Rebuilding the Pipeline for Accounting Talent

• Employers worldwide report an acute shortage of qualified accounting professionals, at a time when companies need accounting expertise more than ever.
• Fewer students are pursuing accounting careers for reasons ranging from demographic decline to outdated perceptions of the field.
• Business schools can elevate accounting’s appeal to young students by creating more flexible pathways to CPA licensure, advocating for higher starting salaries, and dispelling misperceptions about the profession.

 
Employers worldwide report an acute shortage of qualified accounting professionals. According to the CFO Pulse Survey 2024, 83 percent of financial leaders said they could not find qualified accounting talent—up from 70 percent in 2022. This is happening at a time when organizations need accounting expertise to help them navigate changing regulations and address mounting concerns about environmental, social, and governance (ESG) issues.

Unfortunately, enrollments in accounting programs are dropping due to a number of factors: rigid licensure requirements, outdated perceptions of the field, and even declining birth rates. Many students who earn accounting degrees choose not to become certified public accountants (CPAs), opting instead for more lucrative or flexible careers in other fields.

Below, three accounting educators examine the multifaceted causes and consequences of the talent shortage in the U.S., the U.K., and Taiwan—and share how business schools can rebuild the talent pipeline for the accounting profession.

Let’s Make CPA Requirements More Flexible

Janie Chang
Academic Executive Director of the Master of Professional Accountancy Program, Graduate School of Management, University of California–Davis

More students might opt to prepare for and take the CPA exam if there were more flexible pathways to an accounting career. With that in mind, many state governments and professional organizations in the U.S. are considering changing the eligibility requirements for becoming a certified public accountant (CPA).

For example, to be eligible for a CPA license in California, individuals currently must:

• Complete a bachelor’s degree in any subject.
• Complete at least 150 total semester units. Of these, 24 units must be related to accounting (courses delivered by the accounting department or school of accounting); 24 must relate to other business subjects; 20 to accounting study (on topics such as business law, finance, and economics); and 10 to ethics.
• Pass the CPA exam.
• Obtain one year of accounting experience supervised by a licensed CPA.

Many states now are considering allowing CPA candidates to replace 30 of the 150 semester units with an additional year of work experience (totaling two years of accounting experience). This pathway, proposed by the American Institute of Certified Public Accountants (AICPA)  and the National Association of State Boards of Accountancy (NASBA), aims to make the CPA designation more accessible and attractive to potential candidates. In California, legislation is underway to effect this change in about a year.

Industry leaders, including the Big Four accounting firms, have reviewed this change carefully and support it as a strategy for addressing the workforce shortage.

Fast-Tracking the CPA Journey

In addition to providing this new path to earning the CPA, business schools can make their accounting programs more appealing to students. For instance, the Master of Professional Accountancy (MPAc) program at the University of California–Davis allows students to complete the degree in just nine months instead of 12. This format offers a significant time advantage to students, while still allowing them to complete the coursework required for CPA eligibility.

The MPAc emphasizes applied learning, which ensures that students not only understand core concepts, but also can apply those concepts in real-world settings. Collaboration is another cornerstone of the MPAc curriculum. Students work in teams on assignments that require them to refine soft skills such as communication and teamwork.

Our nine-month format for the MPAc offers a significant time advantage to students, while still allowing them to complete the coursework required for CPA eligibility.

They also can attend events such as our Forensic Accounting Symposium and participate in workshops conducted by industry professionals. Additionally, because most students enter the program with little prior work experience, our career services office provides a step-by-step support system, networking opportunities, and access to accounting firms.

New Pathways for Today’s Students

To broaden its appeal further, the MPAc program has been STEM-designated by the U.S. Department of Homeland Security because of its content related to science, technology, engineering, and mathematics. This designation also allows international students to apply for Optional Practical Training (OPT), enabling them to work in the United States temporarily after graduation.

Designing more flexible and accessible pathways to CPA licensure presents a promising solution to the accountant shortage. By designing programs with accelerated formats and offering benefits such as STEM designation, we can attract a new generation of CPAs who are prepared to meet the growing demands of the profession.

