Hays Accountancy & Finance - October 2007
The Profession
Hotspots
Today's recruitment market is characterised by exceptionally high vacancy rates and a tight candidate market. Across Australia the profession is still creating new jobs and demand for specialist accounting skills remains high. This shortage is at the stage where many practices have turned away potential clients because they lack the staff to service them.
Accountants with between two to five years experience at the senior and supervisor level are in highest demand, while extreme need also exists for supervisor to director level accountants with equity aspirations. Also in demand are business service managers, tax managers and senior advisors. At the lower level, accountants with two to five years experience are required.
Meanwhile many ambitious accountants have begun to realise that interesting opportunities are available. Often these accountants are very satisfied in their current workplace, but those with the required skills and experience in demand are realising they can improve their career and situation through the vacancies currently available.
The coming quarter
With demand for staff high, particularly in the hotspot areas, the coming quarter will remain very active indeed. In most states demand exists across the board, from boutique, medium, suburban, CBD, 2nd tier and big 4 firms. The majority of positions will be permanent, but some employers are now implementing flexible working arrangements such as part-time, flexi-time and work from home options to attract the best staff to their firm.
By December the volume of applications traditionally dips, yet vacancy activity and the requirements from firms remain high. Employer indications show recruitment activity will continue unabated to Christmas, meaning candidates applying for vacancies in December open themselves to a wide range of opportunities with minimal competition from other candidates.
Many firms have registered requirements with us on an ongoing basis and have indicated they will employ any candidate that matches those requirements at any time they become available. These employers will hire a new staff member that matches their requirements even if they are not actively recruiting at the time. This enables candidates to access opportunities with the practices most suited to their unique skills and experience.
The smaller suburban practices are becoming more interested in taking on graduates due to their inability to find experienced accountants.
Executive recruitment
We expect to see significantly increased activity for senior manager to director and partner level candidates over this quarter. A number of executive candidates appear to be relocating over the Christmas period, with Perth and Canberra in particular noting this trend of incoming candidates.
There is also significant demand for future audit partners within small and medium firms. Experienced senior, manager and senior manager candidates can select from a range of opportunities. In addition, these candidates typically receive significantly higher salaries than those available in the big 4 and 2nd tier.
Salaries
Candidates in demand are increasingly aware of the requirement for their services and consequently have higher salary expectations. Employers are offering higher salaries to compete for staff, but have begun to pass this cost onto their clients by increasing their rates by 10-20%. With demand showing no sign of abating, the lack of available experienced candidates will keep pressure on salaries high.
It is now common for employers to pay a candidate's study debt or claw-back to a previous employer, which can save candidates up to $5,000 in net income. In addition, it is now more common for employers to offer sign on bonuses and pay relocation costs for interstate and overseas accountants.
Candidate trends
We have recently seen an increase in the availability of graduate auditors with one years experience or two to three years' international experience. A reasonable number of opportunities exist for these candidates.
In light of the candidate shortage, accountants feel empowered to change positions to improve their situation. Regardless of practice size, candidates will not tolerate poor or average employers and will seek a new role if there is an issue with culture, career, salary or another workplace issue. We regularly see candidates seeking a role with a top quality, modern and dynamic practice where they have high client contact and responsibilities, and interesting and varied work.
