so it seems like they’re going to start the first round of layoffs starting next week and it’s going to happen firm wide. they said roughly 5%. isnt that usually in line with what they usually do after performance reviews?
So that would be 15,000 heads globally? Damn
News?
We just had a call with our COO and CTO and it seems like it’ll be firm wide and they’re predicting 5%.
What would be the criteria? Any guesses?
Low performers from what my understanding is
which year performance will be considered fy 2020 or fy 2019? Any guesses?
No. This is not normal. In the advisory call today—5 to 9% will be laid off across all service lines. So around 15,000 will ultimately lose their jobs. 3000 to 5000 in June/June. But it will be 9%, not 5%. Then it will be a rolling lay-off. In the Advisory call today they said “exit conversations” will start next week. They also will put many on reduced workloads. I have peeps at Uncle D.
Not sure where you got these facts from but they aren’t accurate. They said 5% and not everyone is going on reduced workloads - it will be based on demand.
I got this from my former Deloitte coworkers. One a Senior Manager, and the other a Business Technology Analysts. 5% is now, but ultimately it will be 9% when it’s said and done, by 2021. 2500 is just the first wave, then 2500 more, etc. Tax and audit will keep more folks.
There will be salary decreases as well. Uncle D has had a 16% decrease in revenue due to COVID-19. Things will be bad for Deloitte through 2022. They said this in today’s call. People will get a salary continuance and will be allowed to keep their phones. More info here: https://goingconcern.com/layoff-watch-20-deloitte-has-begun-performance-related-separations/
Did partners take a pay cut? I have a few friends at EY and PWC, both confirmed their partners were giving up pay for a year in order to keep staff levels.
Yes and no. Partners are paid on the draw and distribution, so they will take a small pay cut. So a partner would make 50K (vs. 70k) every quarter plus 200k true up bonus (vs. 400k) at the end of the year. So, yes and no.
Which vertical do you fall in?
Washtub - you might check your sources. All that has been announced is what was on the call and most of what you say doesn’t line up.
Do you mean the second round of layoffs or does this vary by country? I have a friend at Deloitte in Canada who said they had layoffs in early May
No way. IFS again? Or is it across all LoS?
I believe all lines of service will be hit