SMSF industry facing ‘HR nightmare’

“All you need to do is chat to a recruiter or scroll the many pages of Seek.com.au to see the abundance of good quality accounting jobs. Demand is significantly outstripping supply,” noted Mr Johnston.

Mr Johnston said this may have partly stemmed from the use of outsourcing by partners and directors looking to control their costs.

“Outsourcing made sense [for many firms]. For every one accountant onshore, four could be employed offshore,” he explained.

“Quality and communication skills may have been an issue, but this was creatively solved with quality control officers and senior staff reviewing the work before it ever met the eyes of a client.”

However, Mr Johnston said this means that the graduates employed in firms have trouble closing the experience and skill gap between entry level and the senior accountants because much of the work is done offshore.

“Many invariably leave in search of greener pastures. Worse than that, those senior accountants possessing a wealth of knowledge are now rare as hen’s teeth. They’re either exiting the industry or inevitably reaching retirement,” he said.

Part of the solution to addressing the shortage of professionals in this space, he said, may be for firms to increase the automation of simple tasks through technology.

“Technology has meant a significant shift in the SMSF space in recent times through new software and automation. The hours of data entry and processing time are no longer required, meaning that the accountants of today can turn their attention from compliance to adviser,” he said.

“Features that leverage automation, improve accuracy, and save time will only continue to evolve. Ironically, it does not mean that the future of SMSF will be performed by low-skilled workers, but quite the opposite. With great software and automation, experienced operators are more valuable than ever.”

Another way the problem can be tackled, he said, is by attracting candidates from other accountancy or financial disciplines and providing them with specialist SMSF training.

“It will take attractive offers yes, and it will take training, career progression and other soft perks and benefits such as flexibility. The industry will have to work together to attract good people to our roles,” he said.

“The HR nightmare cannot be solved overnight but it is certainly an interesting time in the industry, and one we must creatively solve for as we progress with the new generation of SMSF accountants.”