McKinsey & Co., one of the biggest management and consulting companies have decided to lay off a huge number of employees from its workforce. The news was first shared by Bloomberg where they share that this will be one of the biggest job cuts from the McKinsey company.
McKinsey Layoff
The company reported that the number of employees to be removed from the workforce can still change and even more employees can be removed. It is expected that the company will majorly fire employees from the administrative staff that does not interact with the clients directly.
McKinsey has decided to lay off 2000 employees from its workforce. The company has heavily recruited a huge number of employees in past years. According to Bloomberg, McKinsey increased their workforce from 28,000 to 45,000 in the past five years. Moreover, the company is looking forward to saving money to centralize its support services for its consultants in a bid.
McKinsey’s Deceitful Past
McKinsey is famous for its consulting services all around the world. It was founded 100 years ago and now operates in over 130 countries across the globe. The consultancy company made a record revenue of $15 billion in 2021. According to Bloomberg, the company made earned even better figures in 2022.
McKinsey has been involved in various controversies related to business practices. Recently, the company was involved in providing consulting services to the Russian state-owned enterprise Rostoc, which is responsible for manufacturing missile engines used in the Russia-Ukraine war. More such events have pulled the company into corrupted affairs.
Controversies by McKinsey
| Enron:- | Helped them with improper accounting methods |
| 2008 Financial Crisis:- | Poisoned the global financial system |
| Valeant:- | Consulted on drug prices and acquisitions |
| Role in opioid epidemic:- | Advised wrong drug that caused addiction |
| Rikers Island jail complex:- | Reduced prison assaults that grew violence |
| Fine for insider trading by investment affiliate:- | Bribed the Justice Department with $15 million |
| Accusations of conflicts of interest in US bankruptcies:- | Concealed potential conflicts |
| GreenSky Insider Trading:- | Ex-partner of the company was sentenced for 24 months in prison for insider trading |
| Role in U.S. Immigration and Customs Enforcement (ICE) |
| Role in Saudi clampdown on dissidents |
| Support of authoritarian regimes |
| Work with Russian arms manufacturers (Russia-Ukraine war) |
Government Corruption Scandals
| South African corruption scandal |
| French presidential corruption scandal |
| Canadian government consulting scandal |