Business owners are scrambling to comply with an increasing number of complicated compliance regulations, ranging from anti-money laundering legislation to the Sarbanes-Oxley Act. As a result, the need for compliance officers is increasing. Many companies in the financial services industry, for example, are always on the hunt for highly experienced compliance experts who can assist them in staying abreast of global and domestic regulatory requirements.
Who is a Compliance Officer?
A compliance officer, sometimes known as a compliance manager, is in charge of ensuring that a company’s everyday activities are compliant. When conducting normal business operations, they are responsible for ensuring that all national and international laws and regulations applicable to your industry are followed. They are also responsible for ensuring that industry-specific standards, accepted business practices, and internal standards are followed when conducting normal business operations.
Because compliance officers are in such great demand in today’s Compliance Jobs market, many businesses are willing to provide attractive compensation packages to individuals who fulfill the requirements to get employment.
According to the Robert Half Salary Guide for Accounting and Finance Professionals, compliance officers in the United States are projected to make a median salary of $106,250 in 2020, up from a median income of $86,250 in 2013. Aside from that, chief compliance officers may anticipate earning a salary of $175,250 at the midpoint of the following fiscal year.
What are the most common responsibilities of compliance officers?
Organizations’ compliance officers are responsible for ensuring that their organization complies with all applicable government regulations, both domestically and internationally, if appropriate and avoids making mistakes that could result in hefty fines, legal repercussions, and reputational harm. All workers must also follow internal compliance policies, and compliance officials must ensure that this is done.
Compliance officers are responsible for analyzing financial risks and developing a game plan to deal with any possible difficulties that may arise. They also give periodic updates on the efficacy of a company’s compliance procedures. Aside from that, they provide recommendations to corporate executives on any actions or adjustments that should be taken. Top management often looks on compliance officers to work as a partner and demonstrate how compliance is a business priority and can contribute to the development of strategic plans.
Here is a rundown of some of the most common responsibilities of compliance officers:
Creating, executing, and administering an organization’s compliance program are all essential tasks.
Collaboration with federal and state regulatory agencies
Planning, executing, and monitoring risk-related initiatives are all critical tasks.
Developing and organizing appropriate reporting channels for compliance-related concerns is essential.
Organizational compliance communications are being developed.
Workers’ needed compliance training by coordinating and arranging it
Compliance officers require specific abilities to be successful.
Whether employed full-time or on a consultancy basis, compliance officers must have a thorough understanding of federal and state regulatory rules and requirements. In addition, they must keep track of accounting and regulatory requirements as they pertain to financial reporting and documenting their findings. Aside from that, compliance officers should be well-versed in the company’s compliance standards and policies and audit methodologies, regulatory concerns, and internal operations and processes.
Experience in the industry can also be a valuable asset, particularly in highly regulated fields such as financial services and insurance. While it is possible to understand the specifics of individual regulations, businesses might benefit by employing compliance officers who are familiar with the broader regulatory landscape for their specific industry.
Professionals with good analytical, project management, and organizational abilities are sought after by businesses looking to hire compliance officers. A minimum of three to five years of expertise in regulatory compliance work is required for this position. Typically, a bachelor’s degree in accounting, business, finance, or a similar subject is necessary. Many companies also place a high value on a master’s degree in business administration or a sought-after qualification, such as the Certified Public Accountant (CPA) designation.
Last Words While financial and commercial acumen is required for compliance officers, these professionals also need a diverse set of soft skills, such as leadership qualities, to be effective. Communication and public speaking abilities of the highest caliber are required to better grasp complicated regulatory standards inside a company. Integrity, as well as a track record of ethical decision-making, is also needed.