PricewaterhouseCoopers grows workforce
Sep 7 2010 by John Hill, The Journal
PROFESSIONAL services firm PricewaterhouseCoopers is planning to add 800 people to its UK workforce despite "a tough year" for its business and its clients.
The business, which employs more than 300 at its offices in Newcastle, will add to its 16,500 roster in the UK in the next year, and PwC chairman Ian Powell said it was necessary for the company to “hold its nerve” despite the continuing challenges of the UK economy. It also suggested it would be hiring 1,200 graduates.
He said: “The government is clearly addressing the debt burden and making spending cuts is unavoidable, but the emphasis must be on investing to accelerate business growth in the interests of the UK’s long-term economic health.”
The firm announced turnover growth of 4% in the year ending June 2010, up from £2.25bn to £2.33bn. Net revenue also increased by 4% to £2.1bn, but pre-tax profits were down 3% from £688m to £665m, while the payout for each of its 820 partners dropped 2% to £759,000.
PwC said the drop in profits could be explained by factors such as its construction of a new office in London and the recruitment of 1,750 staff and 57 partners. In the North East, PwC has 20 partners and a Sandyford Road office with 300 staff.
Paul Woolston, senior partner of PricewaterhouseCoopers LLP in Newcastle, said: “Notwithstanding a tough year for our clients and our business, we’ve delivered solid results given the economic and market backdrop.
“We stayed close to our clients through this testing period and continued to invest in the future of our business. These investments locally included the promotion of Paul Mankin to corporate finance partner, Sara Caplan to public sector partner and the promotion of two new directors within our assurance and forensic practice. We have also recently welcomed a new tax partner, Melanie Malsbury. Our strategy is to bring the scale and reach of our firm to the benefits of our North East clients by delivering excellent service.
“Despite the challenging environment, our public sector business in the North achieved a 25% increase in revenues reflecting new wins over the last year and our financial services team delivered an 11% increase. We consider this an excellent performance given market conditions but are under no illusion that there remain challenges ahead.”
The North East Deal Team acted for Wilton Engineering in securing investment from Barclays Private Equity and for Fonelogistics on its sale to Daisy. The office has also raised £10,000 for local charities, and was named branch of the year at the North East Accountancy Awards.
Woolston said 20 new graduates will join the Newcastle office later this month, and the company would “continue to invest in our people, clients and local communities over the coming year”.
Steve Denison, Northern chairman at PwC said: “I remain convinced that as a firm we took the right decision last year to hold our nerve and continue to recruit and invest in our business.
As a result we have built momentum which means we are well placed to focus on the significant growth opportunities which remain in the region.”
