McKinsey plans to cut 500 jobs in China to reduce security risks and government-linked clients, marking a strategic shift focused on operational security and market complexities.
McKinsey Job Cuts in China
McKinsey & Company, a prominent US consulting firm, is planning to eliminate around 500 jobs in China as part of a significant restructuring in the region. The move comes as the company aims to reduce its exposure to government-linked clients, focusing instead on minimizing security risks and political influences.
Workforce Reduction
This decision will lead to a approximately one-third decrease in McKinsey’s workforce in China, affecting hundreds of positions across Greater China, including Hong Kong and Taiwan. In June 2023, the firm employed nearly 1,500 individuals in the region, indicating a significant reduction in staff numbers due to the ongoing restructuring efforts.
Strategic Separation
In response to escalating security concerns, McKinsey is taking steps to separate its China unit from its global operations. This strategic move is set to enhance operational security and help the firm navigate the complexities of the Chinese market. McKinsey is yet to provide further details or comments on these developments, following inquiries from interested parties.
Source : Reckitt CEO Reports ‘Thriving’ China Business, Anticipates Double-Digit Growth – Reuters