Hays Accountancy & Finance - April 2008

Commerce & Industry

Hotspots

NSW
The prime hotspot of candidate demand across NSW at the moment is for experienced, high volume credit officers with SAP skills - closely followed by experienced full function payroll officers with particular system knowledge such as Chrispay. High volume accounts payable officers are also needed, while there has been an increase in demand for degree qualified assistant accountants with two years experience who are looking to study their CPA.

Business analysts are another hotspot of demand, emerging as increasing numbers of businesses look for growth and cost reduction opportunities.

Management accountants are required for temporary positions as we approach budgeting period for Australian organisations. Tax accountants will also emerge as a hotspot over the quarter due to continued specialisation within the accounts area.

In the temporary market, high volume credit officers are securing permanent roles, which in turn reduces the previously available pool of candidates for temporary roles and places further pressure on the tight levels of candidate demand.

Looking at the market more broadly, there is a general shortage of candidates in the full spectrum of temporary roles. Employers demand temporary staff with specific systems experience related to their business requirements, although candidates who can walk into a role and use systems without any training at all have always been rare. Employers are also seeking temporary candidates with relevant industry experience, believing a candidate will adapt faster to their role if they have worked in the industry previously.

ACT
For the first time, the nation's capital has seen an increase in demand and a corresponding decrease in supply of financial controllers/finance managers, creating a dramatic shortage of candidates at the $100,000 - $130,000 level.

We recently noted an increase in financial accountant roles for candidates with between four to five years experience and their CA/CPA. These extremely scarce candidates typically receive multiple offers of employment. Meanwhile, the demand for degree-qualified accountants with two to five years experience continues.

This demand is due to a number of factors. Firstly, ongoing economic growth and the approach of end of financial year are increasing vacancies for accounting staff and secondly, there is a shortage of university graduates and those with experience remaining in the local market. For those that do remain, public sector salaries attract many candidates out of commerce & industry.

QLD
Demand is highest for candidates who have recently completed their CA/CPA studies, since Queensland employers value the commercial experience these candidates possess and their enthusiasm to use their qualification to advance their career. In most demand are those with several years' commercial experience and a professional services background.

Experienced compliance and tax, payroll, and accounts payable candidates are also rare. Bookkeepers and assistant accounts with commercial experience will be required over the quarter as companies approach end of financial year, however there is a lack of immediately available candidates in the market. Credit controllers will also be required as employers complete end of financial year reports.

There has been a notable increase in the demand for qualified manufacturing accountants in light of cost analysis requirements, requiring candidates with exposure to WIP and standard costing. Candidates with mining, construction and property experience are also in high demand as organisations want candidates with industry experience to hit the ground running. These candidates are moving quickly through the market and have plenty of opportunities available to them in Queensland's booming market.

Finally, management accountants, business analysts and FC/CFO with M&A experience are required, since a large number of organisations are growing either organically or through acquisition. Conversely, some major banks are divesting companies, so require analysts or management consultants to advise on consolidation. Project accountants are also required due to the continued growth within construction and infrastructure.

SA
Management accountants and business analysts with detailed knowledge of costing/project reporting are in particular demand in South Australia. Organisations require employees who can analyse information and implement process improvement strategies, and the typical management accountant position has become far more operationally focused.

Senior financial accountants are in demand as we approach financial year-end. It is expected that the market for senior accounting professionals will increase over the next quarter.

VIC
Victoria's prime hotspots exist for statutory/tax and financial accountants in light of increased compliance and fiduciary responsibilities creating the need for technical compliance. Cost accountants are also needed as manufacturing businesses look for process improvements and profitability.

WA
In Western Australia, corporate, financial and management accountants at the $80,000 to $100,000 level are required. This is a continual area of demand and the shortage of these candidates shows no signs of abating. In addition, first-level financial controllers at the $110,000 to $130,000 level are needed.

The coming quarter

The market is buoyant for all candidates with commerce experience. Future hiring intentions are positive with companies expanding their teams, particularly in the areas of accounts payable and receivable, which will keep the market active as we approach financial year-end.

There has been an increase in part-time temporary positions and employers have become more flexible regarding hours and days of employment in order to attract a broader base of candidates to their vacancies. As we approach year-end, contract requirements will also increase.

Executive recruitment

Executive recruitment remains steady with a number of CFOs, financial controllers, finance managers and corporate services managers moving within commerce and industry or into the public sector. In addition, some organisations that have experienced recent growth are creating new positions at the executive level, which is ensuring the market remains very active.

The volume of regional senior positions has increased for remote mining companies in states such as South Australia, while mining organisations in Queensland are driving that state's executive recruitment market through both site and corporate roles. This will continue into the next fiscal year since the industry remains a powerhouse in the state.

Salaries

While an increased focus on staff retention and satisfaction may reduce candidate levels, overall salary packages will remain competitive for experienced candidates in hotspot areas. It remains to be seen what impact rising interest rates will have on salaries - and, in particular, candidates' own salary expectations.

Increasing resources and mining salaries in Western Australia and Queensland are forcing salaries up in all other industries in the state as organisations compete for experienced candidates.

There has been an increase in the number of counter-offers, with candidates often accepting the salary increase, in turn pushing up overall salary levels in the market. In no small part, this is contributing to the gap between candidate and employer salary expectations, and this needs to be resolved carefully during offer stage.

Employers are being very flexible with their salary packaging and share schemes, working from home, and onsite parking are common benefits used to secure the right employee.

Candidate trends

Candidates are generally moving quickly through the market and typical tenure is between 18 months and 2 years. There has been a definite upswing in the number of candidates wanting work closer to home.

This is possible as candidates have more options than ever before, which ensures that those candidates with shorter notice periods are snapped up quickly. Qualified accountants with up to two years commercial experience are moving very quickly in and out of the market as employers work hard to attract these skills to grow with their business.

Broadly speaking, an unhappy employee will leave immediately rather than working out the issue with their current employer. Turnover of candidates leaving within their probation period has increased as some jobseekers trial a role and leave if they find it unsatisfactory in any way.

There have been a notable number of candidates that have left a permanent role in favour of contract roles in order to achieve work/life balance.

Finally, the relocation of candidates to Queensland from interstate has reached a lull, however there are a number of candidates returning from overseas so the influx into the state still remains high.