“Perfect storm” boding for the accounting and finance academic disciplines and professions

Purpose – The purpose of this paper is to analyze the problems faced by Accounting and Finance (A&F) Departments concerning the hiring and retention of tenure/tenure‐track faculty members. Design/methodology/approach – Analytic research. Findings – Due to the rigorous Association to Advance Collegiate Schools of Business standards for “academically qualified” classification, increasing enrollment for A&F majors, and demographic trends of faculty members, it is becoming very challenging to hire and retain high‐quality academicians. This challenge is especially dire for public institutions of higher learning that are facing budget cuts and possible steep salary inversion. As an example, the average salary of US faculty members are compared to the salaries allowed under the California State University (CSU) collective bargaining agreement. The paper analytically argues that unless CSU A&F faculty members' salaries are allowed to reflect market conditions, severe negative externalities will impact the educational sector and A&F professionals. Originality/value – Alumni, the A&F professionals, university administrators and other stakeholders must be made aware of the “perfect storm” on the horizon and the severe consequences that loom in its wake. It will take the collective “wisdom” to provide the necessary strength to resolve these critical issues. Hopefully, the distress siren will not only be heard, but listened to and addressed in a timely manner, so that rather solemn consequences can be avoided. The needs of the college communities at large should not be thwarted by existing inappropriate funding mechanisms.