Accounting giant KPMG is reportedly on the cusp of cutting hundreds of jobs and slashing partner payments as it reviews its operations.
The Australian Financial Review reported anonymous sources close to the firm who claim the cuts could top 1000 workers, but management’s current thinking was that at least several hundred people would be let go.
KPMG is reportedly planning to cut hundreds of jobs. Sean Gallup
The firm has about 10,000 staff in Australia and more than 600 partners, per its own website.
The AFR reported the cuts would not be announced until the appointment of a permanent chief executive to replace interim leader Stan Stavros.
Nine.com.au has contacted KPMG for comment.
One of the “big four” accounting firms, KPMG has been rattled recently over revelations of internal staff conduct.
Legal firm Allens found that previous internal and external investigations of KPMG’s handling of whistleblower complaints were not rigorous enough.
The complaints relate to accusations of internal client documents being inappropriately shared.
Former chief executive Andrew Yates’s resignation was announced on May 29, along with that of national managing partner for audit and assurance Julian McPherson.
“We apologise unreservedly to the whistleblower. We commit to learning from this process to ensure we create an environment where it is safe and easy to surface concerns that will be acted upon,” KPMG chairman Martin Sheppard said at the time.
“KPMG apologises to the clients whose information was not handled with the care and respect they expect from us. We also apologise to our people – as these matters do not reflect on the contribution they make to KPMG and our clients.”
KPMG and other professional services firms are among those businesses facing serious challenges from new AI-related technology.