Accenture is cutting 19,000 jobs worldwide

London (CNN) Accenture plans to cut 19,000 jobs worldwide as it tries to cut costs amid a bleak economic picture.

The Irish American professional services company said in a filing Thursday that it will spend $1.2 billion in compensation to cut 2.5% of its workforce over the next 18 months, and another $300 million. To enhance its office space.

More than half Excluded roles He will be among the back office staff, the company said.

Accenture (ACN)which has 738,000 employees globally, said in its most recent quarterly report to the Securities and Exchange Commission that it continues to hire, but has “initiated measures to streamline [its] Operations and converting non-billable company functions to reduce costs. “

The $167 billion company cut its revenue growth forecast for fiscal 2023 to between 8% and 10%, from its previous estimate of between 8% and 11%.

Accenture shares rose 3.9% to $263 a share in early trade after its announcement. The New York-listed stock is down more than 5% in the past 12 months.

Accenture’s competitors are also trying to lower their costs. Consulting giant KPMG announced in an internal memo last month that it would cut nearly 2% of its workforce in the United States as it expected client demand to slump, according to financial times a report.

McKinsey also could cut up to 2,000 non-consulting employees in one of its biggest layoffs ever, Bloomberg mentioned last month, citing unnamed sources close to the matter.

It’s not just a malaise consultation. Thousands of workers In the technology industry in recent months as rising interest rates, inflation and recession fears have led to a decline in advertising and consumer spending.

Last week, Facebook parent Meta said it plans to lay off another company 10,000 workers, the second round of large job cuts in four months. Combined, the cuts will reduce your Meta headcount by about 25%.