Amid challenging macroeconomic conditions, Accenture has recently implemented a workforce reduction of 19,000 jobs. Despite the company's announcement of job cuts, many employees are uncertain about the security of their positions.
Insiders within the IT company and sources familiar with India Today Tech have disclosed that the human resources team has not yet disclosed any information regarding the job cuts, leaving employees in a state of uncertainty. Interestingly, amidst this confusion, Accenture appears to be actively recruiting for several job positions.
On LinkedIn, numerous job openings have been posted by Accenture, such as roles for a services marketing executive partner, media relations in capital markets, an analyst relations writer specialist, and others.
Last month, Accenture declared its plans to lay off up to 19,000 employees citing challenging macroeconomic conditions. The company clarified that the reduction would impact around 2.5 per cent of its workforce and assured that it would not result in immediate employee terminations. The company stated that the job cuts would be carried out over the course of the next 18 months.
"Over the next 18 months, these actions are expected to result in the departure of approximately 19,000 people (or 2.5 per cent of our current workforce), and we expect over half of these departures will consist of people in our non-billable corporate functions," Accenture said in the regulatory filing, according to India Today.
The company also announced its plan to recruit new employees towards the end of 2023. "While we continue to hire, especially to support our strategic growth priorities, during the second quarter of fiscal 2023, we initiated actions to streamline our operations and transform our non-billable corporate functions to reduce costs," Accenture noted. However, despite the ongoing layoffs, it seems that Accenture is still actively recruiting, as evident from its recent job postings on LinkedIn.
According to the company, the layoffs are a cost-saving measure, and overhiring is one of the reasons behind the decision. The IT company reportedly hired additional employees in the past to meet both present and anticipated future demands. As of February 2023, the headcount had increased to approximately 738,000, up from 699,000 in February 2022.
In the past few months, numerous tech companies such as Amazon, Google, Microsoft, Meta, and others have also laid off hundreds and thousands of workers. These companies have cited challenging macroeconomic conditions and overhiring during the pandemic as the primary reasons for the job cuts.