In August, Big Four firm Deloitte reported that 82.4% of hiring managers were struggling to find accounting and finance talent, leaving less than 20% with qualified and ready candidates in the pipeline.
Further, the 1,200 or so hiring managers surveyed identified three areas putting pressure on their talent needs:
- The need for more headcount in existing areas where workloads are increasing;
- Obtaining talent with technological skills; and,
- Attrition caused by the Great Resignation.
As of October, the number of students taking university courses and professional exams has tumbled in the U.S. — leaving the long-lead candidate pipeline in jeopardy for all, even the 20% mentioned above. Many are placing the blame on the notoriously "boring" face of the accounting industry, coupled with pre-existent barriers (more strongly pointed toward the diverse community); for instance,
So what can the industry as a whole do to attract and retain talent, and encourage broader adoption by younger generations, amid this hiring crisis?
- From a logistical point of view that taps into the rational mind, home in on the fact that the industry is recession-proof. Given the times we're in, it's important to underscore that stability within the industry is and always will be there. Companies will always need consistent and intelligent financial support, and business owners certainly understand the importance therein.
- Highlight the breadth of the accounting profession. It isn't just looking at Excel spreadsheets and running numbers, sitting in a backroom siloed from the rest of the company. Given the growing importance of financial forecasting (particularly post-pandemic), and the incorporation of tech within the sector and the broader corporate world, the role is much more multifaceted than it ever was before. In fact, many accountants ultimately become CFOs, and have the opportunity to get involved in broader strategic decisions — e.g., how and where to expand the business, crucial executive hires related to growth, and what risk a corporation can take on in any given time period. Many of these decisions relate back to and are informed by technology platforms.
- Reframe your business. Many accounting firms and departments have been more reticent to change than their broader tech and software counterparts, which isn't doing them any favors with regard to recruitment and retention. For better or worse, they need to understand and accept that, by and large, remote work is here to stay. This will not only allow for happier employees, but a broader range of potential candidates for any given job role or function. At this stage, the candidate pool needs to be as large as possible. Further, when applicable, outsource the work that isn't appealing (e.g., data crunching and compliance) so employees can focus their time on more strategic initiatives that tap into the creative and/or problem-solving portions of their brains. This will go a long way with employee satisfaction and, ultimately, pay dividends for companies.
- Broaden the scope of what you allow and provide. More holistically, this means being open to changing times and expectations, technologies and what the modern employee expects of their employer and/or workplace. Many will immediately turn an eye to remote work, but at the end of the day, that's just the tip of the iceberg. For instance, are you reviewing what's necessary to land an interview at your company? Are four-year and/or accounting degrees necessary for all roles? Or are you getting creative in finding meaningful and extensive talent? Further, how are you fostering soft skills and providing tangible growth trajectories for newcomers? What does that look like? And are you taking care of your employees? What's your PTO policy breakdown, and are you providing any time for mental health throughout the year (perhaps right after busy season)? These are all things that the modern-day employer — regardless of sector or industry — is being judged on, and prospective employees are significantly less likely to budge on.
While some of the above requires accounting firms and departments to tweak how they operate, most of it just requires bringing what the industry already provides to the forefront. Many members of the millennial and Gen Z populations grew up with technology, fascinated by how startups could become unicorns in just a few short years and go on to change the world. But what they haven't learned about are the people who keep the engine running, and provide both short- and long-term counsel to make acquisitions, growth and more happen. Highlighting the industry's options and widening potential for where accountants can ultimately land is key to long-term pipeline positivity and a happier, more fulfilled workforce.
