Accenture Manila cuts hundreds of jobs
I got a call last night from a media researcher (for an investigative TV program) asking me about my take on the recent series of layoffs in the local BPO sector. They wanted to know if I think the job cuts were Â related to the global financial crisis.
After a series of calls and text messages, the program supervisor called me asking to verify an alleged layoff at Accenture Manila that very day. The unofficial figure was 500 heads! I said I didn’t know where that came from — it could be from another source but I could call insider people and verify it.
A call to my source from the inside verified the layoffs. My source immediately told me “I know what this is all about” right after picking up the phone.
Apparently, the memo went out on the 14th stating that people from the Solutions Division will have to be let go starting on the 15th. The 500 figure is still unconfirmed but they say it is going to be a huge number.
The reason behind was that Accenture Manila has become overcrowded with project developers and consultants with no assignments or have prior projects that have been canceled or indefinitely put on hold.
This development may not be a big surprise as Accenture (like many other multinational companies in the country) has been doing some belt-tightening measures since last year.
Will update this breaking story as I get more information.
Update 1: Memos were sent out Wednesday night for employees to report to the Makati office the following day only to be surprised by a severance package and outplacing support greeting them as they arrive. Employees are very worried as people just disappear from their stations left and right.
Update 2: Employees that were let go ranged from regulars to management positions. They are given option to transfer to the Call Center Division if they wish so and if the skill-sets are applicable. Those left out are given a severance package of 1 month’s salary for every year of service to the company.
Update 3: More job cuts are coming. The Country Managing Director sent a second notice to everyone on January 15. “All affected employees have been contacted via call, email invite and/or SMS. Only a few are still scheduled for notification in the succeeding days…. If you are approached by the media or anyone else with questions regarding the workforce actions today, please do not respond.” They are also arranging town-hall meetings and people hour sessions. The 500 head count is confirmed and they’re shedding more people.