E-Paper
McKinsey layoffs: Firm offers staff 9 months' salary to quit, report claims
In this time, employees can use their working hours to find new employment opportunities and choose to not participate in client projects.
Global management consulting firm McKinsey has offered to pay hundreds of senior employees if they wish to leave the company and look for other jobs as the company attempts to reduce headcount amid a a sector-wide downturn, a report claimed.
Read more: Washington office building sold at 75% discount: ‘US real estate on fire sale’
The Times reported that McKinsey managers within the UK side of the business are being presented with the option to dedicate up to nine months to a "job search" period. In this time, employees can use their working hours to find new employment opportunities and choose to not participate in client projects.
What has McKinsey told its employees?
Read more: Sebi chief Madhabi Puri Buch says she is a ‘very difficult boss to work with’. Here's why
The company has also reportedly told employees that during this period, they will continue to receive their full salary. This could amount to hundreds of thousands of pounds if employees utilise the entire nine-month duration. These managers will also have access to McKinsey's resources and career coaching services, The Times reported. Staff members would still need to leave McKinsey even if they are unable to find a new job during this period, it added.
McKinsey's job-cutting measures in the past
Read more: SBI net banking, mobile app, YONO not working? Here's when services will resume
McKinsey previously attempted to reduce its workforce amid a downturn as in 2023, the company announced plans to cut approximately 1,400 jobs, which accounts for around 3% of its workforce, Bloomberg then reported.
In February this year, McKinsey gave poor performance ratings to 3,000 employees who were then given around three months to improve their performance or they could leave the company, the report added.
