IT major Accenture has announced to fire 5 per cent of its workforce globally amid the coronavirus pandemic. Around 10,000 employees will lose their job as company has continues to suffer economic crisis in the wake of covid-19 pandemic.
According to a report of TOI, Accenture employees in India will most likely be asked to go after the conclusion of the appraisal cycle that is underway.
The Australian Financial Review(AFR) has reported that during an internal team meeting in mid-August, Accenture CEO Julie Sweet revealed that 4 per cent of company’s global workforce might be fired.
“In a normal year, we transition out about 5% and we hire to replace them because we are in a demand scenario. Right now, we’re not in a demand scenario, so if we manage out the same percentage of people and don’t replace them, it allows us to continue to invest and preserve some people who have lower chargeability for when the market comes back,” said Accenture CEO.
When TOI asked the India management of Accenture what criteria would be selected to lay off , it said, “Employees with worst performance score might be the ones who would end up losing their jobs.
In a statement, Accenture India said, “Every year, as part of our performance process, we have conversations with our people about how they are performing, areas for improvement, their potential to progress, and whether they are a long-term fit for Accenture. This year, across all parts of our business and all career levels, we will identify approximately 5% of our people as our lowest performers, and these individuals will transition out of Accenture. This is consistent with our actions each year.”
Accenture currently has 5 lakh employees globally, and firing 5 percent would lead to 25,000 employees losing their jobs. Out of 5 lakh, 2 lakh employees in Accenture are from India, there fore a major section of the employees asked to leave will be from India.
