Consultant cuts 5% of workforce

The firm blamed falling demand for the company’s services for the redundancies – which equal about 5% of its global workforce.

‘While overall our business continues to grow, we have seen weakened demand for some services, predominantly in the financial services sector, during the latter part of the March quarter,’ said Rand Blazer, KPMG Consulting chairman and chief executive.

KPMG Consulting, which floated on NASDAQ in February, is the latest consulting firmto cut its workforce amid warnings of a global economic slowdown. PriceWaterhouseCoopers last week said it plans to cut as many as 1,000 jobs, or 8% of its 12,000 employees, at its US consulting unit.

On 1 May 2001 KPMG Consulting plans to release third quarter results and is expected to announce continued revenue growth. Shares in the consultancy yesterday closed up more than 19% at $16.


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