"The spokesperson would not confirm the number of cuts nor did they say that AI was the only cause. But Bloomberg, which first broke the story of layoffs, said the cuts could be staggered over the next 18 to 24 months and amount to a few thousand roles, with reductions of up to 10 percent discussed for some non-client-facing teams. McKinsey did not respond to emails or phone calls from The Register seeking comment."
"There have been several conflicting reports this year about how AI is shaping the labor market with a Yale study that found zero effect on jobs, a report from the US Senate that estimated it could eliminate 97 million positions, and a BearingPoint survey of 1,000 execs in which roughly half reported 10-19 percent workforce overcapacity as AI-driven automation is rolled out."
"As AI prompts a reckoning among enterprise customers, consulting firms like McKinsey, Bain, KPMG, Boston Consulting Group, and PricewaterhouseCoopers have each deployed internal bot assistants that are winning adoption, according to the Harvard Business Review, which looked at how AI would shape this industry in a September report. McKinsey has "Lilli," Bain has "Sage," PwC has "ChatPwC," and KPMG uses "KymChat," while Boston Consulting Group uses "Deckster" to create slide presentati"
Major consulting firms are cutting internal staff as rapid advances in AI and a push for efficiency drive workforce reductions. McKinsey is reportedly weighing staggered job cuts over 18–24 months, potentially totaling a few thousand roles and up to 10% reductions in some non-client-facing teams. Reports on AI's labor impact diverge, from a Yale study finding no job effect to a US Senate estimate of 97 million positions lost, and a BearingPoint survey finding widespread overcapacity. Consultancies are also deploying internal AI assistants—examples include Lilli, Sage, ChatPwC, KymChat, and Deckster—to automate support tasks and create presentations.
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