Global tech giant Accenture has laid off more than 11,000 employees in the past three months as part of a broader strategy to cut costs and increase operational efficiency. The company has spent over $2 billion (₹16,700 crore) on business optimization over the last three years, with a significant portion allocated to severance costs rather than infrastructure expansion or new projects.
Employee Count Drops
Reports indicate that Accenture’s global headcount fell to 779,000 by the end of August 2025, down from 791,000 three months prior. Severance and related expenses reached $615 million last quarter, with an additional $250 million expected in the current quarter.
$1 Billion in Savings Expected
Accenture estimates that this restructuring process will lead to over $1 billion in savings. The company has signaled that the restructuring could continue until November 2025. The program focuses on two key areas: workforce adjustments through severance and headcount reductions, and the sale of acquisitions that do not align with Accenture’s strategic direction.
CEO Julie Sweet on the Restructuring
CEO Julie Sweet, who led the restructuring, emphasized the need for swift action to adapt to technological changes. She stated that where reskilling employees is not possible, difficult decisions—including layoffs—become necessary. While upskilling remains a priority, not all employees can be redeployed to new roles.
AI as a Key Driver of Change
AI is central to Accenture’s new strategic direction. The company reported that generative AI projects generated $5.1 billion in new bookings last fiscal year, up from $3 billion the previous year. Accenture now employs 77,000 AI and data professionals, up from 40,000 two years ago. The company calls them “reinventors”, describing them as the foundation of its future operations.
Industry-Wide Shift
Experts note that Accenture’s layoffs reflect a broader trend in the tech sector, where companies are reassessing workforce needs in light of AI and technological advancements. Similarly, TCS recently confirmed the release of 12,000 employees, approximately 2% of its workforce, highlighting the growing impact of AI on the workplace.
