In recent years, the demand for skilled finance and accounting (F&A) professionals has been steadily climbing, and 2024 is poised to mark a continuation of that trend. According to the Controllers Council 2024 Corporate Finance & Accounting Talent Study, 32% of businesses plan to expand their finance teams in 2024.
This study reveals that there’s an urgent need for more robust finance teams, but unfortunately, businesses are in the midst of a CPA and accounting professional shortage.
If your organization hopes to overcome this talent scarcity, it will need to deploy a combination of traditional and alternative strategies that make the company an appealing landing spot for experienced accounting professionals. Here’s a look at how you can overcome the shortage.
How Bad Is the Shortage?
The shortage of certified public accountants and accounting professionals in general is acute and severe. This problem has been brewing over the last decade.
According to the American Institute of CPAs (AICPA), only 67,000 people sat for a CPA exam in 2022. That’s 7,000 fewer people than the AICPA forecasted. The figure also represents a decrease of 5,000 candidates compared to 2021.
The AICPA reports that 2022 marks the lowest number of exam participants in 17 years (2006). What’s even more concerning is that 30% fewer candidates passed the final section of the exam compared to just five years prior.
Additionally, universities are experiencing a decrease in students choosing accounting majors. For example, James Madison University noted a 34% decrease in accounting majors between 2015 and 2019.
The Impact of the Talent Shortage on Finance Teams
With so many organizations competing for the same limited pool of talent, F&A leaders face immense challenges. As fewer candidates sit for the CPA exam, the gap between supply and demand will continue to grow.
If your organization intends to expand its finance team in 2025, it will need to prioritize workplace culture and professional development opportunities. Many F&A professionals today value more than just a good salary. They are looking for companies that offer growth paths, work-life balance, and supportive environments.
How You Can Attract Top Talent in a Competitive Market
To stand out in this competitive hiring landscape, your finance leadership team can take several strategic actions. We recommend that you:
Revisit Your Branding Efforts
When talent is in short supply, showcasing an attractive workplace culture becomes crucial. Highlight what your company can offer job seekers, such as:
- Career growth opportunities
- Job security
- Strong mentorship
- Flexible work policies
Your company is one of a kind and delivers unique value to its team members. Branding strategies help you draw attention to your value proposition and position your business as an ideal landing spot for motivated professionals.
Explore Partnerships
Additionally, your organization can collaborate with educational institutions and finance-specific talent development programs. Reach out to nearby universities that have accounting programs and consider offering internship or mentorship opportunities to finance majors.
There are also plenty of partnership opportunities outside of the university ecosystem. For example, Controllers Council offers the Controllers for a Cause CPA scholarship program, which supports promising finance students in earning their CPA credentials.
This program not only helps close the CPA shortage gap but also enables finance leaders to build relationships with future F&A professionals early on. Partnering with programs like this can bolster your company’s reputation as a strong advocate for professional development, making it more attractive to job candidates.
Offer Non-Traditional Perks
Offering a competitive salary and benefits is vital. However, many of the companies you are competing against will be doing the same. The last thing you want to do is get into a bidding war for accounting professionals.
Non-traditional perks can help differentiate your business without driving up payroll costs to unsustainable levels. Some examples of benefits you could offer include education reimbursement, fitness stipends, or home office stipends.
Expanding the Talent Pool With Alternative Strategies
Another approach to talent acquisition is to consider a broader pool of candidates, including those from adjacent fields like data science, information systems, and business analytics. As finance becomes more data-centric, candidates with strong analytical and technical skills can bring fresh perspectives and valuable insights to finance teams.
If your organization is willing to train, hiring promising candidates from outside fields can be a game changer. Offering in-house training and mentorship can help bridge any skill gaps, ultimately leading to a more versatile, cross-functional team capable of meeting today’s multifaceted financial challenges.
Looking Ahead
The talent shortage isn’t going anywhere anytime soon. That means your business will need to leverage innovative talent acquisition strategies to meet its finance team needs in the coming year. By turning to solutions such as Controllers for a Cause, your finance leaders can position the organization as a preferred landing spot for top talent.
