I read Blake Oliver’s opinion piece, “Could a simple licensing change increase the number of CPAs by 15%?” with great interest. The underlying theme that our profession must simply drop the 150-credit hour requirement in order to survive is a bit naïve.
I quote: “With business needs rapidly shifting, it may be time for the accounting profession to be willing to do the same. More dynamic education pathways could expand access and opportunities if leaders open themselves to change. The data demands it.”
When the data surrounding the ongoing pipeline deficit is truly analyzed, dropping 150-credit hours will not address what other scholars have identified as the underlying issues. They include:
- Low salaries;
- Mundane tasks; and,
- Burnout and the threat of new technology like generative AI.
People in the field start their careers at an accounting firm, burn out and move to accounting roles in-house at companies for a less hectic life but ultimately less thrilling work. Or they run off to more financially rewarding careers in finance, consulting, private equity or other similar exciting careers.
Per The Wall Street Journal, “Students want to make more money up front than many accounting firms are paying — and they are finding it in other industries, according to professors. The expanded opportunities have come during a decade-long economic boom that has created new roles in sectors from banking to tech. Top students straight out of college can make significantly more going to work for consulting outfits and banks, rival fields that are drawing quantitatively minded students, according to recruiters.”
The other mitigating factor is the challenge of the CPA exam itself. Data indicates that while the number of graduates initially taking the exam remains fairly consistent, there is a huge dropoff for those re-taking the exam. The perceived difficulty combined with the availability of other career paths drive those potential CPAs away from the profession.
Are we then, due to our reliance on “data,” supposed to dumb down the exam so that it becomes easier to pass? When do we no longer have a profession?
High standards, consistently applied, be it through college credits or in examinations, have served us well for many years, throughout many economic cycles. There has got to be other creative solutions than to simply “drop the hours” back to 120.
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