Amid a downturn in consulting revenue and allegations of client data leaks, KPMG Australia on Monday said it’s laying off 360 people and 27 partners.
That amounts to about 5% of the Big Four’s workforce in Australia, according to a Monday earnings release. KPMG employs about 10,000 people in total in the country.
The news came as KPMG’s Australian unit reported that its 2026 fiscal year revenue declined 1% to 2.257 billion Australian dollars and its consulting business revenue fell nearly 17% compared to the prior year.
In the release, KPMG Australia CEO John Sams said the company’s total revenue figure was “below our expectations,” but noted that four of KPMG Australia’s five businesses saw year-over-year revenue growth. That included the company’s tax and legal unit, as well as its audit and assurance business, which each saw double-digit revenue increases.
The job cuts will occur primarily within the company’s consulting division, Sams noted. “With demand for consulting remaining weaker, most of the roles affected will be in our Consulting business,” he said. “Changes to our business and the professional services landscape have also reduced the need for some roles in Business Services.”
And though Sams said he expects “difficult market conditions” to persist into the company’s next fiscal year, he recognized that some of KPMG’s problems appear to be of its own making. The company recognizes that it faces “challenges created by our own failings, and the work we must continue to do to rebuild trust,” he said.
Speaking to an Australian parliamentary committee earlier this month, Sams said much the same, pointing to the company’s “major failings” and “indefensible” actions.
Sams’ approach to KPMG’s recent troubles is notable for its candor. Rather than speaking through the carefully orchestrated language of a spokesperson or lawyer, he appears to be addressing the issues directly and head-on. It’s also a move that carries risks of its own. Consider the tack taken by Sony CFO Lin Tao, who recently used an earnings call to address the company’s decision to stop selling physical game discs for PlayStation. Some fans of the platform even directly criticized Tao.
Meanwhile, how Australian lawmakers will respond to KPMG’s situation isn’t yet clear, but there have already been some calls to break up the Big Four in the country. There have also been calls for Australia’s corporate regulator to oversee the companies, which are currently regulated as partnerships and not companies, meaning they’re not subject to such supervision currently, according to Reuters reporting.
As for how KPMG Australia itself will respond, Sams noted the company plans to initiate “several internal and external reviews” in the months ahead.
“Their findings will inform the next phase of our Action Plan and help ensure we take all necessary action,” he said of such reviews. “We know there is more to do, and we will continue that work with openness, care and determination — focused on supporting our people, serving our clients and building a stronger, more trusted firm for the future.”
