The accounting industry in Singapore is experiencing a talent shortage. This is exacerbated by the rapid pace of technological advancement that demands a workforce skilled in both traditional accounting practices and new digital tools.
Additionally, as businesses expand globally, there is an increasing need for professionals with a deep understanding of international financial standards, regulations, and practices. The shortage is further intensified by the changing expectations of the younger workforce, who seek diverse career paths, work-life balance, and meaningful work experiences.
To address these challenges and come up with strategies to ensure a robust pool of accountancy talents, the Accounting and Corporate Regulatory Authority (ACRA) with the support of Singapore’s Ministry of Finance (MOF) has set up the Accountancy Workforce Review Committee (AWRC) in 2022.
After 48 meetings and focused group discussions (FDGs) amongst over 300 participants, AWRC has come up with a report highlighting recommendations to build a quality and sustainable talent pipeline for the accountancy profession.
Their findings are categorised into three pillars:
Ensure Good Careers aimed to enhance the appeal of the profession.
To make the profession rewarding, one key recommendation is the redesign of the remuneration and reward structure which bigger firms have already started to respond to. We at Kretson Helmi Talib have followed suit, adjusting our pay grades this year, and revisiting the computation of our bonus and performance-based perks.
Advocating for work-life balance and more purposeful work is another action point. As a response, the government has incentivised firms that offer flexible hours or telecommuting arrangements, a move that redesigned the overall work arrangement for accounting firms.
Singapore also tapped into going digital to improve overall work efficiency. ACRA and other agencies implemented Productivity Solutions Grant (PSG) for the Accountancy Sector and Robotic Process Automation (RPA) Adoption Support Scheme that supports and funds small and medium-sized accounting practices (SMPs) for their digitalisation.
When efficiency and morale improve, the talent force is also granted the time and resources for work and life balance.
Create Quality Pathways to make the accountancy career more accessible for talent from diverse backgrounds.
ISCA has launched several initiatives to make the Singapore Chartered Accountant Qualification (SCAQ) more streamlined and accessible to candidates from different sources.
ISCA has globalised the CA certification through reciprocal arrangements with other CPA or CA bodies worldwide. These arrangements allow Chartered Accountants from other bodies to easily gain their Singapore qualification and vice versa, facilitating cross-border mobility and collaboration.
Late in 2023, a S$15 million budget was placed to enhance the pool of accounting talents which will particularly be allocated to more advanced administration of the Singapore Chartered Accountant Qualification (SCAQ) program that the accountancy body took over from ACRA on 1 January 2024.
Through this allocation, ISCA collaborates with autonomous and private universities in Singapore through the Accelerated Pathway Program (APP) to allow accounting undergraduates to clear most of the SCAQ educational requirements during their degree instead of completing them after graduation.
ISCA also acknowledges non-accountancy degree holders or undergraduates as an entry point towards the certification. Recognised degree holders can now apply for the qualification through the Foundation Program which contains 6 modules for completion.
Strengthen Professional Capabilities to develop future-ready professionals to navigate changes and seize opportunities.
One recommendation mapped out is to improve the recognition and value of the Chartered Accountant (CA) Singapore designation. The designation is an indication that its bearer is a fully qualified accounting professional who has either completed the SCAQ or is a member of one of the professional accountancy bodies that ISCA has reciprocal membership or mutual recognition agreements with.
In recent years, candidates have cited difficulty in passing the SCAQ exams and most have chosen not to obtain a professional qualification altogether.
To address this, ACRA and ISCA collaborated in developing self-study materials to provide learning support towards the SCAQ completion. Training providers were also engaged to develop preparatory courses and offer comprehensive support for candidates.
Lastly, close partnerships with the universities also played an important role. By regularly updating these educational institution’s syllabus and integrating emerging areas into their curriculum, students can be well-equipped as they enter the workforce and can apply their skills to diverse roles.
These reports and recommendations have served as an anchor for ISCA, the firms, regulatory bodies, and the whole accounting industry for the implementation of strategic initiatives that are not just reactive measures but rather a forward-thinking blueprint for sustainable growth of the profession in Singapore.
