Financial authorities will allocate trainee hiring quotas to each accounting firm and significantly expand the institutions and departments recognized for practical training to resolve the issue of "unassigned accountants," who pass the certified public accountant (CPA) exam but cannot find a training placement.
The Financial Services Commission on the 31st announced a "CPA trainee stabilization plan" after deliberation by the Certified Public Accountant Qualification and Disciplinary Committee. The Financial Services Commission plans to complete within the year approval of revisions to the related rules of The Korean Institute of Certified Public Accountants and an amendment to the "Designation Notice for CPA Practical Training Institutions."
Under the current Certified Public Accountant Act, those who pass the CPA exam must complete at least one year of practical training to perform CPA duties. However, as the use of artificial intelligence (AI) has recently increased and accounting firms' hiring capacity has decreased, more unassigned accountants are failing to secure placements even after passing. As of the end of April last year, 178 unassigned accountants among those who passed the CPA exam could not find practical training placements, a 2.5-fold increase from a year earlier.
First, financial authorities plan to encourage audit-registered accounting firms to share the hiring of unassigned accountants until the training situation stabilizes. When an unassigned accountant applies to The Korean Institute of Certified Public Accountants for placement, the institute will allocate hiring headcount to firms based on factors such as each firm's share of revenue. Allocation will focus on successful candidates with longer unassigned periods.
The Financial Services Commission (FSC) decided to offer an incentive by partially reducing the score for exclusion from auditor designation for accounting firms that are allocated and hire unassigned accountants. The Korean Institute of Certified Public Accountants is also reviewing ways to ease membership fee burdens for those firms.
Practical training institutions will also be expanded. The "Designation Notice for CPA Practical Training Institutions," which lists training institutions, has not been revised since 2004, drawing criticism that it has not sufficiently reflected recent passers' demand and career shifts. Accordingly, in addition to existing training institutions, high-preference institutions among passers such as the National Assembly, the courts, and the National Pension Service (NPS), as well as institutions recommended by The Korean Institute of Certified Public Accountants, will be recognized as training institutions.
The scope of eligible departments for training will also broaden. Currently, practical training has centered on departments that prepare financial statements, but going forward, training will be allowed in other departments recognized by the president of The Korean Institute of Certified Public Accountants after confirmation by a supervising CPA.
The Financial Services Commission (FSC) expects the new plan to largely resolve training difficulties for unassigned accountants who have been unable to find placements for extended periods. An FSC official said, "We will push institutional improvements so that those who pass the CPA exam can find training placements more stably."