October 30, 2020

Big 4

KPMG Managing Director Reported Missing By Family; Reward Offered (UPDATE)

[Updated on Oct. 30 with new information. Article was originally posted on Oct. 27.] Alan White, who works for KPMG in Dallas, hasn’t been seen by family and friends since Oct. 22, according to WFAA in Dallas. His family has hired a private investigator and is working with police to look into his disappearance. WFAA […]

BDO Poaches Someone From Deloitte and Issues a Press Release, Parts III and IV

BDO of the Australian variety recently snagged a couple of partners from the Green Dot. First, former BDO audit partner John Bresolin got his old job back following a two-year stint as a partner at Deloitte in Sydney. BDO Sydney Managing Partner Grant Saxon said Bresolin started his career with BDO as a cadet in […]

Life at Deloitte Is Obviously Sick of DoorDash and Pining For DU Cafeteria Food

Damn you, ’Rona! One of the things our people remember about the #DeloitteU experience is the amazing food. What’s your favorite food at DU? pic.twitter.com/4nrfkryuC6 — Life at Deloitte (@lifeatdeloitte) October 27, 2020 Related article: Brisket, Blueberries Some of the Best Fare at Deloitte University: Sources

EY Poaches Someone From PwC and Issues a Press Release, Part III

EY U.K. is so excited about its recent hire of a former PwC partner that someone in communications actually sent us this message earlier today: I absolutely loved the first two parts of your ‘EY Poaches Someone From PwC and Issues a Press Release,’ To complete the trilogy, I wondered if you’d be interested in […]

Which Firm Had the Most IPO Audit Clients In Q3 2020?

There was an explosion of initial public offerings in the U.S. in the third quarter, with 165 companies going public between July 1 and Sept. 30, raising more than $61.5 billion—by far the most active quarter in 2020 and the most active Q3 in the past five years, according to our friends at Audit Analytics. […]

KPMG Must Really Like This Bill Thomas Fellow

Is Bill Thomas the most under-the-radar Big 4 global CEO right now? Everyone knows Bob Moritz, Punit Renjen, and Carmine Di Sibio. But if you don’t work at KPMG, or even if you do, did you even know Bill Thomas is the firm’s head chairman? I just now had to create a Bill Thomas tag for […]

Promotion Watch ’20: Deloitte Adds 195 New Managing Directors

Let’s pass out the cupcakes and green Kool-Aid, and celebrate Deloitte’s new class of managing directors for FY 2021: Bhawna Agarwal, Tax, Deloitte Tax LLP, Jersey City Jon Allred, Audit & Assurance, Deloitte & Touche LLP, Salt Lake City Aaron B. Bairani, Tax, Deloitte Tax LLP, Chicago Melissa Balmer, General Counsel, Deloitte LLP, Stamford Megan […]

Florida Gives Deloitte Consulting a Happy Ending

The saga between Florida and Deloitte Consulting—a relationship bizarre enough to be reported by TMZ or covered by Perez Hilton—keeps on keeping on, as the state’s Agency for Health Care Administration is going ahead with Big D on a potential $135 million contract to overhaul Florida’s Medicaid data system, according to the Tampa Bay Times. […]

Question of the Day: Is EY the New KPMG?

For as long as I can remember, KPMG has always been the butt of Big 4 jokes: Big 3 + KPMG, a golf apparel company masquerading as a Big 4 firm, the red-headed stepchild of the profession, always a bridesmaid and never a bride, Scott London, Caleb worked there, etc. But with the whole “pancakes […]

Boo-hoo: A Certain U.K. Online Fashion Retailer Might Have a Hard Time Finding a New Auditor

Being accused of treating its garment workers like complete garbage has resulted in U.K. online fashion retailer Boohoo searching for a new audit firm after PwC recently resigned. And according to The Telegraph, none of the other largest audit firms in Britain wants to touch this engagement—except for maybe one: Deloitte, KPMG, BDO and Grant […]

Sigur Rós Isn’t a Huge Fan of PwC or Paying Taxes

“We are musicians, we hired the people who we thought were the best in the world. And he failed us.” — Georg Holm, bassist for the legendary Icelandic post-rock band Sigur Rós, said about the band’s accountant Gunnar Ásgeirsson, who worked at PwC. I’ve got a few Sigur Rós albums on CDs that I burned […]

Big 4 Lawsuits: Karen Ward vs. EY, Choppies vs. PwC, Floridians vs. Deloitte Consulting

EY, Female Ex-Principal End Lawsuit Over Bias Arbitration Costs [Bloomberg Law] Have we mentioned before how much Big 4 firms love it when claims against them by former employees go to arbitration? EY and a female former principal allegedly subjected to sexual harassment, retaliation, and other sex discrimination throughout her time with the firm agreed […]

Layoff Watch ’20: EY Ireland Is Letting Go of 36 Non-Client-Facing Staffers

Let’s see, since the start of the pandemic, EY has done performance-based separations layoffs in Canada, Israel, Mexico, and, of course, the U.S. Now we can add Ireland to the list. This just hit our tipline: Not as impressive as the few hundred pink slips being given out across the US, but it was announced […]

KPMG Rocks signs held by a woman in a KPMG shirt

Promotion Watch ’20: KPMG Admits 119 New Partners in the U.S.

