Unnoticed turnover and quiet quitting are escalating challenges in CPA teams, often missed by firm leaders. Current research reveals distinctive warning signs and patterns that, if overlooked, can undermine retention, audit quality, and team engagement.

Quiet Quitting: Definition and Causes

Quiet quitting in CPA firms describes employees performing only required tasks, disengaged from extra duties or morale-building activities. Studies attribute it to burnout, lack of appreciation, and missing opportunities for growth, all exacerbated by remote work, poor communication, and stressful environments.

Unnoticed Turnover: The Scope and Impact

Research shows average annual turnover rates in CPA firms range between 15-20%, with most departures being voluntary. This churn is highest in large firms and disproportionately affects experienced talent, leading to diminished audit quality, frequent annual report restatements, and knowledge gaps in complex client engagements. Leaders may underestimate the actual scale of turnover, with internal benchmarks quietly accepting up to 20% annual attrition as normal.

Signals Firm Leaders Often Miss

Experts and industry reports highlight signals commonly missed by leaders:

• Reduced initiatives: Employees stop suggesting improvements or volunteering for new projects.

• Apathetic or evasive behavior: Staff withdraw, avoid meetings, and limit communication outside necessary tasks.

• Decline in professional development: Disengaged accountants turn down opportunities for upskilling or advancement.

• Increased absenteeism: Unscheduled absences or frequent use of sick days and time off rise among disengaged staff.

• Interpersonal issues: More conflicts, withdrawal from team activities, and breakdowns in collaboration become evident.

• Lower feedback participation: Employees cease offering input or constructive criticism, and show reluctance in reviews.

Recent Academic and Industry Findings

• High unexplained turnover often correlates with poor support systems, lack of effective leadership, uncompetitive compensation, and inadequate recognition.

• Offices with higher turnover see adverse impacts on audit quality, especially when experienced auditors are lost.

• The relationship between disengagement and turnover is reinforced by employee surveys showing that autonomy, continuous learning, and meaningful work mitigate attrition.

Practical Steps for Leaders

Firm leaders should proactively monitor these overlooked signals and address root causes:

• Conduct regular engagement surveys and track absenteeism.

• Facilitate open communication and regular feedback.

• Encourage professional development and recognize achievements.

• Monitor workload and prevent burnout by promoting work-life balance.

Understanding and responding to quiet quitting and unnoticed turnover—rather than merely reacting to formal resignations—enables CPA leaders to safeguard talent, morale, and firm performance using evidence-based strategies.