Accenture resumes delayed promotions for 50,000 employees; major impact in India
In a major step to reinvigorate employee morale, global consulting giant Accenture will promote approximately 50,000 employees across the world by June, according to internal communications reviewed by Bloomberg. Among them, 15,000 promotions will be in India, one of the company’s largest talent hubs. The announcement follows a six-month delay in promotion cycles amid softening demand for consulting services and broader economic headwinds.
The company shared the decision with employees on Tuesday through internal memos. These promotions will account for around 6% of Accenture’s global workforce, which currently stands at approximately 801,000 employees. Besides India, about 11,000 employees across Europe, the Middle East and Africa (EMEA) and 10,000 in the Americas are set to be elevated to new roles.
The promotions had originally been scheduled for December 2023, but were pushed back to June 2024 due to mounting business uncertainty and financial strain. According to the memo seen by Bloomberg, the move is designed to “support retention and engagement” after a particularly turbulent year for the tech and consulting sectors.
Over the past year, Accenture has grappled with waning client spending, increased scrutiny on U.S. government contracts, and shifting political pressures. The firm had to cut 19,000 jobs globally in 2023, a significant reduction as companies pulled back from pandemic-era overhiring. Similar cuts have been seen across the consulting world — with Deloitte, McKinsey, and Ernst & Young also streamlining their operations.
In the memo, Accenture acknowledged that its operating margin — a key profitability indicator — had declined year-on-year. It cited “an elevated level of uncertainty in the global economic and geopolitical environment” as a factor contributing to delayed growth and ongoing cost optimisation.
The company is also facing pressure from the changing regulatory landscape in the U.S. Under the Trump administration, companies were urged to drop diversity-based goals, a shift that reportedly affected Accenture’s internal policies. As a result, the firm has scaled back certain inclusion initiatives, further affecting internal engagement and global HR strategies.
While this promotion cycle aims to boost morale, the memo clarified that not all employees will see financial rewards just yet. Select individuals in key growth areas will receive base pay increases, while decisions on bonuses and performance-linked equity will be deferred to December. This staggered reward system reflects a cautious approach as the company balances recognition with fiscal prudence.
Accenture’s talent strategy appears to be evolving in response to post-pandemic market realities. During the pandemic boom, the company — like many of its peers — went on a hiring spree to capitalise on the sudden surge in digital transformation demand. However, as growth plateaued and economic concerns rose, firms are now focusing more on retention, upskilling, and productivity than aggressive hiring.