Renowned auditing firm KPMG is continuing with its restructuring process by announcing on Monday that it will be laying off some 400 people in South Africa.
The company instituted some reforms after it was linked to the controversial Gupta family in South Africa that had to deal with several corruption allegations.
The Guptas faced allegations of illegally influencing government contracts under the former President, Jacob Zuma.
Among the steps taken by the firm to restructure since last year was to have its top bosses resign in order to restore its reputation which was fast taking a nose dive.
The chief executive of KPMG South Africa, Nhlamulo Dlomu, said in a statement that the firm intends reducing its operational base in the Southern African country.
KPMG will run only centers in Johannesburg, Cape Town, Durban and Port Elizabeth, which means other regional offices will be closed.
“These hard decisions were necessary to put the firm on a more sustainable footing, while ensuring we continue to offer our clients the best service and support” the statement said.
KPMG International Chairman Bill Thomas also said in the statement that “Today’s announcement to embed additional senior international partners into the South African leadership team is evidence of the significant investment KPMG International is providing to help ensure KPMG South Africa can continue to focus on trust, quality and integrity.”
Since the corruption controversy, KPMG has lost some key clients including the South African parliament and some universities in South Africa.
Source: Africafeeds.com
