
David Carey, Senior Vice President, Capital Markets at ARC Resources Ltd. agrees, noting that accepting short-term assignments is an excellent strategy – provided that a consulting gig can be found. Consulting helps individuals bolster contacts and stay in touch with their wider networks.
As another creative solution, he suggests considering all the types of professional experience an IRO has that could help a prospective employer. “Some companies might not be quite big enough for a full-time IR person,” he says, “but maybe you have a financial background and so you could help out in a finance area in addition to IR.”
Carey is convinced that IROs make good job seekers by virtue of their roles. “One advantage of IR is that you’ve probably been to many different conferences and met the management teams for different companies,” he says.
Sharon Mah-Gin, Client Partner at Toronto-based Mah-Gin and Associates Executive Search, a member of the Executive Search Alliance, points out that IROs are adept at creating compelling stories to market their companies to investors – and they should use this expertise to market themselves as employees. She suggests that any IRO looking for a new position should consider what unique skills he or she will bring, and should build a very carefully articulated case around this story.
More Tips for Success
For IROs trying to bolster their CVs, additional designations may be an excellent place to start. Lokker points out that in the most recent CIRI study, an increase was seen in the number of IROs who had CFAs (16% in 2014 versus 8% in 2007). What’s more, in 2014, 11% of IROs who are CIRI members had earned the new CPIR (Certified Professional in Investor Relations) designation – an increase over earlier years when the title did not exist.
"When it’s an economy like we’re faced with at the moment and there are more people trying to get positions than there are positions available, you need to stand out,” says Lokker. “One way to do that is to get a designation.” She continues: “If you’ve chosen to make investor relations a career, I definitely think the CPIR would give you a leg up. It’s new for our profession – so not everybody has it.”
Beyond formal education and professional designations, Lokker advises IROs confronting a job search to hone their capital markets skills. “In IR, there’s a greater expectation today than there was even five years ago that you are very financially savvy,” she says. An in-depth understanding of the financial space can make an IR candidate seem especially attractive.
Spencer Stuart’s McKay creates a simple template for job seekers that begins with some soul-searching: “Any job seeker has to figure out why do they want the job. Do you want the job for money? Do you want the job for satisfaction? Or do you want the job for lifestyle? Those are the three sides of the job triangle.” He continues: “Figure that out and go find the companies that fit the aspiration for how you want to live your working life.”
The next step is creating a case for why you are suited to a particular role. Says McKay: “Get your sound bite together, get a marketing plan together, build your network and go after that job.”
For IROs gainfully employed but concerned about the volatility of the job market, Iwanaka argues that burnishing one’s reputation by doing an outstanding job may be the secret to long-term success in your current position – or at a position down the road. Even if there are layoffs, a merger, or other unforeseen circumstances, being viewed as a consummate professional and an outstanding colleague will help you land on your feet.
“If you do a good job and people know it, you don’t have to worry about your resume,” says Iwanaka. “Word of mouth is better than any resume you could possibly make up.”
“Every company I worked with, they were happy to be a reference for me,” he adds. As further advice, Iwanaka recommends leaving a job on good terms. “If at all possible, make sure you never burn your bridges,” he says. He attributes the offer from B2Gold to his having maintained strong ties with former employers.
Career Building: a Never-Ending To-Do Item
Although Cesar only joined PyroGenesis in late July, she recently began considering activities to bolster her career.
“I’ve been very focused on learning the business, but as I get comfortable, I know I can’t neglect other parts of my career,” she says. “You build your network when you start somewhere new, but I also want to nurture the networks I already have.”
Carey agrees that in the current market, all IROs should be cultivating their careers. “You have to continue doing the normal things: marketing, going to CIRI events, keeping your name known and continuing talking to your contacts,” he concludes. “You’ve always got to keep learning. Stay current and continue to broaden your skills.”