It was new partner promotion announcement day at KPMG yesterday, and there are 119 individuals in the class of FY 2021 who will do Paul Knopp’s bidding. Speaking of Knopp, the firm’s chairman and CEO exalted the newest members of the club on LinkedIn Tuesday: Each of these talented professionals has demonstrated exceptional professional excellence […]

Ex-KPMG Partner Given Slap on the Wrist From Judge During Cheating Scandal Sentencing

Adrienne mentioned this in Footnotes on Friday, but just in case you missed it, former KPMG partner David Britt won’t be serving any time behind bars for his role in the audit firm’s scheme to cheat the PCAOB inspection process a handful of years ago. Instead, Britt, 57, who is a resident of North Carolina, […]

Number of the Day: 1,114

That’s how many consultants Deloitte UK has deployed to work on a coronavirus contact tracing project for the UK government. Some other notable numbers: The Department of Health and Social Care (DHSC) has engaged the services of other consultants from McKinsey, BCG, PWC, KPMG and EY as well however the number of consultants from all […]

Talent Crunch: There Are Far More CPAs in Korea Than Big 4 Firms Have Jobs

While we here in the good ole U.S. of A. are constantly talking about the “talent shortage” and industry concerns that not enough new accounting grads are taking the traditional CPA path, South Korea has a different problem: too many CPAs, not enough jobs. According to a report in The Korea Times, the Big 4 […]

EY Changes Its Vacation Policy, Oh and BTW They’re Not Paying Out Accrued PTO If You “Leave”

In a nationwide email to staff today, EY announced that they’re tweaking their vacation policy. Although it’s framed as a switch to “flexible” time-off, the biggest change is that — excluding states in which this practice is illegal — the firm will not be paying out accrued PTO to individuals who leave or are fired […]

Let’s All Shed a Tear For Deloitte Partners In the U.K.

Sadly, Deloitte partners are probably going to have to put off buying that new McLaren 720S or Mercedes-Benz S-Class until next year. The Times reported today: Partners at Deloitte are in line for a 17 per cent pay cut after revenue growth slowed during the Covid-19 pandemic. The 709 equity partners of Deloitte’s British arm […]

Promotion Watch ’20: KPMG Admits 69 New Partners in Canada

We got a tip the other day that KPMG of the Canadian variety finally released its roster of new partners, and there are 69 lucky boys and girls who now get to take a seat at the grown-ups’ table. Here’s a look at the class of 2020 by the numbers: 30: The number of new […]

Layoff Watch ’20: It’s Pink Slip Day at KPMG

[Updated on Sept. 30 with additional information.] Two days before the start of KPMG’s 2021 fiscal year, massive layoffs unfortunately occurred at the firm on Tuesday. We received confirmation that 1,400 people, less than 4% of KPMG’s workforce, would be notified this afternoon that they no longer have a job with the firm. In a […]

Here’s the Latest on Tina Frost, the EY Accountant Shot During the 2017 Las Vegas Massacre

Tina Frost (right) pictured with her mother, Mary Watson Moreland. As we approach the third anniversary of the awful mass shooting in Las Vegas during the Route 91 Harvest Festival outdoor country music concert, the family of Tina Frost provided an update a few weeks ago on her recovery. Frost, an accountant with EY in […]

Wirecard Drama of the Day: EY … Y U No Listen to Whistleblower?

A new Financial Times report once again makes EY look completely incompetent as the auditors of the ill-fated German payments company Wirecard: EY was warned in 2016 by one of its own employees that senior managers at Wirecard may have committed fraud and one had attempted to bribe an auditor. The revelation that an EY […]

How Are Big 4 Firms Stacking Up on Work-From-Home Benefits?

