- Deloitte India is undergoing a significant organizational revamp.
- It offered early retirement to their Partners aged 55 and above.
- Deloitte is headquartered in the UK and is currently one of the world’s largest Big 4 professional services firms by revenue.
What’s happening at Deloitte India?
Deloitte India is offering a ‘Golden Handshake’ incentive to its Partners aged 55 and above, whereas the typical retirement age is 62, as per a report from Money Control.
They are offering it to a specific segment of their senior leadership team in various departments, including audit, consulting, financial advisory, risk advisory, and tax practices.
35 Partners have embraced the early retirement scheme as of now.
As part of the early retirement package, the firm is also providing approximately two years’ worth of annual compensation as severance pay, which will be disbursed gradually.
According to industry estimates, Deloitte India currently has more than 450 Partners, each earning a base salary ranging from INR 3 to 10 crore per annum.
The reason behind Deloitte’s strategic move
Attract young talent
Who will fill these Senior Partners’ shoes? Turns out, Deloitte aims to strategically replace its leadership with younger professionals.
The decision is essential to Deloitte’s plan to attract more talent.
The Big 4 firm has declared its ambitious goal to have approximately 30% of its workforce based in India, within the next four years.
In an interview, Romal Shetty also mentioned that the firm plans to have over 1,000 Partners within the said timeframe. This would result in an estimated total employee count ranging from 150,000 to 160,000, highlighting the country’s crucial role in the firm’s global growth strategy.
Romal Shetty, the CEO of Deloitte South Asia, currently in his late 40s stands out as one of the youngest CEOs ever appointed by the firm in India. Deloitte hired him in 2023.
A person familiar with the matter told The Finance Story, “Deloitte exhibits a more assertive approach towards nurturing new talent, client pitching, and all other aspects of their operations.
Romal Shetty aspires to elevate Deloitte to a different level.
Shetty offers partnership opportunities to fresh talent, enabling them to reach the position of a partner within 12 years of joining.”
Adapt to the dynamic business environment
All the Big 4s are in a race to transition into specialized consulting and advisory providers, a domain traditionally dominated by esteemed firms such as McKinsey and BCG.
This decision also reflects the broader trend among the Big 4 firms in India, such as PwC.
Information gathered from Money Control.