As the economy strengthens, hiring of accounting staff by firms, companies, and other employers continues to gain momentum. In 1994, the U.S. Department of Labor’s Bureau of Labor Statistics (BLS) predicted that accounting will be one of the 10 fastest growing industries during the next 10 years. Presently, there are about 850,000 accountants and auditors based on a BLS survey of accounting firms, companies, government agencies, and other employers. U.S. Census data, which is based on how individuals identify their occupations, places the number of accountants and auditors at 1.5 million. The general consensus is that the number of accountants and auditors falls somewhere between these two extremes.
With the outlook for hiring better than it has been in many years, there are expected to be shortages in certain job categories. In particular, professionals with one to five years of experience are difficult to find. As a result, employers are raising the starting salaries for this group faster than they are for others. In addition, companies and firms are taking a strategic and more flexible approach to hiring, which has strengthened operations substantially. Many employers are having success hiring senior staff from the ranks of middle managers who were made available through downsizing at other companies and firms. Because of their experience, the former managers work with less supervision and greater efficiency.
Despite the projected need for accountants and CPAs, competition for new jobs will be fierce. Firms and companies are staffing more efficiently today and asking employees to handle a wider variety of tasks. Among the emerging specialties are tax, environmental accounting, forensic accounting, software development, entertainment, and telecommunications. Tax specialists will continue to be in high demand as tax codes become more and more complicated. Additionally, professionals skilled in international tax issues should see a dramatic increase in their value. Environmental consultants are needed to help companies avoid penalties for compliance infractions. Forensic accountants are valued for their skills in examining accounting records for fraud or other criminal activity. Please note, however, that the demand for these specialties vary by region.
Within public accounting, competition has forced firms to place increased importance on new business development. As little as five years ago, this function was reserved for partners and senior managers, but today it has become essential for managers at all levels.
The largest accounting firms are meeting the demands of increased competition by expanding their traditional areas of specialization to become full service providers. Emphasis is being placed on consultancy services, including process improvement and re engineering; tax accounting, in particular sales and international tax; estate planning; and financial planning for individuals and corporations. This has resulted in a new career path for professionals in these firms- the “consultant” track. Candidates who can assist clients in everything from auditing and tax work to process improvement are highly valued.
Opportunities in small and mid size public accounting firms are also expanding as they take advantage of the growing number of businesses going public. In particular, the auditing function has become very competitive as companies continue shopping actively for low cost auditing services.
Source: AICPA
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