In response to economic factors that are causing companies to cut back on consulting services, KPMG Consulting has announced plans to cut five percent of its workforce, or approximately 450-550 people in the United States and Canada.
This is the company's second round of firings this year. Approximately 350 employees were let go in February.
The firm estimates the cost of the new layoffs will be between $15 and $20 million, and this cost will be reflected in its fiscal third quarter. KPMG Consulting, which trades under the symbol KCIN, is selling for approximately $16 per share.
The layoffs are becoming a trend in the industry. PwC last week announced plans to layoff nearly eight percent of its consultancy employees, and Accenture has warned of an anticipated slowing in growth this year.