Consulting giant McKinsey is reportedly planning thousands of job cuts, part of a larger slowdown across the industry.
The company, along with peers EY and PwC, has gotten leaner over the past few years to weather a slump that has seen clients — including businesses and governments — grow more cost-conscious, Bloomberg reported. Accenture said that US President Donald Trump’s push for federal agencies to cull consultancy contracts has hurt revenue, while China’s government has ratcheted up scrutiny of foreign advisory outfits.
AI, meanwhile, presents a double-edged sword: While some firms are replacing consultants with chatbots, others are looking to McKinsey or its competitors for advice on how to leverage the new technology.