Accenture to Cut 19,000 Jobs, 2.5% of Workforce

By Will Feuer

Accenture PLC is cutting about 19,000 jobs, or 2.5% of the consulting company's workforce, as it looks to slash costs and streamline operations.

The company, which offers various corporate services ranging from accounting and procurement to marketing and more, said most of the employees expected to be affected will be in non-billable corporate roles. Accenture said it is still hiring elsewhere.

Accenture is also consolidating some of its office space, Chief Financial Officer KC McClure said Thursday on a call with analysts.

The company said it expects its business-optimization plan to cost about $1.5 billion, mostly from employee severance during the remainder of the current fiscal year and fiscal 2024.

The cuts contribute to a wave of layoffs in recent months as companies across technology, manufacturing and other sectors look to cut costs amid uncertainty about rising interest rates, persistent inflation and other economic challenges.

The news from Accenture came after the company earlier Thursday reported a 5% rise in quarterly revenue and better-than-expected earnings.

Write to Will Feuer at [e-mail]

(END) Dow Jones Newswires

March 23, 2023 09:10 ET (13:10 GMT)

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