Thank you for visiting, don't forget to subscribe by following here if you enjoy our content. We use follow.it to give you maximum control over your news.
The UK’s leading accountancy firms have dramatically reduced their graduate intake and trimmed staff numbers beyond official redundancy programmes as they grapple with a sustained downturn in professional services demand.
KPMG, PwC, Deloitte and EY collectively decreased their graduate, school leaver and apprentice recruitment by approximately 1,000 positions in the previous year, reflecting broader cost-cutting measures to safeguard profitability. KPMG recently reported an 11 per cent profit increase, partly achieved through stringent cost management, resulting in average partner payouts of £816,000 for its 837 partners.
The recruitment cutbacks have been substantial across the sector. KPMG’s graduate and apprentice hiring plummeted 33 per cent to 942, down from 1,399 the previous year. Deloitte’s intake fell to 2,150 from 2,767, while PwC reduced its early-career recruitment to 1,450 from 1,600. EY similarly scaled back, hiring 1,600 graduates, school leavers and interns – 200 fewer than the preceding year.
These firms, historically among Britain’s largest graduate employers, have traditionally served as crucial training grounds for future financial leaders. Junior employees, earning between £32,000 and £40,000 annually, perform essential audit work while pursuing professional qualifications, representing a profitable segment of the workforce.
The post-pandemic advisory boom, which saw companies seeking extensive consultation on remote working and supply chain challenges, has given way to a more austere environment. Rising inflation and interest rates have prompted clients to reduce spending on corporate advisory services, leaving firms overstaffed.
The firms have implemented various strategies to manage costs, including formal redundancy programmes and increased scrutiny during performance reviews. Performance improvement plans are being issued more frequently, while partner numbers are being reduced through early retirement programmes and natural attrition.
Post Disclaimer
The following content has been published by Stockmark.IT. All information utilised in the creation of this communication has been gathered from publicly available sources that we consider reliable. Nevertheless, we cannot guarantee the accuracy or completeness of this communication.
This communication is intended solely for informational purposes and should not be construed as an offer, recommendation, solicitation, inducement, or invitation by or on behalf of the Company or any affiliates to engage in any investment activities. The opinions and views expressed by the authors are their own and do not necessarily reflect those of the Company, its affiliates, or any other third party.
The services and products mentioned in this communication may not be suitable for all recipients, by continuing to read this website and its content you agree to the terms of this disclaimer.