PracticeAccounting FirmsJobs axed at KPMG to maintain ‘health’

Jobs axed at KPMG to maintain 'health'

Further evidence of a downturn emerged this week as Big Five firm KPMG axed at least 150 jobs in its tax department.

The firm said the redundancies would be across all areas of the tax practice but a spokesman said most of the losses would be borne by the London office.The cuts will be across a range of staff levels, but will not include partners, he added.

In an email to the whole firm, chief operating officer Alan Reid said: ‘After much consideration, we have now come to the conclusion that there is no alternative but to make a small proportion of the tax practice redundant in the interests of maintaining the health of the whole practice.’

Reid’s message did not rule out further cuts. He said all areas of business were ‘under close review’.

Meanwhile, Robert Half International UK managing director Steve Carter warned that all Big Five firms could suffer recruitment problems because of the Enron fallout – particularly if firms are forced to do more to separate their audit and consulting arms. ‘The consulting arms have always been seen as sexy and will continue to be so,’ he said. ‘But the firms have a long-term problem with training and development.’

Urging institutes to tackle the problem, he added: ‘The whole training system needs reform.’

Related Articles

BDO’s global revenues pass $8bn

Accounting Firms BDO’s global revenues pass $8bn

6d Alia Shoaib, Reporter
Top 40 International Networks, Associations and Alliances: Finding growth amid uncertainty

Accounting Firms Top 40 International Networks, Associations and Alliances: Finding growth amid uncertainty

1w Philip Smith, Reporter
Top 40 International Networks, Associations and Alliances 2017: Big Four tussle for top spot

Accounting Firms Top 40 International Networks, Associations and Alliances 2017: Big Four tussle for top spot

1w Emma Smith, Managing Editor
BDO reports revenue growth of 5.7%

Accounting Firms BDO reports revenue growth of 5.7%

2w Alia Shoaib, Reporter
Taylorcocks announces merger with Surrey firm

Accounting Firms Taylorcocks announces merger with Surrey firm

2w Emma Smith, Managing Editor
Kingston Smith reports 7% gender pay gap

Accounting Firms Kingston Smith reports 7% gender pay gap

2w Emma Smith, Managing Editor
RSM announces two partner promotions

Accounting Firms RSM announces two partner promotions

3w Emma Smith, Managing Editor
Backsourcing: The latest accountancy trend?

Accounting Firms Backsourcing: The latest accountancy trend?

1m Pillsbury Winthrop Shaw Pittman