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Keeping employees loyal - the secrets revealed

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12 November 2007 
 
Accountants under the age of 35 plan to stay with their employer for less than three years, with those located in Queensland and Western Australia intending to stay with their current employer for longer, compared to other state counterparts.  
 
An independent survey* of 281 Chartered Accountants was commissioned to unlock the secrets behind the employment decisions made by young members.  
 
“While the accounting profession is by no means suffering a skills shortage in isolation, it is certainly one of the hardest-hit professions due to high demand. It is important that as a profession we understand factors affecting acquisition and retention,” said Graham Meyer, Chief Executive Officer, Institute of Chartered Accountants in Australia.  
 
The Employee Loyalty research revealed that young Chartered Accountants: 

  • Want to constantly learn and be given challenging opportunities are looking to gain experience and to turn that experience into grounds for a promotion 
  • At small and medium public practices tend to stay longer than in other sectors because of autonomy and flexibility, while the Big 4 attracts employees through its large client base and reputation 
  • Perceive high remuneration, senior roles and work/life balance working hand-in-hand 
  • Believe that it is the employer’s responsibility to establish employees’ career path.
 
Nearly 45 per cent of respondents plan to stay with their employer for less than three years. Attrition rates are directly impacted by a lack of career growth, low remuneration, unchallenging work, poor managers and colleagues.  
 
Looking around the country there are some distinct differences between the young Chartered Accountants surveyed.  
 
The research suggests that Victorian respondents are more career orientated than other states with career growth rating high, while their New South Wales counterparts value work/life balance. Those respondents located in Queensland and Western Australia were more inclined to stay with their current employer for relatively longer periods.  
 
“Interestingly, 44 per cent of respondents suggest the reason why they stay in their current position is because of their work mates,” said Mr Meyer. 
 
“It is imperative that organisations focus on preventative strategies to work towards keeping their existing talent. Practical and realistic solutions need to be implemented within organisations, to assist with the skills shortage,” he added. 
 
The research revealed that employees are looking for variety, client involvement and formal on-the-job training or mentoring to keep engaged. 
 
The Institute recommends that public practice employers review the option of providing additional non-technical skills training and development. All employers are advised to continue to focus on providing variety, client involvement and formal on-the-job training or mentoring as a means of keeping employees challenged and engaged. 
 
* The Institute commissioned employment research firm, Retention Partners, to survey 281 Chartered Accountants under the age of 35 to research employee loyalty.