6 tips for accounting firms to attract & retain talent

In recent years, businesses such as accounting and CPA firms that are heavily reliant on skilled professionals have faced significant challenges in attracting and retaining talent. The consequences of talent shortages are straightforward but impactful: they impede business growth. According to PwC, approximately 25% of CEOs have had to cancel or postpone critical strategic initiatives in the past year due to a lack of qualified personnel.

Fortunately, there is time to address this issue proactively. Let’s explore a few strategies firm owners can employ to navigate the skills shortage and benefit their businesses and financial performance.

An overview of the worldwide shortage of accounting talent:

There is a notable global talent shortage, which has reached its highest level in 16 years across various industries. The ongoing phenomenon known as the “Great Resignation” shows no signs of slowing down.

The ManpowerGroup’s 2022 Global Talent Shortage Survey has identified the most challenging skills to find in today’s job market, and it reveals that accounting and finance positions (such as certified accountants, auditors, and financial analysts) rank among the top seven most challenging roles to fill globally. Moreover, these roles are anticipated to be the second-most in-demand positions in over 40 countries in the upcoming quarters.

The origins of this talent shortage can be attributed to two primary factors

The two primary drivers affecting the talent shortage in the accounting industry are: technological advancements and evolving needs.

1. Technological Advancements:

In the past, the primary requirement for accounting firms was the ability to perform numerical calculations. However, with technological advancements, this requirement has evolved. Today, applications and automation can process numbers significantly faster than any human worker.

Consequently, accounting firms are now seeking candidates who possess a greater ability to derive meaning, identify trends, and detect patterns in data. Moreover, these candidates should be able to apply their findings within a broader business context.

This shift in demand highlights the increasing importance of data science and analytics skills, which accounting professionals may have yet to develop extensively due to limited time and resources.

2. Evolving Needs:

In today’s job market, candidates have clear preferences regarding their desired positions. While competitive compensation and benefits are undoubtedly important factors, the findings of the Manpower survey indicate that candidates are more likely to accept a job offer and remain committed if the role also provides flexibility, a sense of purpose, and personalized opportunities.

Additionally, candidates value access to career insights, educational support, diverse experiences, and exposure to new opportunities as significant considerations in their decision-making process.

Indeed, it is possible to address the talent shortage by understanding employee needs and effectively meeting them. By doing so, accounting firms can combat the loss of valuable talent and gain an advantage in the ongoing competition for skilled professionals. While finding a balance may require compromises, the long-term benefits are rewarding.

1. Objective:

To provide employees with a meaningful sense of purpose, being transparent and genuine about your organization’s mission is essential. Clearly communicate this mission on your website, through marketing materials, and during candidate interviews.

2. Upskilling/Training:

According to the Manpower survey, “81% of employees expect training programs from their employers to help keep skills up to date”. Meeting this expectation increases the likelihood of retaining employees in the long term, providing your firm with greater confidence in retaining the skills it has invested in through training and development.

3. Adaptability:

In 2020, a significant shift towards remote work took place, leading professionals to recognize the time saved from commuting and the increased autonomy over their schedules. Candidates are expected to inquire about job flexibility during interviews, seeking a clear response that can ideally meet the needs of both parties involved. Therefore, it is crucial to have a well-prepared response that can address these inquiries and satisfy the mutual requirements.

4. Company ethos:

Take a moment to contemplate how outsiders perceive your firm. If you were to assess it objectively, what would your conclusion be? The stereotype of buttoned-up professionals often characterizes how accounting firms are viewed.

While elements of formality may still exist in many firms, the importance of image must be considered in a highly competitive market. It is crucial to tailor your firm’s image and proudly display your brand, effectively conveying the authentic experience of working within your organization. This approach allows you to differentiate yourself and attract top talent.

Employees are no longer just working for a 9–5 paycheck. They want to work with a brand that they believe in. Understanding how to make the most of your brand can make the difference when it comes to attracting and retaining team members.

5. Feedback:

Recognize the significant impact of offering regular feedback to your staff, as it holds great importance to them. People have a natural desire to be heard and acknowledged. According to ClearCompany, global talent management specialists, employees who receive regular feedback and performance reviews become up to three times more engaged in their company. Furthermore, their survey reveals that engaged individuals are 87% less likely to leave the organization. Hence, prioritizing regular feedback can enhance employee engagement and significantly reduce turnover rates.

6. Offshore accounting:

Alternatively, you can leverage the services of an offshore staffing provider like Entigrity to access qualified offshore talent with minimal hassle. As a leading offshore accounting service provider, Entigrity takes care of the entire recruitment process, carefully curating candidates based on your requirements. With our expertise, you can save valuable time, energy, and uncertainties.

By partnering with Entigrity, you benefit from nearly a decade of experience managing offshore accountants and bookkeepers across Australia, New Zealand, and North America. This ensures you receive expert guidance and advice tailored to your specific market.

Choosing offshore accountants through Entigrity offers a proven and efficient solution that addresses multiple firm needs. Our experienced on-the-ground team members give you access to a broader talent pool, allowing for easier diversification and streamlined onboarding.