Unless you were one of the few who had the foresight to deck out your crib in multiple monitors just before SHTF this past spring, you’ve probably needed to improve your WFH set up just a bit in the months since. And because a large portion of this website’s entire purpose is serving as Steve […]

FYI: One of the ‘KPMG 5’ Is Scheduled to Be Sentenced on Oct. 9 (UPDATE)

[Article updated with new sentencing date.] A Manhattan federal court judge will decide next month whether former KPMG executive David Britt should spend some time inside a jail cell for his involvement in a scheme to steal secret audit inspection information from the PCAOB. But if Britt, former co-leader of KPMG’s Banking and Capital Markets […]

Big 4 Lawsuits: Ex-PwC Partner vs. PwC, Deloitte Partner vs. Deloitte Australia, EnviroNet vs. EY

Plus, two Deloitte partners implicated in U.K. insolvency lawsuit, and KPMG gets out of $1.1 billion suit in Oceanografia scandal. A former PwC partner who sued the firm for $15 million just had a major setback in his case, pushing the pay spat behind closed doors [Business Insider] Big 4 firms salivate when a lawsuit […]

Rumor of the Day: A Big 4 Firm Picked Up an Out-of-This-World Audit Client

From the tipline yesterday: EY just won the NASA audit. Well that’s a pretty nice get for the Black and Yellow. Our source didn’t have much more info to share other than (s)he found out during a Government and Public Sector call on Wednesday and that EY prevailed in the competitive bidding process. So which […]

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Layoff Watch ’20: Apparently It’s Doomsday for Some at EY (UPDATE)

[Updated on Sept. 23 with additional information.] EY management stuck to their narrative today that the recent layoffs at the firm aren’t layoffs but performance-based separations that were justified, even though many of those who have contacted us after losing their jobs said they weren’t on any type of performance improvement plan. First, before EY […]

RSM Poaches Someone From KPMG and Issues a Press Release, Part II

Back in the spring, right around the time the country was going to hell in a handbasket due to the Rona, Deborah Gordon had been wooed by RSM US to leave her job as leader of KPMG’s Federal Excise Tax practice to lead the Excise Tax practice at Really Still McGladrey. About four months later, […]

Wirecard Drama of the Day: EY Is Bleeding Audit Clients In Germany

Earlier this month, Commerzbank, Germany’s second-largest lender, and DWS Group, Deutsche Bank’s asset-management arm, both decided against using EY Germany as their auditor because they were freaked out by how bad this Wirecard accounting scandal has become. This was followed by EY Global Chairman and CEO Carmine Di Sibio sending a letter to clients, expressing […]

EY Employees Don’t Have to Work with Pants On Until January 2021 at the Earliest

We meant to post this a few weeks ago, but with the layoffs, angry letters about the layoffs, FY 2020 global revenues, and new partner promotions at EY taking up a lot of our time of late, this got put on the back burner. Thanks to a source, here is the return-to-the-office update from Jay […]

Uh-Oh, This Isn’t Looking Good for KPMG U.K.

From Reuters today: Britain’s accounting regulator said it has delivered its initial report into KPMG’s audit of builder Carillion, an indication that apparent rule breaches have been found. The construction company’s collapse in 2018 angered lawmakers who called on the Competition and Markets Authority to consider breaking up top accountants to increase competition and auditing […]

KPMG and Fidal Won’t Be Going to Court In France Over Lawyer Poaching

Remember back in February 2019 when about 130 lawyers fled France’s largest law firm, Fidal, to go work at KPMG France’s new legal practice, KPMG Avocats, and Fidal managing partner Yves de Sevin was pissed and said the firm was going to sue the pants off of KPMG for “unfair competition?” Well, we have an […]

Deloitte Consulting Is Irresponsible, Lacks Integrity, and Is Unreliable, Says Accenture

“[The Florida Agency for Health Care Administration] ignored information that, by its nature, would be expected to have a strong bearing on whether the intended awardee is ‘responsible,’ that is, whether it has the capability in all respects to fully perform the contract requirements and the integrity and reliability that will assure good faith performance.” […]

KPMG Rocks signs held by a woman in a KPMG shirt

Layoff Watch ’20: KPMG Executive Assistants Were Given an Ultimatum This Week

We saw this being discussed on the chatter sites earlier this week, but because our website has been hot garbage (as I’m sure many of you noticed) off and on since last Sunday, we couldn’t post anything. However, now that GC is back online and we’ve gotten tips from two sources at KPMG within the […]

Congrats to Deloitte U.K. for Getting the Largest Fine Ever Handed Out by the Financial Reporting Council

PwC is no longer the answer to the trivia question: “Which Big 4 firm in the U.K. received the largest fine from the Financial Reporting Council?” That distinction now belongs to Deloitte. The Queen’s Deloitte was fined £15 million by the U.K.’s audit cops, as well as ordered to pay an additional £5.6 million to […]

Layoff Watch ’20: EY Canada Job Cuts Are Underway (UPDATE)

[Updated on Sept. 15 with additional information.] While EY in the U.S. is continuing to tell people in its tax, risk, and assurance practices that their services are no longer needed, we’ve been told that a second round of layoffs has begun in Canada, particularly in Ontario. A source said: Another round of firings has […]

Deloitte’s 3.9% Increase In FY 2020 Global Revenue Is the Smallest Growth In About 5 Years

After perusing Deloitte’s FY 2020 global revenue announcement and impact report today, I thought I’d highlight some of the good news and some of the bad news over the past 12 months for D-towners everywhere. First, the good: For the fifth consecutive year, Deloitte has won the Big 4 revenue dick-measuring contest by reporting $47.6 […]

Promotion Watch ’20: Deloitte Adds 125 New Partners and Principals In the U.S.

