Accenture, the Dublin-based global tech consultancy giant specialising in IT services, has announced plans to cut 19,000 jobs over the next 18 months.

This is despite the company reporting strong revenue and a record number of bookings for the second quarter of the fiscal 2023 year.

In their fiscal report, the company said  that during the second quarter, Accenture “initiated action to transform our non-billable corporate functions to reduce costs.”

Over half of the 19,000 employees cut over the next 18 months are expected to consist of people in the non-billable corporate functions of the company.

By February 2023, the company had increased its workforce by 38,000 employees in an effort to meet increased demand.

“We evaluate voluntary attrition, adjust levels of new hiring and use involuntary terminations as a means to keep our supply of skills and resources in balance with changes in client demand,” Accenture said.

Despite the announced layoffs, the same report said that Accenture still plans to continue hiring “especially to support our strategic growth priorities.”

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“Our results of operations are affected by economic conditions, including macroeconomic conditions, the overall inflationary environment and levels of business confidence,” the company said.

Despite global turmoil, Accenture expects annual growth to be between 8% to 10% for 2023. Previously, expectations were as high as 8-11% growth.

“There continues to be significant economic and geopolitical uncertainty in many markets around the world, which has impacted and may continue to impact our business, particularly with regard to wage inflation and volatility in foreign currency exchange rates. In some cases, these conditions have slowed the pace and level of client spending,” Accenture explained.