Zak Sadek, assurance services partner at BDO South Africa. Picture: Supplied
BDO SA Assurance Services partner Zak Sadek has penned an open letter to the president, challenging government to step up and put measures in place to make the public sector a desirable career option for chartered accountants.
According to the South African Institute of Chartered Accountants (SAICA), only 3% of SAICA registered CAs work in the public sector.
Sadek attributes this to unethical practices such as corruption, deterring CAs from pursuing jobs in the public sector.
“By addressing corruption, ensuring personal safety, and providing exposure and incentives, the government can create an environment where professionals are willing and eager to contribute their skills and expertise,” said Sadek.
“This will not only benefit the public sector but also pave the way for a prosperous and sustainable future.”
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According to Sadek, many professional accountants in the public sector have witnessed “unethical practices”, often pressured to sign off on questionable expenditures, which he says undermines the integrity of the profession.
He says professional reputation is further compromised when accountants remain in the public sector long enough to become associated with “questionable activities”, which eventually force them out of office.
Sadek says those who dare to speak out against corruption and expose irregularities, often run the risk of receiving death threats, and compromising their safety in the process.
“These safety concerns and lack of respect, combined with lack of trust in the system, are the primary [factors] deterring skilled professionals from considering a career in the public sector,” he said.
“Let’s say we’ve tackled the issue of crime and corruption with regards to the public sector. Now with a safer working environment, suddenly the public sector presents a massive opportunity for professional accountants – but only if we can attract them to consider working in this area,” he said.
Most trainees typically take on jobs at banks, corporate finance and other private entities and anywhere else but the public sector.
“So, what’s going wrong?” Sadek asks.
He proposes a multi-layered solution.
As a starting point, he recommends for government to expose students to public sector job opportunities, while they’re still in school.
“Accounting and economics textbooks should include content on the public sector, ensuring that students understand its importance, and potential career prospects,” said Sadek.
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At tertiary level, aspiring accountants should be taught key legislations like the Public Finance Management and Municipal Management Acts, he suggests.
He says integration of such subjects into the curriculum, coupled with practical exposure, will enable students to gain better understanding of the public sector and its complexities – making it an appealing traineeship option.
Sadek also recommends making public sector placement a compulsory part of the three-year practical training for CAs, similar to community service for medical and psychology students.
“If these young professionals are given such an opportunity to gain valuable experience during training, it’s likely that [most] of them will consider pursuing careers in the public sector upon qualification,” said Sadek.
Extending his plea to the finance ministry, Sadek said government should add tax incentives to employment packages to make public sector jobs more lucrative.
“Mr. Finance Minister, don’t lose sight of this tip for your next budget,” he said.
“The good news is that it’s not too late.”
Sadek said the recently formed crisis committee between government and the private sector to root out crime and corruption is “just the beginning”.
“Government needs to prioritise the public sector and actively work towards creating a safe and appealing environment for accountants and other professionals.”
He said not only will this attract skilled individuals, but will lead to a sustainable public sector that will contribute to the country’s development, and address critical infrastructure needs.
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“With these measures in place, we could begin to see a lot more CAs working in the public sector,” Sadek said.
He said the government could even establish its own “management company” to employ non-executive directors and deploy them across state-owned enterprises and municipalities.
“Just imagine the impact this could have, helping to bring in the right expertise and enhance corporate governance in the public sector.”
“We all need to shoulder together and make an intentional effort to protect our beautiful country,” he said.
Calling all stakeholders to join hands in creating a sustainable public sector, Sadek said, everyone has a role to play.
“Working together, we can make this a reality.”
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