Latest news with #InternationalFederationofAccountants
Business Times
25-05-2025
- Business
- Business Times
Burnout, boredom or bad PR? Global study aims to uncover why accounting's losing its shine
[SINGAPORE] The International Federation of Accountants (Ifac) is leading a global study that aims to measure the attractiveness of the accounting profession, assess talent retention, and understand the reasons behind attrition in the sector. Work on the study began nine months ago and preliminary results are expected in the second half of this year, said Ifac chief executive officer Lee White in an interview with The Business Times. The study, which will survey accountants around the world, is conducted in partnership with the Global Public Policy Committee – a forum comprising the six largest international accounting networks: BDO, Deloitte, EY, Grant Thornton, KPMG and PwC. Asked how many responses the study is targeting, White said: 'I can't give you a figure at this time, but it needs to be of sufficient size that we've got a good statistical basis in which to draw (findings from). 'We're very determined to try and gather that data in a good, diverse spread geographically as well.' To that end, Ifac will tap its network of more than 180 professional accountancy organisations across over 140 jurisdictions. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up The study comes amid a persistent global talent crunch in accounting, driven by an ageing workforce, smaller incoming cohorts, and attrition. The US accounting industry has lost about 340,000 workers since the Covid-19 pandemic, bringing headcount to levels last seen in 2010, Bloomberg reported in March last year. In Singapore, cohort sizes for accountancy degree courses in the city-state's autonomous universities have fallen more than 10 per cent since 2018. Fewer students are also selecting accountancy as their first-choice degree. In response to whether long hours and burnout – often cited by accountants as reasons for leaving – contribute to the shortage, White acknowledged that there are 'high demands' and 'pressure' on professionals. He explained: 'But what we've got to understand a little bit more is, how do people feel about that pressure, and is it a pressure that is there at particular times of the year? 'Is the pressure somewhat eased now that we've gone to more of a hybrid working (model)? Or are those changes in work patterns actually adding more to the pressure?' The global study aims to provide data that gives a 'clear sense' of these issues, and improve understanding of the mental well-being of accounting professionals. The data will then be analysed to help 'shape a better narrative' around the accounting profession, or to 'dispel myths' that have taken root over time – such as the perception that the profession is boring, he added. Green standards Another key priority for Ifac is to build on what White sees as 'good progress' in expanding sustainability reporting and assurance efforts. 'Different jurisdictions are moving at different rates, and governments and regulators are looking for guidance from professional accountants as to how (to) set up their frameworks for this type of reporting and assurance,' he said. In March, Ifac updated its International Education Standards to include sustainability competence in the initial training of accountants – setting a new baseline for global education and training programmes. These steps are crucial, he noted, as they equip accountants with the skills to ride the 'momentum of sustainability', and advise clients on adapting to changing business practices. They also help the profession to articulate a 'sense of purpose' – a narrative that could appeal to younger entrants. 'I think we've got a great story to tell as professional accountants, but perhaps we're not telling it as well as we need to,' he added.
