EY Drops US Holiday Bonuses As Economic Outlook Worsens, FT Says

EY’s employees in the US were told on Friday that holiday bonuses will not be paid this year as a result of the challenging economic outlook, the Financial Times reports, citing unidentified sources.

The move comes as the accounting firm plans to spin off its consulting business into a stand-alone company, in a step expected to shake up the audit and advisory markets.

The company confirmed that it has chosen “not to fund our additional, discretionary mid-year program given the changing economic environment,” in a statement to the Financial Times.

EY, which audits more public companies in the US ...