On April 15, 2020, Deloitte and EY announced that they will be cutting pay in the UK. Deloitte has been very quiet, but it seems like they can’t hold out any longer.
Partner earnings and distributions are said to decline about 20%. Other high earners are also at risk of the pay cut.
EY partners made on average about $850,000 in the UK in 2020. It seems like they can deal with the tax cut.
Deloitte Australia has also said that they will cut pay of their employees by 20%.
It seems like the accounting firms in the UK and Australia are being hit the hardest. I think this makes sense because of the Coronavirus implications in Europe and Asia. These geographies were hit really hard and don’t have strong stimulus plans like the U.S.
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