September is a big milestone in the lives of many young people in England, Wales, and Northern Ireland as they enter the final year before sitting their General Certificates of Secondary Education (GCSEs). For many of them, this represents the first big step on the path to the world of work.
Results of an AICPA & CIMA survey are raising questions whether they are equipped with the right skills to make a success of it.
Conducted at the end of 2022, the survey found four out of every five small and medium sized enterprise (SME) employers say there are skills gaps in their workforce. Employers are particularly looking for a workforce with more digital skills, more financial literacy and numeracy skills, and more communication skills. It is widely recognised that there is a particular shortage of STEM (Science, Technology, Engineering, and Maths) skills. The Institution for Engineering and Technology estimated that there is currently a shortfall of more than 173,000 workers in the STEM sectors.
New technologies like artificial intelligence will mean the demand for a STEM-literate workforce will increase further in the future. Happily, government figures show an increase in the number of young people studying STEM subjects. It is clear that those young people are responding to the demands of the modern labour market and giving themselves the best possible chance to succeed in the world of work.
Technological advances are affecting our work as well. Accountancy is now a digital profession. Many traditional tasks are being automated, opening up avenues for more purpose-driven work. For example, management accounting, with its focus on business performance, data, and value creation, is playing an expanded role beyond financial management to solve business and societal problems, such as optimising healthcare provisions and assessing environmental impacts and risks.
With the seismic changes affecting our profession, it is time to advocate for adding accounting to the list of STEM subjects taught in the United Kingdom. Its grounding in business, finance, and technology would further strengthen career prospects for many and help equip the United Kingdom’s future workforce with the skills it needs to drive a modern, entrepreneurial, and productive economy.
The Accounting for Growth All-Party Parliamentary Group recently issued a call for evidence to look into this issue. I would encourage you to contribute your views to their inquiry via accountingappg@aicpa-cima.com. I look forward to reading the findings.
By Andrew Harding, FCMA, CGMA, Chief Executive — Management Accounting at the Association of International Certified Professional Accountants, representing AICPA & CIMA.