The names of the newest Deloitte partners and principals for FY 2021 has finally made its way online, but before we recognize this band of overachieving Green Dotters, let’s take a look at the latest class by the numbers: 59: The number of new partners and principals in consulting, the most of any service line, […]

Deloitte Digital Needs to See a Dermatologist

Presented without comment. Happy Saturday, y’all.

An Open Letter to EY Management

Ed note: An EY employee who wished to remain anonymous asked us to post this letter to EY management regarding the recent layoffs at the firm because “management tends to ignore our questions when we raise them internally.” Here is the letter: Integrity and honesty are the foundations of public accounting. With great trust, the […]

EY Won’t Let a Mere 2.3% Increase In FY 2020 Global Revenue Ruin Its Thursday

The second contestant in the Big 4 global revenue pissing match came out with its FY 2020 financial results today, and EY continued to exert its dominance of third place. The Black and Yellow announced global revenue of $37.2 billion for the fiscal year that ended June 30, a 2.3% increase in U.S. currency terms […]

Promotion Watch ’20: EY Canada Adds 20 New Partners and Principals

Because we recognized the newest partner classes at PwC Canada (under somewhat shady circumstances) in July and Deloitte Canada yesterday, we thought we’d do the same for the brand-new rainmakers at EY Canada. EY’s new partner/principal class is the smallest of the three firms, coming in at 20. Here are a couple other stats of […]

Promotion Watch ’20: Deloitte Canada Admits 125 New Partners

We hope you guys aren’t tethered to your desks today and are enjoying your Labor Day. Today is also Labor Labour Day in Canada, and we hope our friends to the north are also enjoying a relaxing day away from the grind. We’re pretty certain the newest partners at Deloitte Canada aren’t cracking open their […]

The PwC Pillow Has More of a Life Than You Do

Tim Ryan must be taking his favorite pillow camping this Labor Day weekend: View this post on Instagram How are you spending your Labor Day weekend? I'm going camping! #pillowlife #PwCAllin #pwcpillow A post shared by @ pwcpillow on Sep 5, 2020 at 11:31am PDT You forgot a hashtag, Pillow. #PwCProud Related article: Move Over […]

Promotion Watch ’20: EY Adds 133 New Partners and Principals In the U.S.

Thanks to one of our friends at EY, we got our hands on a spreadsheet that lists the names and locations of the 600 newest partners and principals at the House of Di Sibio. Of those 600, 133 are based in the good ol’ US of A. Here’s a look at the class of 2020 […]

Deloitte Sued by Ex-Manager for Discrimination Over ‘Smoke and Mirrors’ Family Leave Policy

Lawsuits against the Big 4 firms are a dime a dozen, but discrimination lawsuits make the most headlines. Like the two older CPAs who sued PwC for age discrimination (and WON!) and gender discrimination lawsuits against KPMG and EY, which either didn’t go or hasn’t gone according to plan for the plaintiffs. Now it’s Deloitte’s […]

Number of the Day: £44 Million

That is how much the Big 4 firms have been paid to advise the U.K. government on its response to the coronavirus pandemic, according to the Financial Times. In comparison, the three biggest consulting firms—McKinsey, Bain, and Boston Consulting Group—were awarded contracts worth £9.5 million. According to FT: A total of 106 contracts worth £109m […]

Pandemic Pay Cuts Didn’t Sit Well with One Deloitte Employee In Australia

Yesterday Adrienne wrote an excellent post about winners and losers in accounting during the coronavirus pandemic. I’ve got one to add to the losers side: Deloitte Australia employees. Why? Not only have most Australian Green Dotters taken a 20% cut in pay since May (which CEO Richard Deutsch said was “the least worst option” to […]

The Rona Postpones Big 4 CEOs’ Swiss Alps Vacation In 2021

Aw, no trip to Davos for BoMo, T-Ry, Carmen, Kelly, Punit, Joe U., and Paulie this January. Here are the first three graphs of the media release we received this morning from Adrian Monck, managing director of public engagement for the World Economic Forum: I would like to share with you the news that the […]

Thanks to the Rona, PwC’s Global Revenue Only Went Up a Measly 1.4% in FY 2020

Big 4 revenue gloating season kicked off today with PwC being first out of the gate. In a normal year, EY is typically first bragging about its third-place global revenue, then Deloitte, P. Dubs, and KPMG. But 2020 has been anything but normal, and that is reflected in PwC’s results for the most recent financial […]

