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Accenture Lays Off 11,000 Employees in $2 Billion Restructuring Focused on AI and Automation

Accenture announces 11,000 job cuts as part of a $2 billion restructuring plan driven by AI and automation. The move aims to streamline operations and boost efficiency amid rapid tech transformation.

Accenture Lays Off 11,000 Employees in $2 Billion Restructuring Focused on AI and Automation

Accenture Lays Off 11,000 Employees in $2 Billion Restructuring Focused on AI and Automation
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8 Oct 2025 11:19 AM IST

An estimated 11,000 layoffs have been announced in Accenture for a $2-billion AI-driven restructuring.

One of the largest consulting and technology services firms worldwide lay off over 11,000 employees in its global restructuring in the past three months. Accenture optimizes the business worth $2 billion to build and aligning its workforce in the face of increasingly dominant influences of AI and automation throughout industries.

According to Accenture's latest filings, the global headcount reached 779,000 at the end of August 2025, down from 791,000 earlier this year. The disclosures further reveal that the company spent $615 million last quarter on severance and related expenses and expects to spend $250 million more in the coming months on this account.

Why Accenture Is Restructuring

The restructuring that began in Q4 of FY2025 represents a major landmark in the company’s attempts to remain competitive in a time when AI, cloud computing, and automation are changing the way business is done. Despite the layoffs, Accenture continues to invest hugely in technology-oriented areas, bringing in new talent in data science, cloud solutions, and AI innovation.

In fact, over the past year, nearly 5,000 employees have joined Accenture's workforce through recruitment in highly demanding digital areas. The company now boasts a workforce of 77,000 AI and data professionals, almost twice those of two years back-a clear signal of their commitment to building a future-ready workforce.

CEO Julie Sweet's Perspective

Accenture CEO Julie Sweet spoke openly about the decision and the tough choices that underpinned the transformation of the company.

Sweet said to the investors, “We are operating on a compressed timeline. Where reskilling simply isn't a viable path, we are making the tough choice to exit people.”

She insisted that reskilling remains the first priority of the company, but certain traditional roles no longer fit the evolving technology strategy of the company.

AI: The New Growth Engine

Accompanying the new strategy is a huge push toward AI and automation consulting. The company said it had bookings of $5.1 billion over the past year for generative AI projects, up from $3 billion the year before. The projects, spread across healthcare to finance, tell a story of how AI is now becoming the operating motor for the company's revenues in the future.

A Weathering Industry Shift

The move by Accenture fits in an ongoing trend in the IT and consulting industries. Automation changes the conventional jobs and global customers ask for solutions infused with AI. Job cuts have been announced by TCS as well, signaling the deeper structural change in the consulting industry with TCS having approximately 12,000 employees laid off recently.

The layoffs aside, the restructuring at Accenture envisions a leaner, tech-heavy entity. Such an organization would be compatible with the framework of an AI-first economy. Cost savings of more than $1 billion are expected when the project completes in November 2025.

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