After Laying Off 19,000 Employees, Accenture Delays Joining Of College Graduates Amid Cost Cutting

Less than a month after it announced 19,000 layoffs, Irish-American professional services company Accenture doesn't seem to have put a pause on its cost-cutting measures.

The IT giant is now delaying joining dates for some recent hires as it looks to recalibrate its massive workforce for a more cost-conscious environment.

¡°In some cases, for example for some recent graduates, we are adjusting start dates based on the needs of our clients and business," Accenture spokeswoman Rachel Frey had said on Thursday, declining to provide further details.

"Joining Date Pushed From June 2023 To Early 2024"

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One of those recent grads said she had accepted a full-time consulting position with Accenture in the UK that was supposed to start in June. Her start date was delayed twice, first to October and then to early 2024. She ultimately decided to pass on the job rather than keep waiting, as per the Bloomberg report.

An Accenture recruiter reportedly apologised for the delay and said "the decision was made to create the best possible new joiner experience," according to an email. Accenture is offering an additional signing bonus to some people whose start dates have been pushed back, according to a person familiar with the company's hiring practises.

Also Read: How Big Tech CEOs Justified Their Company's Mass Layoffs

Affected Candidates Share Their Ordeal

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Founded in 1989, Accenture¡¯s hiring delays have recently also come up in anonymous Reddit forums dedicated to discussing the company. "I have been stringed [sic] along for months," said one poster, a college senior who is yet to receive a start date. "I simply don¡¯t know what to do at this point."

Another person, who had previously interned at Accenture, was considering applying elsewhere. "It just sucks because I missed out on a lot of companies and roles in the fall recruiting cycle," the poster said, referring to the period when employers descend on college campuses to interview applicants.

Also Read: Money Lessons We Can Learn From Mass Layoffs

Turmoil Amid IT Giants

Booming business during the past few COVID pandemic-hit years had led to hiring jumps at many IT and tech sector firms, and now they have too many people chasing too little work. The result? Layoffs. Other big firms such as Microsoft, Meta, Google, Dell, HP, etc. have already announced mass layoffs.

Accenture had said last month that it would cut 19,000 jobs, i.e., about 2.5% of its workforce, over the next 18 months. Ernst & Young (EY) this week scrapped a plan to separate its consulting and audit practises into two separate companies, creating uncertainty in an otherwise steady sector not known for much drama.

Accenture CEO Julie Sweet had said in March that the company, which employed about 738,000 people as of February, is taking steps to lower costs in fiscal year 2024 and beyond while continuing to invest in the business and people.

Now it remains to be seen if and when the candidates waiting with their job offers get to join the firm amid rising recession fears.

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