Potential recruits in the financial services sector tend to exaggerate their experience and expect too much money, according to a new recruitment survey.

The survey conducted for Robert Half International questioned 1600 finance, accounting and human resources managers from the Asia-Pacific region, including 345 from Australia.

More than half (58%) the respondents say their biggest challenge in the recruitment and retention of skilled talent is dealing with the consequences of candidates over-claiming their abilities.

“While confidence is a good thing, boasting deceives the interviewer and leads to candidates being placed in positions they aren’t qualified for,” Robert Half Australia director Andrew Brushfield said.

“This then increases staff turnover… as employees begin to feel overwhelmed and employers realise that they don’t have the right people in the job.”

Employers are also frustrated by candidates who exaggerate their background, with 61% finding their staff lack hands-on experience.

Recruiters believe candidates are also asking for unrealistic pay packages, with 52% saying their salary expectations are too high.

“The discussion of a skills shortage in the sector is leading employees to think that they can demand more, despite lacking the necessary experience,” Mr Brushfield said. “It leads to stress and anxiety.”