Accounting firms in China start cutting jobs

Declines in initial public offerings and other demand drivers for accounting services are forcing accounting firms in China, including the largest multinationals, to begin cutting jobs, state media reported. Ernst & Young has laid off 50-100 auditors at its Beijing office, and KPMG has also requested a large group of professionals to resign. Sources at KPMG told state media that the firm is not expecting to renew contracts that expire in January, but that recruiting efforts will continue. PricewaterhouseCoopers and Deloitte are not known to be laying off staff. The number of IPOs in China declined by 70% in the third quarter.