Yahoo
12-05-2025
- Business
- Yahoo
More Global Companies Seek Assurance on Sustainability Reporting, Study by IFAC, AICPA & CIMA Shows
The percentage of companies engaged in sustainability reporting remained unchanged at 98% 73% of companies obtained assurance on at least some of their sustainability disclosures Greenhouse gas emissions remain the most widely assured category of sustainability information NEW YORK, May 12, 2025 /PRNewswire/ -- Almost 3-in-4 of the largest global companies sought assurance on some aspect of their sustainability disclosures, according to an updated report from the International Federation of Accountants (IFAC) and AICPA & CIMA. The study marks the fifth annual benchmark that now includes 2023 data. Seventy-three percent of large companies from G20 countries obtained assurance on their sustainability disclosures in 2023, up from 69 percent the previous year, according to the report, The State of Play: Sustainability Disclosure and Assurance, (Five-Year Trends and Analysis, 2019-2023). Five years ago, that number stood at 51 percent. Most of the assurance then and now is of limited scope. Audit firms—as opposed to consultants or other service providers—continue to lead (55 percent) in providing assurance on sustainability disclosures by large global companies, with broad variations country to country. Audit firms' overall share of the market declined from 58 percent in 2022, although there are mitigating factors for the drop, including: Consolidation of reports – In the European Union, where audit firms historically provide the majority of sustainability assurance, firms began issuing a single assurance report instead of a series of separate ones, lowering the raw number of reports issued, albeit for an increased number of assurance clients. Consultants and non-audit firm service providers are more likely to issue multiple greenhouse gas-related assurance reports (for example, an average 2.5 assurance reports were generated per company in South Korea during 2023). When companies obtain assurance for the first time, they typically focus on greenhouse gas-related information and start by engaging other service providers who specialize in that area. The report notes the increased use of audit firms over the prior year in several major markets in 2023, including Singapore (+6 percentage points), South Africa (+4), the United Kingdom (+5) and United States (+5). In the latter instance, audit firms' share of sustainability assurance rose from 23 percent to 28 percent. "Auditors have extensive education requirements, adhere to strict independence rules and possess a deep and holistic view of an organization's business, processes and risk profile," said Susan Coffey, CPA, CGMA, the CEO of public accounting for AICPA & CIMA "That makes them ideal candidates to perform sustainability assurance engagements, and we're seeing many boards and audit committees endorsing that view as corporate reporting matures." More than three-quarters of companies now report sustainability information with financial disclosures in annual or integrated reports. Organizations that include sustainability information with their annual or integrated reports overwhelmingly use their statutory auditor to provide assurance over those disclosures. "The largest global companies have responded well to voluntary systems of sustainability reporting and assurance, driven by investor demand," said IFAC Chief Executive Officer Lee White. "With new global standards in place, regulators now have the toolkits to move from voluntary to mandatory disclosures over time, which we expect will further drive high-quality, consistent and comparable sustainability-related information for the investing public and all stakeholders. IFAC and our members, including AICPA & CIMA, remain committed to supporting this shift—advancing trust, good governance, and global alignment in sustainability disclosure, united in shaping a future where sustainability information earns the same level of trust as financial reporting." Among other highlights of the updated study: Almost all companies (98 percent) report some information on sustainability. This is unchanged from last year. Use of sustainability information in annual reports continues to rise. Some 44 percent of companies included it in their annual report, up from 18 percent five years ago. Five jurisdictions had double-digit increases in sustainability assurance in 2023: Hong Kong, Indonesia, Mexico, Russia and Saudi Arabia. About the Study IFAC and AICPA & CIMA partnered to understand sustainability reporting and assurance practices on a global basis by capturing reports containing environmental, social and governance (ESG) information in 22 jurisdictions. Some 1,400 companies were reviewed—100 from each of the largest six economies, with 50 companies reviewed in the remaining 16 jurisdictions. The current report includes data from 2019-2023. Full methodology is available in the study. About AICPA & CIMA, together as the Association of International Certified Professional Accountants AICPA & CIMA, together as the Association of International Certified Professional Accountants (the Association), advance the global accounting and finance profession through our work on behalf of 597,000 AICPA and CIMA members, candidates and registrants in 188 countries and territories. Together, we are the worldwide leader on public and management accounting issues through advocacy, support for the CPA license, the CGMA designation and specialized credentials, professional education and thought leadership. We build trust by empowering our members, candidates and registrants with the knowledge and opportunities to be leaders in broadening prosperity for a more inclusive, sustainable and resilient future. About the International Federation of Accountants IFAC, by connecting and uniting its members, makes the accountancy profession truly global. IFAC member organizations are champions of integrity and professional quality, and proudly carry their membership as a badge of international recognition. IFAC and its members work together to shape the future of the profession through learning, innovation, a collective voice, and commitment to the public interest. View original content: SOURCE AICPA & CIMA Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Recorder
