Firms admit consulting jobs at risk
PricewaterhouseCoopers said it has 'not ruled out' making UK job cuts after it emerged this week that rival KPMG is shedding up to one in ten of its consulting staff.
KPMG Consulting said that more than 200 of its 2,100 staff will go, starting in July, following a downturn in IT business.
A spokesman said the major loss of work was in the internet and integrated solutions area during the course of 2001 despite strong growth last year of 13%.
And he hinted further cuts may be imminent. ‘We are reflecting where we are in our business now. In large sections of business this year there has been a down turn,’ he added.
‘It has not been unique to us by any means and that has necessitated us looking at our staffing levels.’
A PwC spokesman said the firm took such decisions on a territory by territory basis, and has already announced that 8% of its consultancy staff in the US are to go.
He said: ‘We have not ruled out taking such decisions in the UK, but we are not aware of anything definite. Our service levels are at the right levels at the moment.’
Ernst & Young, which last year sold its consulting business to Cap Gemini, also believes further job cuts are imminent.
‘Economic downturns do have an effect on the consultancy industry. In the current economic climate, there is the possibility we will see more such cuts,’ said a spokesman.
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Consultant cuts 5% of workforce