Why salary is no longer the primary factor behind career choices

Reports have shown that salary growth remains steady across Australia, but uneven pay outcomes, limited career progression, and persistent skills shortages are influencing constant retention challenges.

Salary growth has masked deeper retention risks in the accounting and finance profession as the progression gap narrows with pay.

According to the Hays Salary Guide, average pay increases across the market are around 3.8 per cent, yet individual experiences vary considerably.

While some professionals received stronger salary increases, 42 per cent reported either a pay decrease, no increase, or only a marginal rise, reinforcing a widespread perception of salary stagnation.

Salary satisfaction remained fragile, with around one-third of professionals expressing dissatisfaction.

As a result, employees are becoming increasingly sensitive to how their salaries progress from year to year.

The report highlighted that this divergence is what is driving increased movement in the market.

Speaking with HR Leader, Stuart Martin, business director and national accountancy and finance lead at Hays, offered the following insights regarding the changing perception of salary importance.

“While salary remains important, it is no longer the only factor driving career decisions,” he said.

“[Our research] found that 31 per cent of professionals who changed jobs did so for a higher salary, but almost as many, 29 per cent, left because they couldn’t see a clear career path.”

In addition, 36 per cent of professionals considering a move cited a lack of future opportunities as a key reason for wanting to leave.

For employers, this underscores the importance of transparent promotion criteria, structured career pathways, regular development discussions, and meaningful upskilling opportunities.

Finance professionals want confidence that they can build a long-term career within their organisation, and employers that clearly demonstrate a commitment to professional growth will be better positioned to retain high-performing talent.

The report highlighted that the accountancy and finance workforce is highly mobile, with 36 per cent of professionals actively seeking new opportunities and a further 34 per cent open to moving roles.

This was reinforced by the fact that over 70 per cent of employees have been in their current role for less than four years, indicating that shorter tenure and ongoing movement are now structural features of the market rather than temporary trends.

For employers, the focus has shifted from simply offering flexibility to ensuring it is applied consistently.

Misalignment between stated policies and employees’ lived experiences is increasingly becoming a key source of dissatisfaction.

“Flexibility gets employers into the conversation, but it doesn’t win it,” Martin said.

The report also depicted that most in-demand positions remain strong across core finance and accounting roles.

These included finance business partners, financial accountants, commercial analysts, finance managers, and payroll specialists.

Despite continued hiring demand, 82 per cent of organisations reported skills shortages, highlighting an ongoing structural challenge.

At the same time, 57 per cent of employees believed their skills are up to date, pointing to a clear disconnect between employer expectations and employee self-assessment.

This gap is also evident in the growing use of AI in the workplace.

While 60 per cent of employees report using AI tools regularly, only 22 per cent have received formal training or support.

This indicated that adoption is outpacing enablement, presenting organisations with an opportunity to strengthen and better structure capability development.

HR Leader asked Martin about the potential risks as a consequence of lacking AI training and how organisations should approach AI upskilling to improve both productivity and retention.

“A lack of AI training can create a significant productivity gap for employers, preventing finance teams from fully leveraging automation, data analysis and reporting tools that can drive efficiency and better decision making,” Martin said.

“It can also impact retention, as AI capability is increasingly viewed as essential for career growth.”

“Employers that fail to invest in AI capability development risk falling behind competitors while making it harder to attract and retain talent.”

Building on this, Martin encouraged employers to take a structured approach to AI upskilling by providing practical, role-specific training, encouraging hands-on use of AI tools, and embedding AI learning into broader professional development programs.

“Employers should take a structured approach to AI upskilling by providing practical, role-specific training, encouraging hands-on use of AI tools, and embedding AI learning into broader professional development programs,” Martin said.

“Finance professionals need to understand not only how to use AI, but how it can enhance productivity, improve accuracy, and create opportunities for higher-value work.”

“Organisations that invest in building AI confidence and capability will be better positioned to drive efficiency, support innovation, and retain skilled finance talent in an increasingly technology-driven market.”

The findings suggested that while salary growth remains important, employers that invest in aspects such as clear career pathways and AI capability will be better positioned to attract and retain talent in an increasingly competitive accounting and finance market.

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