The consulting world is undergoing a fundamental transformation. The Big Four- Deloitte, EY, PwC, and KPMG, are aggressively slashing graduate hiring, breaking from their decades-old pyramid structure. This shift reflects both cost pressures and the growing impact of artificial intelligence on entry-level work. Graduate job postings across these firms dropped 44% in 2025 compared to the previous year, according to new data shared by The Guardian.
This is more than just a hiring freeze. It signals the end of traditional intake models that fueled the consulting pipeline for years. In the UK, job vacancies have declined by 43% since 2022. As AI takes over critical research and analysis functions, consulting firms are rethinking what roles are essential, and who should fill them. The impact of this change is rippling through HR teams, job seekers, and even clients seeking value from human expertise.
Entry-Level Consulting Roles Face AI-Driven Disruption
Junior consulting roles once revolved around tasks like slide deck creation, data compilation, and market research. But today’s AI tools are handling these faster and more accurately. Former strategy managers confirm that software now performs 60% of tasks once assigned to junior analysts. This shift changes the economics of Big Four graduate hiring and redefines the structure of consulting delivery.
Instead of the old pyramid structure, with fresh graduates forming the wide base, firms are adopting what’s now called the “diamond model.” It has a narrow base of entry-level talent, a bulging middle tier of experienced professionals, and specialised leadership at the top. AI-powered delivery models mean firms can operate efficiently with fewer new recruits.
Offshoring Surges as Firms Seek Lower-Cost, AI-Augmented Talent
As AI reshapes how consulting services are delivered, offshoring has intensified. Between 2023 and 2024, Deloitte reduced staff in the Netherlands by 5% but increased headcount in Malaysia by 9%. Similarly, KPMG cut its UK workforce by 7% while expanding in Pakistan by 10%. EY shifted hiring from Germany to Indonesia, and PwC downsized in Australia, growing its team in Mexico instead.
These moves show a deliberate effort to shift support and research work to more affordable global markets. Consulting firms now seek to blend AI tools with offshore human capital, allowing them to scale without increasing costs. Dr Charlotte Moore from the University of Leeds said the trend reflects a consolidation phase driven by economic pressures and the rise of the AI workforce transformation.
Reputation Hits and New Competition Add Pressure
The consulting world isn’t just dealing with automation. It’s also facing a reputational storm. PwC’s scandal in Australia, where it misused confidential government data, led to staff layoffs and contract losses. Public scrutiny is increasing around firms that work on controversial government and corporate projects, weakening their traditional dominance.
At the same time, private equity firms are investing heavily in smaller, AI-native consultancies. Bloomberg reports that PE-backed deals in European consulting surged to 200 in 2024, up from 20 in 2022. These agile firms often skip entry-level hiring altogether, instead building lean, tech-powered teams that deliver faster and cheaper. For clients, they offer transparency, innovation, and digital-first solutions, traits the Big Four are struggling to match.
HR Leaders Must Rethink Early-Career Programs and Talent Models
HR and business leaders must rethink their hiring and talent strategies. Traditional volume-based graduate programs no longer meet current needs. Firms now focus on building skills that AI cannot replicate – judgment, creativity, and stakeholder communication. They also train employees in AI across all departments, not just IT. Teams use automation tools alongside human-led learning to boost productivity. Companies strike a balance between local expertise and affordable offshore teams. ICAEW highlights that firms invest more in internal AI training instead of hiring many unskilled graduates. This shift marks a global change in workforce planning across the Big Four and beyond.
The Future of Consulting Belongs to Agile, AI-Savvy Teams
The Big Four are not going to collapse, but they are having to adapt. The recruitment approaches employed by the Big Four, that have been fairly effective for decades, are no longer appropriate for a world that is being driven by AI and global competitiveness. Clients want results at a lower cost, and firms need to develop new work models that focus on quality over quantity.
For aspiring professionals and HR leaders, this is an important opportunity. People that adapt to this AI-run change will be the leaders of the future of consulting, and the people that do not adapt will be left behind.
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