KPMG and EY demote partners

Big Four accounting giants KPMG and EY have begun demoting hundreds of equity partners in the UK and U.S. as they move away from the traditional 'job-for-life' partnership model.

The firms are converting underperforming senior partners into lower-status salaried roles to protect profit margins amidst flatlining growth.

KPMG is also set to cut approximately 10% of its audit partners in the United States following the failure of voluntary retirement schemes.

This significant shift in corporate structure reflects a broader trend of professional service firms bracing for a more challenging economic environment.