Accountant Shortage, Resignations Fuel Financial Reporting Risks
Corporate finance teams and their outside auditors are powering through this financial reporting season with fewer staff on hand to deliver accurate financial statements to investors.
Accountants are leaving jobs in record numbers, at both corporations and audit firms, joining the broad swath of workers re-evaluating what they want from their careers. Some are leaving the profession entirely. Others may take advantage of a tight labor market to seek higher salaries and more flexible schedules.
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Filing delays cause separate issues: keeping critical performance details from investors and running afoul of listing requirements and corporate mandates set by the SEC, which offered a rare but temporary deadline extension at the start of the pandemic.
Corporate managers, facing enormous market pressures to meet reporting deadlines, are unlikely to miss them this filing season, said Yelena Barychev, a partner with Blank Rome LLP who advises corporate boards.
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"Accountant Shortage, Resignations Fuel Financial Reporting Risks," by Amanda Iacone was published in Bloomberg Tax on February 14, 2022.