5 things to know about hiring in 2023
The past year saw significant changes in the job market overall, and the finance and accounting sector was no exception. One key takeaway is that more employees are willing to make a job change than in recent years.
The average number of resignations in 2022 for employees in financial activities was roughly 150,000 per month. However, resignations in professional services such as accountants, tax preparers, bookkeepers and payroll professionals were far higher, averaging around 750,000 quits per month.
This trend puts job seekers in the driver’s seat, and is set to continue through the year ahead. This means employers need to focus on key strategies to retain and attract top talent. As you move into 2023, here is what to know when hiring:
1. expect to pay more
While finance and accounting functions see slight salary increases year over year, 2022 saw a noteworthy rise in pay. This was particularly true for certain roles, like financial analysts and staff accountants, as well as for certain locations.
States where demand is highest:
- New York
- North Carolina
This means that in 2023, if you’re in a state with a greater need for in-demand roles you will have to offer more competitive compensation, at times above the market average. What’s more, if you intend to bring staff back into the office, you’ll pay more for that, too.
2. plan for flexibility
In addition to competitive salaries, employers who offer better benefits, in particular flexible hours and remote work options, will rise above the competition.
According to Monster.com, four in 10 employers found that offering flexible work helps to retain talent.
Plus, our own Workmonitor report shows that flexible work is important to most of employees surveyed (83%) and nearly three-quarters of survey respondents believe flexibility of work location is important.
This means the best candidates may not be willing to come into the office or even live in the same city as your organization. Offering flexibility to prospective employees can ensure access to the best talent.
3. watch the CPA exam
Beginning in 2024, the CPA exam will start to reflect the changes in business, technology and digital transformation the accounting industry has already embraced. This means that in addition to demonstrating proficiencies in standards such as accounting, auditing and tax, the exam will also include technology questions. Applicants will also need to pass one of three modules focusing on reporting, auditing, or tax preparation.
These upcoming changes mean the exam may be harder to pass. For this reason, make it a priority to hire entry-level accountants in 2023 to help offset a potential shortage the following year.
4. automation is here to stay
Technologies such as AI and machine learning are rapidly becoming the norm in the finance and accounting sector. AI-powered accounting and bookkeeping software and programs like Bank of America’s Erica and Wells Fargo’s AI and machine learning tools are leading the industry in the transition to automation. These technologies benefit both your company and your customer with features like predictive modeling and finance management.
However, these advances mean financial professionals will need to continually learn new ways to do their jobs. Employers who work to both upskill and reskill current employees as well as look for candidates with these skills will get the most out of their investments and their talent.
5. speed can help
With job seekers in the driver’s seat, our talent experts in the field have witnessed a pattern: in a talent market this hot, companies that lack speed when hiring lose out.
Organizations that wait too long for the perfect hire – that one candidate who checks all the boxes - lose quality talent to the competition. One way to combat this is to consider candidates with the “must haves” instead. This way you can balance speed with quality in the hiring process.
These key insights can help you find and retain great talent in the new year. To learn more, explore Randstad’s 2023 Finance & Accounting Salary Guide. Get the guide.