PwC partners see 10% pay cut due to COVID-19 pandemic
Partners at Big Four accountancy firm PwC saw their pay decimated in the year ending 30 June 2020 as the firm sought to protect jobs and salaries during the COVID-19 pandemic.
PwC’s headline financial results reveal that the average distributable profit per partner was down 10% to £685,000 as profit dipped 8% to £938 million.
Revenue grew by 3% over the year to £4,380 million in spite of the COVID-19 pandemic, which the firm said reflects its “good growth” prior to March.
Kevin Ellis, PwC UK chairman and senior partner, said: “I’ve been impressed by the resilience of our people and business as we’ve adapted to new ways of working while keeping a constant focus on supporting our clients. As is to be expected the pandemic had a significant impact on our financial performance in 2020, however I am proud that we have continued to invest in our people and regional growth opportunities.
“We were clear in our response to the crisis from day one that we prioritised providing support and reassurance to our people. We took an early decision not to take government funding through the furlough scheme or loans. Supporting our people enabled us to continue to deliver for our clients. Through the hard work of our partners and staff we have maintained our focus while recognising it’s been a difficult time for everyone and that many of our people have been personally impacted.”
Claire Reid, regional leader for PwC in Scotland, said: “Across our three offices in Scotland we have all adapted to a new way of working and in a challenging year I am incredibly proud of the way our people have responded with staff and partners working hard to continue serving our clients, and also looking out for one another.
“While our business was impacted by the effects of the pandemic, we have started the current financial year well, which has allowed us to continue to invest in the business, upskilling our people and taking on more than 100 new student graduates.
“With the rescheduled COP26 taking place in Glasgow in 2021, we will undoubtedly see an increased focus from businesses as they plan their paths to Net Zero, while we expect demand to be driven by the predicted deals-led recovery, and businesses’ drive to become more tech-enabled.”