Medium confidence
May 29, 2025
McKinsey & Company
−5,000 ~5,000 (≈10% of headcount over 18 months)
Attribution · verbatim quote
“These changes were not the result of 'layoffs,' but rather our traditional performance management process working as it always has.”
— McKinsey spokesperson (spokesperson)
Summary
McKinsey's headcount fell ~10% over 18 months, with reporting attributing the decline to slowing client demand and to internal AI tools (notably 'Lilli') automating tasks previously done by junior consultants. The firm disputes the 'layoff' framing, calling the reduction a result of stricter performance management.
Evidence notes
- · AI link is contextual rather than directly attributed by McKinsey.
- · Internal AI agent 'Lilli' reportedly cut research synthesis time ~30%.