Turnover, hybrid work to shape hiring in 2022

Accounting and finance hiring in 2022 will center around hybrid work arrangements, employee turnover and candidate scarcity, according to a new report from global talent solutions firm Vaco.

The report, Data + Trends for the Accounting and Finance Hiring Market,” details four main recruiting and hiring trends in 2022, namely, hybrid/remote work availability in firms, employee resignations in the wake of "the Great Resignation," increased competition surrounding employee compensation and scarcity in hiring qualified accounting students.

Citing U.S. Bureau of Labor Statistics data, Vaco found that the number of unemployed persons per job opening fell to 0.8 in 2021. The accounting/finance sector was found to have the lowest unemployment rate of any sector in the U.S. (3.2%), leaving firm managers facing issues of increased hiring and retention in 2022.

“With year-end upon us and tax season around the corner, companies need skilled accounting and finance talent to meet crucial deadlines,” said Frances Moreno, co-founder and managing partner of Vaco, in a statement. “There’s never been a more critical time for companies to evaluate their compensation plans, benefit packages, hiring process, and above all, culture and investment in people.”

Vaco's four major hiring accounting and finance hiring trends for 2022 are:

• Remote and hybrid work. Accounting and finance professionals have widely embraced remote and hybrid work. For many candidates, flexible work options are a key differentiator among employers, so it’s important for companies to offer these options if they want to compete.
• Turnover. Multiple accounting and finance-heavy industries are seeing record rates of employee turnover. The financial activities, professional and business services, and finance and insurance sectors all experienced 20-year highs in employee quits in April 2021, indicating that historically stable and mature companies need to retool their benefits and interview processes for finding and retaining top talent.
• Compensation. Salaries for accounting and finance professionals are increasing quickly. With fewer applicants and greater competition, companies are being outbid for top candidates at all employment levels, so paying competitive salaries is a must to attract and keep top talent.
• Qualified candidates. The pandemic impacted the number of accounting students sitting for the CPA exam. Many accounting majors halted their studies during the pandemic, delaying entry into the job market by a year or more, while many graduates delayed taking the CPA exam. Companies should consider up-scaling compensation and benefits accordingly, or adjusting job requirements, like rethinking the need for CPA certification, to address this market gap.

For the full report, head to Vaco's site here.