08-05-2025
- Business
- Business Recorder
CFO Conference 2025: Jean Bouquot President, International Federation of Accountants (IFAC)
TEXT: On behalf of the International Federation of Accountants (IFAC), it is my privilege to extend a warm welcome to all participants of the CFO Conference 2025, hosted by the Institute of Chartered Accountants of Pakistan (ICAP). In today's rapidly evolving global landscape, finance leaders are at the forefront of transformative change—driven by technological disruption, heightened sustainability imperatives, and shifting stakeholder expectations. The theme of this year's conference, 'Quantum Leap: Agility & Competitive Edge,' aptly reflects the urgency for strategic adaptability and visionary leadership in navigating complexity. Across sectors and geographies, the role of the CFO has expanded significantly. No longer confined to financial stewardship, today's CFOs are catalysts for innovation, champions of purpose-driven growth, and custodians of long-term value. The conversations taking place at this forum are vital to shaping a resilient and forward-looking profession—one that IFAC is proud to support and advance. I commend ICAP for its unwavering dedication to professional excellence, thought leadership, and capacity building. I am delighted to learn about ICAP's initiative of the Professional Excellence Awards (PEA) and that its third edition is being conducted along with the CFO Conference. This commendable endeavor underscores the importance of recognizing and celebrating the achievements of ICAP members who have demonstrated outstanding leadership skills and made significant impacts on their respective industries. I extend my best wishes to ICAP for the success of this initiative and eagerly await news of the winners' accomplishments. Initiatives such as the PEA not only celebrate outstanding contributions but also reinforce the benchmarks of integrity, innovation, and impact that define the future of finance. At IFAC, we remain committed to supporting the development, adoption, and implementation of high-quality international standards, preparing a future-ready accounting profession, and speaking out as the voice of the global accounting profession. Our work depends on collaboration across the IFAC family—of which ICAP is an important member. I applaud ICAP for convening this impactful platform for dialogue, insight, and inspiration. May this conference serve as a catalyst for transformative ideas and lasting partnerships that strengthen the role of CFOs in driving sustainable economic progress. Wishing you all a productive and inspiring experience at the CFO Conference 2025. Copyright Business Recorder, 2025
Yahoo
15-04-2025
- Business
- Yahoo
IFAC seeks input on revised membership obligations
The International Federation of Accountants (IFAC) has initiated a public consultation on proposed revisions to its Statements of Membership Obligations (SMOs), a core component of its framework to support a sustainable global accountancy profession. The proposed revisions address developments in international standards and aim to strengthen the profession's contribution to the public interest. Key updates include revised quality assurance procedures to align with quality management standards of the International Auditing and Assurance Standards Board's (IAASB), and a renewed focus on flexible entry pathways into professional accounting education, in accordance with the International Education Standards (IES). In addition, the revisions will clarify expectations for the implementation of the IAASB's International Standard on Auditing for Less Complex Entities. They will also formalise the expectation for the adoption of all International Financial Reporting Standards, including the S1 and S2 sustainability disclosure standards issued by the International Sustainability Standards Board (ISSB). IFAC is seeking input from a broad range of stakeholders, including its members, the Forum of Firms, Network Partners, regional accountancy organisations, regulators, and standard setters. This feedback is essential to ensure that the SMOs remain relevant and aligned with the evolving international standards, IFAC said. The consultation period is open until 8 August 2025, with the revised SMOs expected to come into effect on 1 January 2026, subject to IFAC Board approval. In March 2025, IFAC announced revisions to the IES, which now incorporate sustainability competence into the training of professional accountants. These updates to IES 2, 3, and 4 establish a global baseline for sustainability competence, ensuring accountants are equipped to handle sustainability-related disclosure and assurance standards. "IFAC seeks input on revised membership obligations" was originally created and published by The Accountant, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
