The revision of IES 5 continues to support the use of practical experience in developing the competence of an aspiring professional accountant, but also proposes:

• greater flexibility in measuring practical experience;
• permitting supervisors or mentors to direct an aspiring professional accountant’s experience; and
• requiring practical experience to be recorded in a verifiable and consistent form.

In addition, this IES can be helpful to educational organisations, employers, regulators, government authorities, and any other stakeholders who support the practical experience of professional accountants.

“The IAESB believes that relevant practical experience is at the heart of the development of competence of a professional accountant. This revision of IES 5 reflects the different ways that experience can be gained, and is a significant step from a rules-based approach to a system based on principles”, explained Mark Allison, chairman of the IAESB. “IFAC member bodies will be required to demonstrate that the method of gaining experience follows one of three approaches: input-based, output-based, or a combination of input- and output-based approaches. We have ensured that this approach to experience requirements for Initial Professional Development is consistent with that recently issued for the Continuing Professional Development (IES 7) of experienced professional accountants.”

Press release