Deloitte’s Winning Bid Amount for $135 Million Medicaid Contract Is Being Kept Secret by Florida for Some Reason

How much did Deloitte Consulting lowball Accenture, IBM, and a couple other bidders to win Florida’s $135 million contract to modernize the state’s Medicaid system? No one is saying, even though state law says bids become public information upon the state announcing the winning bidder, the Tampa Bay Times reported on Aug 24. So according […]

The Olds vs. PwC: Federal Judge Seems Fine with Age Discrimination Lawsuit Settlement

A judge in the U.S. District Court for the Northern District of California on Aug. 19 pretty much wrapped and put a bow on an $11.6 million settlement reached in March between PwC and two accountants who sued P. Dubs four years ago after they claimed they weren’t hired for associate positions with the firm […]

EY Poaches Someone From PwC and Issues a Press Release, Part II

Dan Dennett announced to his LinkedIn connections about a month ago that he recently joined the black and yellow team. And here is his WFH battlestation:The newish EY associate partner is the focus of today’s edition of “Big 4-on-Big 4 Poaching From Around the World.” Dennett joins the Queen’s EY from PwC U.K. where he […]

Deloitte Consulting Winning Florida’s $135 Million Medicaid Contract Has Left Accenture and IBM Feeling a Bit Pissy

This blurb was buried in today’s Politico Florida Playbook column: A $135 million Medicaid contract Gov. Ron DeSantis’ administration awarded to Deloitte earlier this month is officially being protested by two competitors who say the process was flawed, state records show. IBM and Accenture, who also bid on the lucrative contract, filed documents with the Agency for […]

Deloitte Poaches Someone From EY and Issues a Press Release, Part II

For today’s edition of “Big 4-on-Big 4 Poaching From Around the World,” we’re heading to Paris where Monitor Deloitte (Green Dotters who specialize in strategery) landed a new partner from its black and yellow rivals. Fabien Delon, 49, graduated from Sciences Po Paris and holds a DEA in Finance from the same school. He has 25 years […]

Grant Thornton Poaches Someone From PwC and Issues a Press Release, Part I

Aug. 10 was a big day for the PR team at Grant Thornton in the Cayman Islands because they actually had some news to write about. They hadn’t sent out a news release since June 12. But after GT nabbed a director from PwC in the Caymans, the firm actually gave its PR team something […]

Number of the Day: $9.14 Billion

That is the combined FY 2020 revenues for the Big 4 firms in Australia, an increase of 6.2% over FY 2019. According to reports from the Australian Financial Review, here’s how each firm fared this past fiscal year: 1. PwC ($2.6 billion) PwC’s revenues didn’t budge much at all in FY 2020, as its results […]

Big 4 Lawsuits: Ex-PwC Partner vs. PwC, Deloitte Partner vs. Deloitte Australia, Watchstone vs. PwC U.K.

On the docket: wrongful termination, age discrimination, and conspiracy! Former PwC partner sues company, claims he’s owed $15 million [Minneapolis/St. Paul Business Journal] This lawsuit filed by a former Minneapolis-based PwC partner who claims he was wrongly terminated and is owed millions of dollars should keep the firm’s lawyers busy for a while. John Cahill […]

EY Being Blamed by Butthurt Hockey Fans for New York Rangers Getting #1 NHL Draft Pick

Last night the NHL held its 2020 draft lottery, when the eight teams that lost in their respective Stanley Cup Playoffs play-in series—Edmonton Oilers, Florida Panthers, Minnesota Wild, Nashville Predators, New York Rangers, Pittsburgh Penguins, Toronto Maple Leafs, and Winnipeg Jets—each had a 12.5% chance to get the No. 1 pick, presumably 18-year-old Canadian major […]

Layoff Watch ’20: Hearing EY Mexico Is Cutting People and Pay (UPDATE)

[Updated on Aug. 10 with additional information.] We heard from another EY employee in Mexico who told us over the weekend that the situation at the firm is “worse than you may imagine.” This person said that the leadership at EY Mexico has allegedly given employees an ultimatum: accept a 15% pay cut by this […]

Wirecard Drama of the Day: At Least This Wasn’t EY’s Fault

According to a report cited by Bloomberg, a former Wirecard manager who was found dead in the Philippines last week died of blood poisoning in a Manila hospital. Bloomberg wrote: Authorities in the Philippines have yet to confirm that the man, Christopher Bauer, is the former Asian executive of the payments firm who is part […]

Awarding Deloitte a New State Contract Just Goes to Show That Florida’s Leadership Is Dumb

Remember those Bud Light Real American Heroes/Real Men of Genius TV and radio ads that were popular 20 years ago? You know, the ones that featured Survivor lead singer Dave Bickler and saluted such folks as “Mr. Giant Foam Finger Maker,” “Mr. Footlong Hot Dog Inventor,” and “Mr. Male Football Cheerleader”? My favorite one was […]

This Deloitte Veteran Made a One-Pager of His Career Highlights on His Way Out the Door

Over the years, we’ve shared countless firm farewells with you. From viral rants about Beyonce and fake auditors to sappy, totally unnecessary prose about how much they’ll miss the firm, farewell emails are as varied as the soon-to-be-former grunts who write them. Sometimes, they’re just awful, like the tax associate who wrote this actual garbage […]

Which Big 4 Firm Was the Biggest Loser In the Second Auditor Shuffle of 2020?

