A new study conducted by Mara Cameran, Domenico Campa, and Angela Pettinicchio published in the Journal of Accounting, Auditing & Finance delves into an important but less explored aspect of workplace diversity in the accounting profession, particularly focusing on the Australian audit market. Their research investigates whether ethnic minority audit partners face discrimination through lower audit fees compared to their non-ethnic minority counterparts. Moreover, the study examines the potential influence of the audit firm’s status on this dynamic. The findings suggest that indeed, ethnic minority audit partners are likely to receive lower audit fees, especially when associated with lower-status firms, indicating a form of client-driven discrimination rather than discrimination by the audit firms themselves.
This research is pivotal as it broadens the understanding of ethnic-based discrimination in professional settings, a topic that has seen extensive investigation in fields such as law, architecture, construction, and healthcare but less so in accounting. The study’s methodology, which includes the analysis of audit fees as a proxy for discrimination, offers a tangible measure to an otherwise subjective issue. By concluding that discrimination is more likely client-driven, the study invites a deeper reflection on societal attitudes and the embedded challenges of achieving genuine diversity and inclusion in professional environments.
The implications of this research extend beyond the academic sphere; they resonate with ongoing debates about workplace diversity, equity, and inclusion, particularly in professions traditionally dominated by specific demographic groups. For the accounting profession and its governing bodies, these findings underscore the importance of fostering an inclusive environment that not only welcomes but also values the contributions of ethnic minority professionals equally.