KICPA, Accounting Association: "Selecting 1,000 or Fewer CPAs Is Appropriate"

Seminar Held on Study of Demand for Certified Public Accountants

The Korean Institute of Certified Public Accountants, together with the Korean Accounting Association, the Korea Listed Companies Association, and the Accounting Policy Research Institute, held a seminar at the Korea Listed Companies Association building on November 4 to present the findings of a study on demand for certified public accountants reflecting changes in the accounting environment, including AI, and hear opinions.

Researchers from the Korean Accounting Association, including Professor Hwang Moon-ho of Kyung Hee University, said that the average annual growth rate in accounting firms' revenue had slowed to 2.8% over the past three years, while net hiring had fallen from 1,160 in 2023 to 370 in 2025. They added, "As of September 2026, an estimated 300 people had not been assigned because they could not find a place to complete their practical training. The share of those who passed the exam in a given year and began their practical training that same year fell to 63.6% last year, a sharp decline from 89.2% in 2022."

In a survey of stakeholder perceptions, 67.6% of companies and 45.9% of exam candidates said the number of people selected recently was "too high." Asked about the appropriate number of people to select over the next five years, 69.0% of companies and 48.3% of candidates said "1,000 or fewer." The weighted average of respondents' estimates for the appropriate number was 933 for companies and 1,012 for candidates, both below the current figure of 1,150.

Regarding changes in the accounting environment, including the development of artificial intelligence (AI), the researchers projected that demand in accounting firms' audit practices would decline by about 10% in three to five years and by about 12% to 16% after five years. They also found that changes in work allocation by seniority would have the greatest impact—between 5% and 50%—on employees in their first and second years. They expected the impact to be smaller at more senior levels.

The researchers argued that the number of people selected each year over the next two to three years should be set at 850 to 1,000, based on a comprehensive consideration of actual audit hours, standard audit hours, selection numbers adjusted for accumulated supply and demand, and capacity to accommodate trainees.

The Korean Institute of Certified Public Accountants said, "With the unassigned-candidate situation continuing, we hope the content of this seminar, held ahead of the Certified Public Accountant Qualification and Disciplinary Committee meeting that will decide the minimum number of CPAs to be selected for 2027, will be carefully reviewed, and that the number selected will be determined predictably and transparently in line with market demand and the conditions for developing talent."

This content was produced with the assistance of AI translation services.