AI Adoption Leads to Reduced Hiring, Layoffs at Major Consulting Firms

Major consulting firms are scaling back hiring and initiating layoffs as artificial intelligence rapidly transforms the industry, signaling a significant shift in the professional services sector.

PricewaterhouseCoopers (PwC) in the United Kingdom has reduced its entry-level intake this year to 1,300, down from 1,500 the previous year, citing the impact of AI. According to Marco Amitrano, head of PwC for the UK, “The way we do things is changing.” He warned that job postings for roles heavily exposed to AI are growing at a slower rate than those with lower exposure. This trend reflects a broader industry concern about the evolving skills needed in the workforce.

The pressure to adopt AI quickly is impacting firms’ stock performance; Accenture, for example, has lost approximately one-third of its market value since the beginning of 2025. Accenture CEO Julie Sweet recently informed financial analysts that the company is strategically reducing its workforce, focusing on “exiting, on a compressed timeline, people, where reskilling (…) is not a viable path for the skills we need.” The move highlights the increasing need for consultants to adapt to new technologies or face job displacement – a challenge many companies are now confronting as they integrate AI into their operations.

These developments, reported today from New York City in front of Salesforce Tower, underscore the accelerating pace of AI integration and its potential to reshape the job market. The changes are prompting firms to prioritize upskilling initiatives while simultaneously streamlining their workforces to align with the demands of an AI-driven future. Further details on the long-term impact can be found in recent reports from McKinsey & Company.

Officials stated that firms will continue to evaluate their workforce needs and invest in training programs to prepare employees for the evolving landscape.