2022 has been a year where we have seen the whole world go through some major changes – once again! Since releasing our Tyler Wren Public Practice Salary Guide for 2022-2023 in June, we have been actively requesting feedback from candidates and clients. There are four main accounting trends that have arisen:
Salary Increases
This year we have seen notable movement across the board when it comes to salary. We released our Salary Guide in mid 2022, the salary bandings we stated in the guide were based on our daily conversations with both candidates and clients on salaries from the previous 12 months. Shortly after the release we contacted people that had requested a copy to get feedback. We found a significant number of people’s salaries have grown by approximately $5,000 to $10,000 (higher than the banding listed).
Firms have increased salaries in order to retain staff, one of the biggest changes has been the level of salaries that the larger firms currently offer. Traditionally, Big Four banding has been lower than the Mid Tier firms but this is no longer the case. Usually moving from a Big Four to a Mid Tier firm would result in a higher salary, this is now the exception to the rule which encourages more staff to stay in their current roles.
We have also seen a common trend with candidates being tempted by the even higher salaries on offer at boutique firms. As an example a Senior BAS candidate earlier this year who was working for a large international firm on a salary of $90,000 and was initially looking at moving to a larger firm. They knew they would need to consider a lower salary at a bigger firm so were considering $85,000. They accepted a Senior BAS role at a boutique firm with a salary of $110,000 with an upcoming salary increase and promotion to Manager in April 2023.
Flexibility
The option to work from home has been something that most of us have grown fully accustomed to since the first COVID lockdown. Most candidates now naturally expect that they will have the same options to work from home going forwards. The rise of the hybrid work arrangement is something we see staying long term.
There is the odd candidate that prefers to work fully remotely. We are noticing that the majority of firms would prefer to encourage staff to spend at least one day in the office.
There are numerous benefits:
- Staff spending more time in the office has a positive impact on culture
- Teams are able to collaborate more effectively which enhances productivity
- People are able to get to know their teammates on a more personal level
- Better learning environment – much easier to learn in person and ask questions, especially for juniors
Understaffed Firms
People working in the accounting field will be fully aware that there have been understaffing issues going on in most firms for a long time now. We have spoken to a lot of Kiwi employees who had been patiently waiting to head overseas for the past two years which has recently resulted in a mass exodus. This has put pressure on firms to find new staff to replace them but there have been additional complications with hiring overseas candidates due to changes to visa processes.
This is still an ongoing issue at present, I’ve been speaking to candidates this week that are looking to move to a different firm because of their heavy workload due to understaffing.
We lose a high amount of candidates in Public Practice to Industry and Overseas. CA firms generally do not hire candidates from commercial and we are not getting the same amount in from overseas. There is a definite imbalance which results in higher workload, longer hours and burnout which pushes candidates out of Practice. This is something that is not the case at every professional services firm, so if you are feeling this way, it could be time for a change.
Volume of Opportunities
It’s a great time to be a candidate with there being such a large amount of roles out there in the market. We are seeing people securing roles that would normally be out of their reach as well as benefiting from significant increases to their salaries and/or moving for different locations or benefits. We’re also seeing people switch from Commercial back to Public Practice.
As 2022 draws to a close we are now gearing up and preparing for the New Year, with the Christmas close down fast approaching we are now focusing on helping candidates to secure roles to start in 2023.
We are actively recruiting for roles right now throughout New Zealand and Australia, our clients are seeking experienced candidates within BAS, Audit, Tax, Risk Advisory, Corporate Finance and Insolvency. We have roles available at all levels from Intermediate up to Associate Director level and are recruiting for roles within Public Practice and Commercial.
If you are looking to kick off 2023 with a new role or are interested in finding out how you can benefit from what’s going on with accounting trends in the current market then feel free to get in touch today
Chris Jones | 09 930 8521 | cjones@tylerwren.co.nz