Accountancy professionals working in Europe and Eurasia see the impact of inflation on their wages as the single biggest workplace concern, according to a major new global survey from ACCA – and this could trigger a talent squeeze across the region.
Global Talent Trends 2024 shows a range of pressures on finance professionals and their employers worldwide as organisations continue to grapple with rapidly evolving technology, changing work practices and the rising cost of living.
The impact of inflation on their salary is the biggest workplace concern
The survey of almost 10,000 finance professionals in 157 countries highlights the rapidly changing workplace and the concerns of finance professionals and their employers. Last year the story was dominated by changing work patterns and remote working; this year inflation takes centre stage in Europe and Eurasia (Afghanistan, Armenia, Azerbaijan, Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan).
Salary dissatisfaction
The rising cost of living was a major concern in the 2023 study, and the pressure on wages has not abated; globally, 55% of respondents say they are not satisfied with their current salary, rising to 58% among those aged between 26 and 43. While this broadly matches the views of respondents in Europe and Eurasia, it is clear that many in this region are concerned about the impact of inflation on their salary; it is the biggest workplace concern for respondents in both regions, identified by 43% of respondents in Europe and 37% in Eurasia.
As a result, 63% of respondents in Europe and 55% of those in Eurasia say that they will ask their employer for a pay rise in the coming 12 months, and 44% of Europeans (39% of Eurasians) believe that the best way to improve their salary and rewards is to leave their current organisation.
This should be of concern to employers across Europe and Eurasia – only a fifth of respondents in both regions have no plans to move from their current employer in the near future.
In both cases, the wish to improve their remuneration is most frequently given as the reason, cited by 31% in Europe and 39% in Eurasia.
83% of those in Eurasia say that they would like to receive more training on AI
AI factor
The global study highlights the impact of AI on the workplace and the anxiety that it is causing within the profession. Overall, almost half of respondents worldwide say they are overwhelmed with the pace of technological change in the workplace, with Gen Z the most likely to feel anxious (62% of this generation have concerns about the impact of AI on their job).
Respondents based in Europe and Eurasia, however, are generally more optimistic. Globally, 37% of respondents said that they felt overwhelmed by the impact of technology on their job, but only 32% of those in Europe and 24% of those in Eurasia (compared with 60% in India) agree. Even so, 81% of those in Europe and 83% of those in Eurasia say that they would like to receive more training from their employer on technology.
Working arrangements in Europe look very different from the global picture
Burn-out danger
The ongoing pace of change combined with high inflation means that problems around work-related stress, anxiety and burnout that were highlighted in the 2023 study have not improved significantly over the past year; 57% of all respondents say that their mental health suffers because of work pressures. This percentage is slightly higher among Europeans (59%) but lower in Eurasia (47%).
The question for employers is what they can do to attract and retain professional talent. The work-life balance is an important element of the employer proposition, and it is clear from the survey that the sudden shift in working patterns prompted by the pandemic continues to be felt.
In 2023, 57% of respondents said they were fully office-based, while 35% were working on a hybrid basis. This year, 52% are working in the office, while 41% have a hybrid arrangement and 7% work fully remotely. Working arrangements in Europe, though, look very different from the global picture.
Career progression opportunities are a far bigger worry than seeing roles replaced by technology
The report notes ‘big mismatches between how employees want to work and how they are working’, which can be seen in the responses from Europe and Eurasia. Almost two-thirds of Europeans say that they work full time in the office because it is required by their employer – but only 23% say they feel more productive when working with colleagues in person. Globally, 66% of respondents said they feel more productive when working remotely; 64% of those based in Europe agreed with this statement, although this proportion fell to 47% among respondents based in Eurasia.
Another important incentive for talent retention is career opportunities. Only 28% of respondents in Eurasia are concerned about their career progression opportunities, but respondents in every region agree strongly that they are not developing the rights skills for the future workplace. For half of respondents in Europe and Eurasia, this is a significant concern and a far bigger worry than seeing their role replaced by technology (mentioned by 17% of respondents in Europe and 20% in Eurasia).
More information
See the Europe findings and the findings for Eurasia
See AB’s overview of the report’s global findings; the global survey results are also available separately
See also AB’s coverage of the UK findings
