Accenture To Push Promotions From December To June

Accenture, a global technology and consulting company, is reportedly pushing back the majority of staff promotions by six months, a move reflecting ongoing challenges in the consultancy sector. According to sources cited by Bloomberg, the company informed employees via an internal blog post last week that most promotions, typically announced in December, will now be revealed in June. Earlier this month, Accenture had already informed its managing directors of the promotion delay, according to the source.

A company representative explained the reasoning behind the change, stating that Accenture is “permanently shifting our primary promotion date from December to June, when we have better visibility into our clients' planning and demand.”

Bloomberg’s report suggests that the delay reflects broader uncertainty in the professional-services industry, as many clients have begun cutting back on spending. This shift in client behavior has had a noticeable impact on firms like Accenture, which employs around 7,50,000 people across 120 countries.

Accenture's shares experienced their sharpest decline in four years this past March after the company lowered its fiscal 2024 revenue growth forecast from a projected 5 to 3 per cent.

Much like its competitors, Accenture significantly expanded its workforce during the pandemic to meet increased demand. However, in response to the changing market, the firm announced more than a year ago plans to reduce its workforce by 19,000 employees—around 2.5 per cent of its total headcount—over an 18-month period.

In a separate move last October, Accenture announced that it would not be issuing salary increases for employees in India and Sri Lanka throughout 2023, except where legally required or in areas of critical skill shortages. India remains one of Accenture's largest employment hubs, with over 3,00,000 employees based in the country.