Let’s Collaborate With Employers

Aly Salama 
Chair in Accounting & Corporate Governance, Newcastle Business School, Northumbria University in Newcastle upon Tyne, United Kingdom

The role of accountants is evolving as professionals shift from being traditional financial record-keepers to serving as strategic business partners. In the U.K., this shift is being driven by factors such as the demand for proactive guidance, an increase in private equity interest, the subsequent consolidation of practice, and expanded sustainability reporting requirements.

Additionally, as AI automates routine tasks such as data entry and invoice processing, accountants are doing more to shape the direction of organizations; they are offering personalized financial advice and specialized tax guidance. Moreover, the U.K. Sustainability Disclosure Requirements (SDR) and International Sustainability Standards Board (ISSB) now call on accountants to help their clients comply with complex ESG rules and identify strategic benefits of sustainable practices.

But as demand for qualified accountants increases, the pool of talent is dwindling. According to a 2023 survey conducted by the global recruiting firm Hays, 90 percent of employers in the finance and accounting sector struggle to recruit qualified professionals.

Several factors contribute to the trend:

• An aging workforce. Many CPAs will retire within the next five to 10 years, with too few new graduates to replace them.
• Cross-sector competition. Fintech and technology companies are drawing talent away from accounting.
• Misperceptions about the field. Potential candidates are deterred from entering the field by misconceptions about the role of modern accountants.
• Lack of diversity. The field has struggled to attract and retain women and individuals from underrepresented groups.

The Association of Taxation Technicians predicts that the U.K. could face a shortage of 60,000 accountants by 2050.

The Critical Role of Our Partners

At Newcastle Business School, we are adapting our Accounting BSc (Hons) program to align with the needs of students and recruiters. The program features modules that combine core theory with problem-based learning. An optional, yearlong placement between the second and final years gives students valuable practical experience.

We especially emphasize maintaining close ties with the accounting industry. For instance, we rely on our Accounting Advisory Board, comprising senior leaders and alumni from various sectors, to provide perspectives on improving programs and help us bridge the gap between theory and practice.

Our accounting graduates must be skilled in data analytics, AI integration, strategic thinking, and communication, not just technical areas.

Board members, who meet quarterly with our leadership team, contribute to our research initiatives, provide input on our strategic direction, and strengthen our relationships with current students and the community. They also mentor leadership team members to support our commitment to leadership development, as well as promote the value of the Accounting Unit to students, employers, and various stakeholders.

Our Future Priorities

As we adapt to the field’s rapid transformation, our Accounting Unit will focus on four priorities:

Emphasizing technology and advisory competencies. Our graduates must be skilled in data analytics, AI integration, strategic thinking, and communication, not just technical areas.

Developing sustainability and ESG expertise. Accountants are now central to ESG reporting, so our graduates must know how to measure, manage, and report environmental impact, as well as navigate complex ESG compliance requirements and identify the strategic benefits of sustainable practices.

Supporting industry transformation. The U.K. consulting market is projected to grow 5 percent in 2025—especially in the pharmaceutical, life science, and tech sectors. We must prepare graduates for this broader advisory landscape.

Expanding recruitment. Our student recruitment is now somewhat concentrated in the regions of Northumberland, Durham, and North Yorkshire, which might narrow our student demographic. As we host events to attract students from different backgrounds, we also will consider extending our outreach beyond traditional recruitment areas and diversifying our faculty to create an inclusive learning environment. 

As accounting plays a more strategic role in business, we want to work with employers to build a more diverse and sustainable pipeline of skilled professionals. With the help of corporate partners, we will communicate the field’s relevance and show students why careers as chartered accountants are more rewarding than ever.

