CPA Canada reduce workforce in advance of Ontario, Quebec members’ exit

Canada’s national accounting organization has laid off a fifth of its employees in advance of the pullout of all its Ontario and Quebec members, as part of an industry split.

Last week, The Chartered Professional Accountants of Canada’s chief executive officer, Pamela Steer, told employees in an internal memo the organization is “in a challenging operating environment” amid the impending withdrawals of CPA Ontario and CPA Quebec. The pullout, she said, triggered the CPA Canada leadership team to conduct a strategic review of the organization.

“After sober reflection on future needs, it became clear that organizational changes are needed to ensure the long-term success of a CPA Canada that best serves members and the profession,” Ms. Steer wrote in the memo, which The Globe and Mail obtained. “Unfortunately, this means making difficult decisions that will impact 20 per cent of our workforce.”

CPA Canada has approximately 400 employees across the country. In the same announcement, CPA Canada also said there will be a segment of employees who will remain with the organization but see their role change.

 

 

“These decisions, while extremely difficult, reflect our commitment to sustain a vibrant and thriving national organization through a transformational period for the Canadian accounting profession.”

CPA Ontario and CPA Quebec announced their intentions last June to end their formal relationship with the national organization, starting an 18-month withdrawal process. At the time, Ms. Steer said the fracture with the two largest provincial groups had been brewing for five years prior and was around “a few key issues” where the two provinces are seeking to have more control over the profession.

Also at the time, CPA Ontario had cited the “size and complexity” of the province’s economy being “unique” in its decision to end relations with CPA Canada, saying the move in part would help advance the profession by being “more nimble and innovative.” The Quebec CPA Order said its decision was similar to Ontario’s but also took into consideration “the unique needs of the Quebec economy,” and ensuring the organization was in compliance with all obligations and responsibilities under the province’s legislative and regulatory framework.

 

This article was reported by The Globe and Mail