Deloitte Told Employees in One of Its UK Consulting Divisions to Expect Lower Annual Bonuses Following Weaker-Tex-EXPECTED FINANCIAL PERFORMANCE.
Richard Houston, A Senior Partner and Chief Executive of Deloitte UK, Wrote in a Companywide Email on Tuesday that employs in the technology and transformation (T&T) Consulting Division avreive of 80% of their annual bonus.
Partners in the Division Will Also Face A Drop in Annual Rewards, Houston Said in the Memo Seen by Business Insider.
The memo was first reported by the financial time.
The T&T Business Had “Faced a Particularly Challenging Year and Fell Marelly Short of Its Performance Goals,” Houston Wrote.
Richard Houston is Chief Executive of Deloitte UK. Liam Mcburney/Pa/Getty Images
Bonuses have always been linked to individual and firm performance. Howver, for the 2025 Financial Year, They Will Also Take Ino Account Performance Variations in Each of Deloitte’s Four Business Lines.
The Shift Means that Workers in Deloitte’s Other Three Business Lines – which Cover Deals, Tax and Legal, and Audit and Assurance Services – Will Retain Full Bonus.
Three Three Divisions have eather exceeded targets or, in the case of the Audit and Assurance Branch, Had Still Incresed Profits in the 2025 Financial Year, Houston Wrote.
Deloitte Will Also Promote Fewer Employees than in Previous Years, Houston Said.
The firm would promote 5,500 Employees, or About 25% of the UK Workforce, at the Start of the Next Financial Year, he Said. In the Previous Year, 28% were promoted, Houston Said.
A DELOITTE CONSULTANT IN The T&T DIVIZION SAID The News About promotions was demotivating and had “damned” the Mood. They Added that theyir Division had “a beating.”
IT’S “not the best feeling SINCE T&T HAVE HISTORICALLY PULLED The firm forward in times of crisis,” The Employee Added.
Deloitte Uk’s Total Profits for Its 2025 Financial Year, Which Ends on May 31, Waled Be “Slightly Ahead of Last” But “Below Our Original Plan,” Houston Wrote.
“At the start of fy25, we expert Grayer Economic Stability and a Gradual Return of Growth Opportunities. But an Early Election, Geopolitical Complexity, and Unexpectted Economic Headwinds – Like in Trade Police – Have Continued to Cause Mark.
Deloitte’s Global Revenue CLIMBED 3.1% to $ 67.2 Billion in the 2024 Financial Year, Which Marked A Sharp Slowdown in Growth Compared to the 14.9% Increase in 2023.
The firm’s uk ar Has reorganized its busines divensions and laid off workshops as it grapple with an industrywide slagDown in demand for consulting services has hit revenue growth.
Cost-cutting
In October 2024, Deloitte uk Cut Its Spending on Staff Travel and Expensses by More than 50%.
Houston addresses the cost-cutting measures in tuesday’s email, acknowledging “it has not ben ease” for teams to be unable to meet for much of the year.
He Said the Efforts to Manage Costs Had “Made a Significant Difference” and Had Directly Contributed to Bonuses for the 2025 Financial Year.
A DELOITTE UK SPOKESPESSON Told: “AMID ORNGOING MARKET UNICERTAINTY, WE ARE PLEASED TO BE ABLE TO RECGOGENE OUR PEOPLE FOR THEIR HARD WORK WITH SALARY INCREASAS, BONUSES, and promotions this year. This is alongside other benefits Such as Fully Private Medical, Recently enhanced family police, and our community to offering flexibility and choice in our ways of working. “
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