In response to the need to control costs, Accenture (NYSE:ACN) has taken significant steps affecting employees worldwide, including layoffs and changes to compensation structures. An employee recently affected by these measures shared his perspective on the situation, highlighting his anticipation for new opportunities and appreciation for the support received during his tenure with the company.
Earlier this year, a wave of layoffs swept across tech companies as they sought to reduce expenses. Accenture was among those corporations, dismissing 19,000 employees globally. The trend of job cuts has now reached the United States, though specific figures have not been disclosed.
One individual from the Trust and Safety team who had been with Accenture for over four years, collaborating with Meta (NASDAQ:META), was part of the recent layoffs. Despite the setback, he expressed a positive outlook on his future career prospects and the chance to spend more time with his family. He plans to leverage his skills in operations, program and project management, training, quality assurance, and data analysis in a new professional setting.
Accenture India made an announcement last month indicating that salary increases would be put on hold this year except where legally required or in certain areas with critical skills. Managing Director Ajay Vij communicated this decision via email, explaining that it is part of Accenture’s strategy to offer competitive pay based on skills and location while ensuring financial stability for the firm.
Additionally, Accenture is set to adjust its approach to promotions and bonuses. While performance-based bonuses will still be given out, they will be considerably less than those awarded in the previous year. Promotions up to the level of Associate Director (Level 5) are scheduled for December but at a reduced rate. For employees ranging from levels 1 through 4, promotions have been postponed until June 2024.
These developments reflect Accenture’s broader strategy to navigate economic challenges while balancing the need to reward talent appropriately against the backdrop of a dynamic global business environment.
