KPMG is compensating high school interns with an hourly rate of $20 to $22 in an effort to motivate more teenagers to pursue a career in accounting and to rectify the talent shortage issue. Research indicates that the profession's lack of diversity is one of the reasons why it has failed to recruit young talent on a national scale.
Autumn Kimborough, a 17-year-old from Flossmoor, Illinois, initially had little interest in accounting. But then, she found out about the KPMG summer internship program, which included a $250 clothing stipend, and changed her mind. KPMG had created this three-week session with the intention of inspiring young adults to consider a career in accounting. About 200 teenagers are currently participating in it, earning either $20 or $22 an hour alongside clothing, transportation, and meal stipends, as well as a business etiquette class and mentor pairings. Kimborough reflected on her initial impression of being a CPA, noting that she thought it was just sitting at a desk all day. Then she gained a new perspective of the field, learning that it can involve a lot of travel and connecting with people, which grabbed her attention.
A staffing shortage in the accounting field has been a big issue. Long hours, rigorous deadlines, and the negative perception of the profession has caused more people to leave than to stay. Rather than entering the accounting field upon graduation, many college students are instead opting to go into investment banking, consulting, and data analysis. Furthermore, the credit hour requirement for a CPA license adds to the difficulty. In an effort to combat the issue of the talent pipeline, other accounting firms and nonprofit groups are targeting teenagers in order to engage the next generation of accountants.
The Deloitte Foundation, Urban Assembly and Outlier.org recently initiated a dual enrollment pilot program in New York. In the fall, some public high school juniors and seniors will be able to access an Intro to Financial Accounting class for three college credits from the University of Pittsburgh. These credits are transferable to the college of their choice. Additionally, the purpose of the program is to motivate various students to think about a career in accounting.
Elena Richards, KPMG's Chief Diversity, Equity and Inclusion Officer, said, “Although this isn't the most glamorous job, we're actively working on engaging earlier and increasing our reach to make sure people understand there are lots of possibilities in this profession." Studies have revealed the lack of diversity in this sector is why it has been hard to draw in younger job hunters - the AICPA Trends Report suggested that only 2% of CPAs are Black and 5% are Hispanic, despite ample job openings. Despite this, accounting is frequently listed in reports as one of the top jobs that have an excellent prospects and salaries of six figures. Subscribe to CNBC on YouTube.
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