Trauma and Leadership in a CPA Firm

“Most people don’t understand how much workplace trauma impacts them.”

High Rock Accounting CEO Liz Mason dazzled me with this comment at Accounting Today’s Firm Growth Forum, held in May. It’s no surprise she was invited to be a member of the Growth Catalysts panel, where firm leaders shared how they built thriving practices, filled with meaning and purpose — firms they’ve designed to fit their lifestyles. Liz’s goal is to be a catalyst for innovation with a human-centric focus. Needless to say, I’m a raving fan and grateful she inspired me to synthesize my own thoughts on trauma and leadership.

What is Trauma

Trauma is an emotional response to a distressing or disturbing event that overwhelms an individual’s ability to cope. I like Gabor Maté’s analogy. He says trauma is not the event that happened to you, like being stabbed by a knife. Trauma is how you respond to an event; it is the scar you carry as a result of being stabbed.

In the workplace, trauma can arise from a variety of sources including: bullying, gaslighting, harassment, sudden job loss, pay cuts during a pandemic, exposure to hazardous situations, or witnessing traumatic events.

Sadly, trauma is part of American life. Many of us unknowingly bring our personal trauma into the workplace, and we take our workplace traumas home. “The Body Keeps the Score” – a challenging but fantastic read for anyone who’s had adverse childhood experiences- states:

One in five Americans has been molested

One in four grew up with alcoholics

One in three couples have engaged in physical violence

Whether you were the victim of or witness to any of these events, I can assure you unaddressed trauma will impact your leadership.

What Trauma Looks Like in Accounting

When I asked ChatGPT, “What would trauma look like while working in an accounting firm” this is what it had to say. (Trigger warning: Some of y’all might hate me because these hit close to home.)

High-Pressure Deadlines: Intense pressure to meet tight deadlines, particularly during tax season or audits, can be overwhelming.

Ethical Dilemmas: Situations where employees are asked to engage in or overlook unethical practices can cause significant distress.

Harassment and Bullying: Persistent negative behaviors from colleagues or supervisors can create a hostile work environment.

Job Insecurity: Fears of layoffs or financial instability within the firm.

Work-Life Imbalance: Chronic overwork leading to burnout and emotional exhaustion.

Wow. It is like ChatGPT has been through a busy season or two. The only thing it missed is failure on the CPA exam.

After day one of the Firm Growth Forum, I went to dinner with some of my favorite people also at the event. The conversation inevitably became a group therapy session where we process our trauma from public accounting. The stories included:

Being screamed at by a partner (cited multiple times)

Being gaslit for taking time off (I.e. The partner approved PTO in January. Immediately upon returning to the office, the employee was scolded by said partner and HR for taking time off. HR denied the reality of the situation chalking this partner up to just “being this type of way.”😳)

After finishing up all their work before a deadline, one person was asked to work the weekend after a client dropped their stuff off late. Insult to injury: This person was scolded by every partner afterward for setting a healthy boundary.

And now for my own share. One of the worst things I ever read on Fishbowl was women bullying a female senior associate who asked for support because she was pregnant, exhausted and overwhelmed with the 55-billables required during busy season. She asked for help in a WOMEN IN ACCOUNTING bowl and this was one of the responses. *shudder*

Hurt people, hurt people. Here we see someone asked for help and the response was to ignore their own needs and to “Suck it up like I did.” This is what it is like to encounter someone else’s trauma. Read it again. An Assurance Senior Manager, who is a mother of two, thought it was A-ok to work 65-hour work weeks during her third trimester while pregnant with twins.

Clearly, these behaviors can create a toxic work environment, leading to long-term psychological impacts on employees. And the problem with all of this is accountants are knowledge workers. Anxiety takes up the space that could be held by intellect. Psychological safety is is a key ingredient of optimal business performance in an accounting firm.

The Intersection of Leadership and Trauma

Leadership in accounting firms plays a pivotal role in recognizing and addressing trauma. Conscious leaders will:

#1 Work on their own self – A conscious leader can optimize business performance with a steadfast commitment to their own emotional development. They seek out constructive feedback without judgment and employ professional coaches or therapists. They practice active listening and prioritize humanity over excessive profitability.

#2 Cultivate a trauma-informed culture – Educate employees and managers on recognizing and responding to trauma. Our leadership development program, Ascension, does this and more. At AICPA Engage, I illustrated how childhood trauma impacts leadership effectiveness and taught attendees how to respond when encountering trauma in the workplace. Hit me up if you want us to do this for your firm.

#3 Create safe spaces – People start healing when they feel heard. Conscious leaders offer access to mental health resources, coaching, or Employee Assistance Programs. They encourage open communication and get to know their people as people. Employees aren’t just accountants and advisors. They are human beings having a human experience while working in your firm.

#4 Refuse to tolerate bullying – It is a normal human experience to be upset at work, especially when demand is high. When upset impairs a relationship (e.g a leader yells at staff), the work should shift to repairing the relationship. However, if you have an employee who is known for yelling, belittling, and/or employees are quitting citing these behaviors, the conscious leader must make an intervention and shore up this liability.

Since my time at the Firm Growth Forum, I have been wondering: Is the 150-hour requirement the biggest challenge with our pipeline; or is it something else? Maybe the real issue is how inhumane some firms are and the crux of bad behavior is unresolved trauma. By understanding, recognizing, and addressing trauma, could we create a more compassionate and resilient profession? I’d love to hear of your experiences and thoughts on trauma in our profession. Hit reply and let me know.