- McKinsey & Co. will cut up to 2,000 jobs over the next two months, according to reports.
- The job cuts follow a trend of layoffs in sectors like technology and media.
- The consulting firm is looking to get rid of jobs that don’t deal with clients.
In another round of layoffs – which has spread to industries like technology, media and investment banking – consulting firm McKinsey & Co. will cut up to 2,000 jobs over the next two months, according to multiple reports.
The planned layoffs, which were first reported by Bloombergare part of a plan called Project Magnolia that aims to eliminate support roles to help save money for consulting roles, sources familiar with the matter told the publication.
The restructuring could result in one of the biggest cuts the company has ever seen, according to reports. FinancialTimes and Bloomberg reported that over the past five years, McKinsey has added 17,000 employees.
Some of the roles that will be eliminated could include human resources, technology and communications, and could affect hundreds or thousands of jobs, a source familiar with the matter said. Financial Times. The source also told the Financial Times that the legal and compliance teams would not be affected.
Representatives for McKinsey & Co. did not immediately respond to Insider’s request for comment.
McKinsey & Co. reported more than $15 billion in revenue in 2021, and sources told the Financial Times that last year’s revenue exceeded that figure.
In statements to media, McKinsey said it would “redesign” its non-customer-facing teams, but would continue to hire staff who care for customers.
McKinsey & Co., one of Consulting Firms “Big Three” in the United States, is one of the most sought-after consulting jobs in the country. In 2018, McKinsey told Insider the company received 800,000 applications, and only 8,000 people received offers.
The company is also known to be linked to multiple scandals, including its role in consultancy work for the pharmaceutical And tobacco industries. McKinsey’s South African branch is also facing criminal charges related to a bribery scandal involving the firm and its dealings with the state-owned company. rail and freight port operator, Transnet.