KPMG's merger with KPMG Switzerland has set off a wave of change within the firm, as it seeks to streamline its UK operations and eliminate duplication. According to sources, around 200 roles will be cut from central services areas such as HR, corporate affairs, marketing, technology, and procurement – a reduction of approximately 10 per cent of staff in these departments.
A spokesperson for KPMG UK confirmed that the firm is reviewing its operating model to integrate its UK and Swiss businesses, following the merger which took effect on 1 October 2024. The proposals aim to make technology investments more efficient, expand offshore delivery capabilities, and avoid duplication of roles. KPMG has reiterated its commitment to supporting affected employees through a consultation process.
This is not the first time KPMG has cut jobs in recent months; earlier this year, over 500 positions were eliminated in its audit division, including 440 assistant manager roles, and a further 120 in its advisory arm. Citing “current market conditions” and low attrition rates, alongside “evolving market conditions”, the firm aimed to reduce headcount by around 6 per cent across the audit division's 7,100-strong workforce.
The UK's 'Big Four' accounting and consulting firms are facing a tough climate, with KPMG being just one of several major players undergoing restructuring. PwC has recently announced plans to cut jobs in its UK audit division, while Deloitte is reported to be axing nearly 200 roles in its UK audit business – a trend that suggests a broader shift towards efficiency drives and adapting to evolving market demands.
The repeated job cuts within KPMG have reportedly caused internal frustration, with previous concerns raised over communication during redundancy processes. As the firm continues to integrate its UK and Swiss operations amidst economic pressures, it is clear that large professional services organisations must adapt their staffing structures and operational models to remain competitive in an increasingly challenging market.