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Accenture Layoffs Announced: Will Indian Employees Be Impacted?

Accenture layoffs have been announced, and nearly 19,000 employees will be fired from across the globe from the non-billable corporate roles

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DQINDIA Online
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Accenture layoffs

As the string layoffs continue across the IT industry, Accenture layoffs have now been announced in the same vein. Accenture layoffs  were announced by the company in an SEC filing, and 19,000 employees will be let go. Accenture is now another IT giant to join the layoff bandwagon that consists of other behemoths like Google, Amazon, Microsoft, and Meta.

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Will Indian Employees Be Impacted by Accenture Layoffs?

While nothing has been revealed on the geographies of the employees to be fired, the company has stated that over half of the departures will consist of people in non-billable corporate functions of Accenture. “While we continue to hire, especially to support our strategic growth priorities, during the second quarter of fiscal 2023, we initiated actions to streamline our operations and transform our non-billable corporate functions to reduce costs. Over the next 18 months, these actions are expected to result in the departure of approximately 19,000 people (or 2.5% of our current workforce),” said the official statement from the company.

The company consists of a workforce of 738,000 as compared to the 699,000 it was in February last year. “For the second quarter of fiscal 2023, attrition, excluding involuntary terminations, was 12%, down from 18% in the second quarter of fiscal 2022. We evaluate voluntary attrition, adjust levels of new hiring and use involuntary terminations as a means to keep our supply of skills and resources in balance with changes in client demand,” added Accenture in the filing.

The company also stated that adjusts compensation in order to attract and retain the appropriate numbers of qualified employees. For the majority of of Accenture employees, compensation increases become effective from 1 December of each fiscal year. “Given the overall inflationary environment, compensation has been and continues to increase faster than in prior years. We strive to adjust pricing as well as drive cost and delivery efficiencies, such as changing the mix of people and utilizing technology, to reduce the impact of compensation increases on our margin and contract profitability,” claims the company.

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