Management and technology consulting company Accenture has announced its plans to cut approximately 19,000 jobs over the next 18 months, due to macroeconomic concerns and uncertainties.
The job cuts will affect 2.5% of the company’s global workforce, including 800 leadership positions, out of the 738,000 employees globally. Almost half of the employees are expected to leave by the end of the fiscal year 2023.
It's noteworthy to mention that approximately 40% of its total workforce is located in India.
The layoffs come after the company's rapid expansion in 2022, where it acquired around two dozen companies and grew its headcount by 39,000 employees. Its major US acquisitions included Blackcomb Consultants, The Beacon Group, and Inspirage. It also recently acquired India-based AI company Flutura this month.
The job cuts by Accenture are not an isolated case, as other prominent technology firms and consultancies have also been forced to slash jobs due to lower demand and challenging economic conditions.
KPMG announced in February that it would cut 2% of its workforce (700 employees), with the cuts affecting its advisory business. Additionally, McKinsey is reportedly planning to lay off approximately 2,000 employees.
On broader terms, several technology companies have reported significant layoffs this year after a pandemic-driven hiring spree, with Amazon cutting 27,000 jobs, Microsoft planning to lay off 10,000 people and Alphabet letting go of 12,000 employees.