“Seventy-nine percent of companies had limited success in hiring chartered accountants and additionally 80% had difficulty retaining scarce skills,” said Landelahni CEO Sandra Burmeister of the collected information from the Landelahni Recruitment Group’s Financial Services Survey 2010.
Eighty-two percent of auditing firms believe there is simply a scarcity of chartered accountants.
Making use of Statistics South Africa and Seta data, it projected the fact that the availablility of employees within the financial industry in 2010 is approximately 270 000 — which is 3,3% of overall employment.
This figure decreased from 300 000 in June 2008.
Burmeister said it it was worrisome although the volume of students enrolling in accounting training courses at educational institutions had improved significantly, this was certainly not converting into the number actually graduating.
“In between 1999 and 2009, the total volume of university enrolments within the accounting sector was 504 068, against 60 114 degreed graduate students over the same period — a dismal 11,9% pass rate.”
At the same time, Technikons were not faring that much better.
Given the increased complexity of regulatory compliance and corporate governance, accountants are more in demand than ever.
Couple this with the fact that scarcity is a worldwide issue, meaning local South African skills would likely make their way to foreign countries, some sort of long-term solution was considered necessary, said Burmeister.
“Due to the scarcity of qualified accountant in the marketplace we’re paying premium rates for these skills — based on this data we are going to be paying the premiums for the next two decades.”
Source: Sapa, svtuition.org, onlinembabuzz.com, kaikoura.govt.nz, decapitecpa.com, knol.google.com, gwinnettcollege.edu