One thing that hasn’t slowed down too much during the Rona pandemic is the game of auditor musical chairs, as there were 51 new SEC audit client engagements and 62 departures in the second quarter among the 12 major global or national accounting firms compared to 57 new engagements and 68 departures in Q1, according […]

KPMG Rocks signs held by a woman in a KPMG shirt

KPMG Is #1 In Having the Poorest Audit Quality Among the Big 4 In the U.K.

Last but not least, we conclude our review of the Big 4 firms’ 2019-20 audit quality inspection reports from the U.K.’s Financial Reporting Council with the Shemp Howard of the group—KPMG. KPMG made headlines (not in a good way, natch) in June 2018 when the FRC said the firm’s five-year decline in audit quality was […]

Layoff Watch ’20: PwC to Sever Ties with 5% of Its Workforce In Australia (UPDATE) PwC Limits Job Cuts to About 3%

[Updated on Aug. 3 with additional information.] PwC Australia CEO Tom Seymour said layoffs last month weren’t as large as anticipated—the firm let go of 250 PwCers instead of the 400 employees who had initially been targeted for involuntary departure by redeploying dozens of staff, according to the Australian Financial Review on Aug. 3: Mr […]

Wirecard Drama of the Day: Germany’s Audit Cops Are Trying to Dig Up Some Dirt on EY

So sayeth Reuters: The German body in charge of regulating auditors is examining the work of EY, the auditor that approved the books of collapsed payment services firm Wirecard, the German Economy Ministry said on Monday. The ministry said Auditors’ Regulator (Apas) had upgraded a preliminary investigation that had been running since October 2019, when […]

Comp Watch ’20: Here’s What We Know About Raises This Year at KPMG (UPDATE)

[Updated on July 31 with additional information.] And we don’t know much at this point. We’ve seen and been told different things about what was said during a webcast on Thursday morning regarding raises at KPMG. But the one thing we do know is that KPMG is following in line with what the other Big […]

How Much Do You Think a KPMG T-Shirt Costs at Goodwill These Days?

A Goodwill in Lewisville, TX, is selling the KPMG T-shirt below for a whopping … $3.05. Seems a little pricey to me for KPMGwear, even for a thrift store. But if it was a buck and XL or XXL, I’d consider plopping down four quarters for it. I’d rather pay $3 dollars for a fancy-looking […]

EY U.K. Got Slightly Worse at Auditing This Year, According to Latest FRC Inspection Report

Next up in the parade of 2019-20 Financial Reporting Council audit quality inspection reports is the black and yellow float of EY U.K. In the most recent inspection cycle, EY had a smaller audit sample size than Deloitte, PwC, and KPMG, and that was probably a good thing. The FRC noted in its EY report: […]

This Person Is Really Guzzling the PwC Kool-Aid

Saw this posted on Fishbowl a little bit ago, and I’m really hoping this is just a sarcastic PwCer having a little fun while working and not someone who believes all the tripe that comes out of management’s mouths:If you think this person isn’t being sarcastic and is trying to be a good soldier at […]

PwC U.K.’s Auditing Report Card Gets a Grade of U for Unsatisfactory

Yesterday we began our review of the seven audit quality inspection reports issued recently by the U.K.’s audit cops, the Financial Reporting Council, with Deloitte, which was found to have only four of 17 audits (23.5%) that weren’t up to snuff. Today’s victim is PwC. Let’s see how this stalwart of auditing did during the […]

Big 4 Lawsuits: SCANA Investors vs. Deloitte, Miller Energy Investors vs. KPMG, Gridsum Investors vs. PwC

Plus, Illinois resident drops lawsuit against Deloitte Consulting, and PwC wants the city of Los Angeles to pay a price. Deloitte Wants Investor’s Nuclear Energy Project Suit Tossed [Law360] Deloitte doesn’t think it should have to face a lawsuit accusing the firm of issuing audit reports that misled investors on the progress SCANA Corp. was […]

Deloitte Sucked the Least In Latest Batch of U.K. Audit Quality Inspection Reports