Let’s Make Accounting More Appealing

Hung-Chao Yu
Professor, Department of Accounting, National Chengchi University in Taipei, Taiwan

Employers in Taiwan—particularly the Big Four audit firms—have voiced serious concerns about a shortage of qualified accounting talent. Problems with the pipeline stem from a mix of structural, economic, and generational factors:

• Demographic decrease. Taiwan’s falling birth rate has led to fewer university-age students.
• Expanded career options. More graduates now gravitate to careers in technology, design, content creation, digital media, or entrepreneurship, which they perceive as more flexible, dynamic, and financially rewarding than accounting.
• Lower starting salaries. Accounting roles often pay new graduates less than positions in other fields, while requiring long working hours during peak seasons. This leads students to question the return on their effort.
• AI disruption. Students are concerned that AI will take over entry-level positions in auditing and bookkeeping, adding to their reluctance to enter or remain in the accounting field.

In other words, the talent shortage is likely less about a lack of interest in accounting and more about shifting expectations, mounting economic pressures, and evolving labor dynamics.

Overcoming Perceptions

At National Chengchi University’s Department of Accounting, we have adopted several strategies to counter these trends:

• Career awareness initiatives that highlight accounting’s strategic role in areas such as ESG reporting, digital assurance, forensic analytics, and advisory services.
• Events and outreach that showcase diverse career paths beyond audit and tax, including consulting, technology, and roles at multinational corporations.
• Industry collaboration with major firms. Our partners co-teach and guest lecture; establish structured internships; and help organize and co-host career fairs, mock interviews, and networking events.
• Student support services, including one-on-one mentoring, academic advising, job placement assistance, and CPA exam preparation workshops.
• Merit-based and need-based scholarships to attract high-performing students who might otherwise choose trendier fields.
• Advocacy for flexibility. We work with employers to design more flexible career pathways such as part-time graduate study and dual-discipline programs (such as accounting and tech), as well as advocate for employers to offer more competitive compensation packages.
• Expanded recruitment strategies. We engage directly with high school counselors and teachers, offering campus tours and demo classes to help young students and their families understand the profession’s potential.

Within these efforts, we recognize that this challenge is not unique to our institution, but affects every accounting program. With that in mind, we co-organize national outreach campaigns—including joint information sessions, school visits, and media efforts—with other accounting programs in Taiwan to raise awareness of the value and versatility of accounting education.

Adapting the Curriculum

We have adopted a modular curriculum that allows students to specialize in emerging fields such as management accounting, fintech, ESG reporting, and sustainability assurance. This format allows them to tailor their learning to future-ready career paths.

The talent shortage is likely less about a lack of interest in accounting and more about shifting expectations, mounting economic pressures, and evolving labor dynamics.

In addition, we have adopted a mandatory IT module, reflecting our belief that digital literacy is no longer optional in the future of accounting. The module features a structured sequence of courses that include Introduction to Programming for Accountants, Data Analytics with Python, AI and Machine Learning in Financial Decision-Making, and Blockchain and Smart Contracts, as well as courses focused on enterprise resource planning (ERP) systems and robotic process automation applications.

We also have introduced new academic tracks in big data analytics, AI for financial decision-making, ERP systems, and blockchain auditing. We are regularly updating course content and training faculty in emerging technologies, in consultation with industry.

Offering More Real-World Exposure

To demonstrate to students the possibilities of modern accounting careers and further build our program’s appeal, we are placing even greater emphasis on:

Internship and experiential learning opportunities, especially in areas such as internal audit, data analytics, and digital transformation.

Cross-disciplinary learning, including internships and interdepartmental courses that blend accounting with data science, fintech, ESG, and corporate governance.

Global exposure via international competitions in accounting, auditing, and data analytics. We fund travel, provide coaching, and offer flexible academic arrangements to support students’ competition participation.

Renewing Enthusiasm for the Discipline

Through these combined measures, we aim to broaden the backgrounds of our incoming students, as well as reignite enthusiasm for the accounting profession among members of the next generation.

We can make accounting more visible, flexible, and responsive to student concerns about work-life balance, compensation, and career growth. In doing so, we will build a sustainable pipeline of talented graduates who are excited to enter an increasingly dynamic field.