E&Y culls staff in corporate finance arm
Big Five firm Ernst & Young is to axe four partners and up to 25 staff from its corporate finance arm following a decline in merger and acquisition activity, it has emerged.
The cull came as the lack of confidence in the corporate finance marketplace continued, with the expected upturn in activity remaining elusive.
A spokesman for the firm confirmed that up to 29 jobs were ‘at risk’ in the M&A division of its corporate finance arm.
‘This is due to the current decline in activity in the marketplace,’ he said.Although four partners will be asked to leave the firm, the spokesman said the firm would try to find alternative positions for the 25 staff in other areas of the firm following a consultation period, though it was understood not all the staff would be retained.
Last year, E&Y’s corporate finance division brought in £156.6m to the firm.The job cuts follow news last week that KPMG was planning to axe 20 staff from its forensic accountancy department.