Accounting Firms Navigate Compensation as AI Tools Upend Work

Artificial intelligence is putting accounting firm leaders on alert for workers well-versed in using and managing the new tools as the industry invests heavily in modernizing workflows. Firms should be staying attuned to the talent market and updating their salary structures accordingly to both attract early-career workers and retain staff looking to climb the ranks, according to Dominic Piscopo, founder of compensation data analytics firm Big 4 Transparency. They should also be having transparent conversations with their workers so compensation isn't a "black box." "Having transparency in those models and being willing to talk about it with people—not just have this very kind of cold process where a number is thrown out—can make all the difference, even if the number is exactly the same," Piscopo told Bloomberg Tax. Big Four accounting firms—EY, Deloitte, PwC, and KPMG—have started equipping staff with AI tools that promise increased efficiency and improved workflows. The new tech is prompting the industry at large to examine its workforce strategies and pricing models to stay competitive and attract talent. In this week's Talking Tax, Piscopo sat down with Bloomberg Tax reporter Jorja Siemons to discuss how firms and workers alike can navigate the current talent market. Do you have feedback on this episode of Talking Tax? Give us a call and leave a voicemail at 703-341-3690.