In the midst of a crisis involving the misuse of private client data, KPMG Australia said on Monday that it would lay off around 5% of its workforce, impacting 27 partners and about 360 workers. It also issued a warning about challenging market circumstances for the upcoming year.
Its business services and consulting departments will see the majority of the staff reduction.
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John Sams, the CEO of KPMG Australia, stated in a statement that the company acknowledged “challenges created by our own failings, and the work we must continue to do to rebuild trust.” Sams only took over the position last month.
Since whistleblower claims surfaced in March that the business’s employees used insider information to secure lucrative audit contracts, the Australian government and blue-chip clients have been closely monitoring the firm.
The Australian government announced last month that it was considering dismantling the Big Four accounting companies, KPMG, Deloitte, EY, and PwC. This is the most recent of several crises in the industry.
Additionally, KPMG Australia stated on Monday that it anticipated slow economic growth until at least 2028, which would have an impact on client investment and lengthen the time it takes to make decisions. We continue to concentrate on what we can manage even if these circumstances are probably going to continue,” Sams stated.
Senior audit partners, the company’s previous chairman, CEO, and audit head have all left due to the incident.
In the year that concluded in June 2026, KPMG Australia’s total revenue fell 1% to A$2.26 billion ($1.6 billion), including a 17% decline in consultancy revenue due to the loss of government contracts.
