EY has told staff it will cut 3,000 jobs in the US to eliminate “overcapacity”, with the axe falling mainly on the consulting side of the firm.
The redundancies account for around 5 per cent of the US workforce, although the percentage reductions will be higher in the affected businesses.
The cuts were announced less than a week after the collapse of a plan to spin off EY’s global consulting business into a new company, codenamed Project Everest.
“After assessing the impact of current economic conditions, strong employee retention rates and overcapacity in parts of our firm, we have made the difficult business decision to separate approximately 3,000 US employees,” an EY spokesman said.
“These actions are part of the ongoing management of our business and not a result of the recently concluded strategic review, known as Project Everest.”
