Big four consulting firm KPMG has cut another 100 staff after making 200 redundant in February, rival Deloitte has cut dozens and 78 staff at PwC face an uncertain future after their planned move to spin-off Scyne was scrapped.
Meanwhile, the economic slowdown, higher interest rates and a fall in M&A activity have led to private sector clients deferring or delaying their use of advisers to help with ongoing and new projects.Insiders said that consultants not working on projects linked to major technology-driven transformations and regular accounting, tax and auditing work for the big four firms were most at risk of being left idle.
”Overall, the market remains challenging, as conditions normalise post-COVID, but demand is still there ... we continue to be in the market for experienced hires to satisfy forward demand,” she said.Deloitte Australia has restructured small parts of its vast operation in line with client demand, a process that led to a few dozen jobs being cut out of an overall workforce of more than 14,000.CEO Adam Powick said the market had “definitely slowed over the past three or four months”.
The staff are no longer required by Scyne due in part to some PwC partners opting not to join the fledgling firm and ongoing delays in obtaining final approval from the federal government to formally begin operating with the Commonwealth.