A couple weeks ago the Financial Reporting Council in the U.K. released the results of its latest inspections of the Big 4 firms plus Grant Thornton, BDO, and Mazars, and it was the same ol’ story: audit quality is still really bad. How bad? Like one-third of the 88 audits reviewed during the 2019-20 inspection […]

Mazars Poaches Someone From KPMG and Issues a Press Release, Parts II and III

Those swashbucklers at Mazars are at it again, this time raiding KPMG U.K. for new partners in tax and transaction services in Manchester, England. According to media releases seen by Consultancy.uk, Steven Abbott recently joined Mazars after spending his entire 23-year career at the HofK in Manchester, where he progressed up the ranks from corporate […]

Layoff Watch ’20: What In the World Is Happening at Deloitte Canada? (UPDATE)

[Updated on July 23 with additional information.] We heard from two sources on July 22 that more layoffs had occurred at Deloitte Canada, this time affecting nearly 200 people in non-client-facing roles. One source told us: 179 internal services staff laid off at Deloitte Canada today [July 22]. 188 redeployed from internal to external client […]

Pay Cut Watch ’20: KPMG New Zealand Ends Employees’ ‘Salary Sacrifice’ Early

Kiwi Klynveldians recently got some good news: Accounting firm KPMG has ended its Covid-19 salary sacrifice two months early, citing a better workflow than expected. In April, BusinessDesk revealed KPMG had asked staff to take a 15 per cent pay cut, calling it a “salary sacrifice”, because it didn’t qualify for the government wage subsidy. […]

Ex-PwC Senior Manager Got Busted for Trying to Pull a Fast One on PCAOB Inspectors

If you try to do something to outsmart PCAOB inspectors, more often than not you’ll end up looking like the big dummy. Case in point, former PwC senior manager Ryan Collins, who was barred by the U.S. audit cops on July 21 for altering workpapers. Collins, who worked at P. Dubs from September 2010 until […]

Layoff Watch ’20: KPMG U.K. Is Cutting About 100 People Loose In Consulting

Sky News reported some unfortunate news today, as the Queen’s KPMG has reportedly told about 200 employees, including nearly a hundred in consulting, that their services are no longer needed: Sky News has learnt that the big four accountancy firm has decided to axe just under 200 jobs across its UK workforce, the latest sign […]

Which Firm Had the Most IPO Audit Clients In Q2 2020?

Huh. Did you know there were 62 initial public offerings this past quarter? I didn’t. Then again, IPOs aren’t at the top of my “must keep track of” list with everything else going on in the world right now. But now that Audit Analytics has released its latest analysis on Q2 IPO auditor market share, […]

Comp Watch ’20: EYers Who Are Not Getting a Promotion Probably Are Not Happy Right Now

This delicious-looking sundae is the promotion bonus at EY in 2020. An EY all-hands webcast was held earlier this afternoon, and a lot of topics were apparently discussed, including raises … or a lack thereof, according to a source: No raises this year. Only those getting promoted will get the promotion portion of the raises. […]

EY Poaches Someone From KPMG and (Not Yet) Issues a Press Release, Part II

In the About section of his LinkedIn profile, Charlie Simpson simply put down, “Delighted to have joined EY Parthenon to help grow our Advanced Mobility and Manufacturing business across Europe and globally.” It’s Simpson’s move to EY-P, the strategic consultancy located in the boiler room of the EY Global Battleship, that is the focus of today’s […]

Layoff Watch ’20: PwCer Claims Performance Ratings Are Purposely Being Bumped Down to Make Separation Decisions Easier During the Pandemic (UPDATE)

[Updated on July 17 with additional comments.] Two people who currently work at PwC in management roles have chimed in on this topic: one who is siding with the firm and the other who is siding with those folks who have recently lost their jobs. The first is a partner who emphatically says what these […]

Promotion Watch ’20: PwC Canada Welcomed 22 to Partnership Right Before Gutting 5% of Its Workforce

Among the slew of messages we got yesterday regarding the layoffs this week at PwC Canada was this one from a PwCer who was among the hundreds of employees told they were no longer welcome at the House of Marcoux: PwC Canada, just a week ago, was “proud” to announce their new 2020 partners, while […]

Layoff Watch ’20: PwC Canada Confirms It Is Handing Out Pink Slips (UPDATE)

[Updated on July 16 with additional information.] Ugh, here we go again. Another big Canadian firm is cutting employees during the pandemic, and the latest victims are from PwC. We got this tip around lunchtime on July 15: Lay offs have started in a few offices in PwC Canada, including me. I’m only aware of […]

KPMG Employees Won’t Be Returning to the Office Anytime Soon

By the time KPMGers in the U.S. are finally allowed to leave their home offices to get reacquainted with their cubicles, fashion rules stipulate they won’t be able to wear white to work. The new KPMG leadership team sent a message to employees on July 13 that maybe they’ll be able to return to their […]

