Deloitte is taking steps to reduce costs by putting an additional 100 roles at risk of redundancy in the UK. The Big Four accounting firm disclosed that the proposed job cuts will affect approximately 5% of its financial advisory business workforce. This decision follows a downturn in dealmaking activities, which Deloitte attributes to high-interest rates.
A spokesperson for Deloitte explained, "We are evaluating the restructuring of certain segments within our advisory corporate finance division to prioritise larger, sector-focused M&A endeavours. Consequently, we are considering the closure of certain segments within that business." Employees impacted by these proposed redundancies will undergo consultation processes in the upcoming weeks.
This move aligns with a broader trend within the professional services sector, where firms are implementing significant cost-cutting measures and scaling back post-pandemic hiring initiatives in response to project cancellations and reduced client fee demands.
Despite these cost-saving measures, Deloitte, known for its high partner compensation averaging around £1 million each, remains a substantial employer in the UK with approximately 27,000 personnel.