Layoff Watch ’20: Rumor Has It That PwC Brazil Let Go of 600 Employees

[Updated on July 11 with additional information/comments.] A tipster brought to our attention this morning that several people on his LinkedIn feed who worked at PwC in Brazil no longer work at PwC in Brazil as of July 9. Here are a few of the posts, translated from Portuguese to English: And today my journey […]

Grant Thornton Poaches Someone From EY and Issues a Press Release, Part I

While public accounting firms in the U.S. are registering about zero on the competitive poaching Richter scale these days, the bigger firms in the U.K. continue to shake things up. Take Grant Thornton, for example. Dan Dickinson, GT’s newest partner in its tax practice, is an EY refugee. From a press release seen by the […]

Deloitte Australia Has This Corporate Bullying Thing Down Pat

“It’s using COVID as a lever to change their working conditions. They have no choice — if they say no to the pay cut, they may lose their job, if they say yes, they might lose their job anyway. “Most would have accepted a pay cut because they thought it would save jobs. “In their […]

Promotion Watch ’20: Let’s Give a Thumbs Up to KPMG’s New Tax and Audit Bosses

Lynne Doughtie’s five-year reign as chairman and CEO of KPMG US came to an end on June 30, and her successor, Paul Knopp, wasted no time today appointing some KPMGers to extra special positions within the firm. KPMG today announced the leaders of the U.S. firm’s Audit, Tax and Advisory businesses, as well as the […]

Apparently the Shocking Thing About Ivy Leaguer Fired by Deloitte For Her TikTok Rant Is That an Ivy Leaguer Would Want to Work at Deloitte

Surely by now you’ve all heard of the Harvard grad fired by Deloitte before she even served a single day for the firm after a politically-charged TikTok video of hers went viral. It seems Deloitte doesn’t like it when their incoming consultants threaten to stab people, even if said threat is really just “an analogy” […]

Mazars USA Poaches Someone From PwC and Issues a Press Release, Part I

Our favorite public accounting bandits Mazars USA is at it again, this time raiding PwC for someone to lead its first office in Texas—a new 4,000-square-foot cube farm in Dallas. Brad Leffler will lead the office and has 23 years of experience serving companies in a wide range of industries including retail and consumer products, […]

By the Numbers: $2.06 Billion

That’s how much General Electric paid its longtime external auditor KPMG in fees from 2000 to 2019, according to an analysis of GE’s proxy filings for each of the past 20 years. GE dumped KPMG on June 22, ending an 111-year relationship. Deloitte will be GE’s new external auditor beginning in 2021. Here’s a breakdown of […]

EY Still Atop Public Company Audit Client Leaderboard

EY having the most public company audit clients in 2020 isn’t really the biggest news coming out of Audit Analytics’ latest analysis of public company auditors because the Black and Yellow has led each of the past half-dozen years. The bigger news is there’s a different Big 4 firm occupying second place. While EY has […]

EY’s Care Kit for Employees Does Not Include Pancake or Waffle Mix

But the care kit EYers received for their eventual return to the office does include reusable cloth masks, hand sanitizer, and a forehead thermometer (not pictured below). The source who sent us the photo, whose spouse works for EY, called the care kit “a legit, nice, late gesture from Uncle Ernie” and added that the […]

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EY Partners Told How to EYsplain Wirecard Mess to Clients

The Financial Times reported on Monday: EY has told its partners how to prepare for difficult conversations with clients about its audits of Wirecard, the German payments company that has filed for insolvency after admitting that €1.9bn of cash probably never existed. In an internal note to senior partners on Friday, EY advised them to tell […]

Layoff Watch ’20: EY Is Cutting Ties with Nearly 100 Employees In Israel

Today is New Year’s Eve Eve in the Ernstiverse, and with the 2021 fiscal year starting on Wednesday—and with COVID-19 not going away anytime soon—we’ve been told that quite a few EYers in the U.S. will be shown the door soon. Rumors have been swirling for a while now—from 300 of the 3,600 (8.3%) U.S. […]

EY Poaches Someone From KPMG and Issues a Press Release, Part I

We’re going back to the U.K. for today’s edition of “Big 4-on-Big 4 Poaching From Around the World,” where private equity specialist Jo Taylor is moving up from No. 4 to No. 3 in the Big 4 rankings. From a press release seen by the website TheBusinessDesk.com: EY’s transaction tax team in Manchester continues to […]

Ex-EY Partner Karen Ward Dealt Setback In NY Federal Court

Law360 has the latest on Karen Ward, the former head of real estate investment banking at EY, who asked a Manhattan federal court last July to invalidate the arbitration agreement she signed several years ago that has prevented her from suing EY over claims she was a victim of sexual harassment, gender discrimination, and retaliation, […]