Ernst & Young (EY), a global professional services company, is planning to undergo a major restructuring and layoffs across global divisions. 

According to a latest report, the company has informed its partners about the restructuring efforts that includes merging 18 regional divisions into 10 ‘super regions’, starting July 1, 2025 onwards.

This biggest-ever internal restructuring will also lead to trimming down its mid-level management—shifting more decision-making power to individual countries and the global leadership team. Some of the executives affected might retire, while others could compete for new senior roles.

The report underlined that the reason behind the mass restructuring is to make the company more streamlined and better connected across the globe.

Julie Boland, who currently leads EY US, will oversee a new super region that includes the US, Latin America, and Israel. Other regions will be restructured in a similar way.

While it's unclear how many jobs will be lost, the Europe, Middle East, India, and Africa (EMEIA) region could be hit hardest.

Still, EY insists that the restructuring is all about helping the company deliver better service, invest smartly, and grow faster. A spokesperson said the goal is to become “the most globally integrated professional services organisation in the world.”

This isn't EY’s first step toward simplification. Last year, it cut its number of industry sector groups from eight to six. Now, it's pushing further—partly driven by lessons learned from its failed attempt to split its consulting and auditing arms in a project called “Everest.”

“We learned a lot from that experience. It gave us a clearer idea of where we need to cut costs and how to move forward.” one EY partner commented on the report. 

Even though EY’s three big geographic zones—Americas, EMEIA, and Asia-Pacific—will still exist, their role will shrink. 

Some people inside the firm are questioning what purpose that middle layer really serves anymore. “Are they adding value, or just standing in the way?” a former partner asked.

Experts say the failed split highlighted one key reality: the real power at EY lies with global leaders and national offices, not regional managers.

EY isn’t alone in making big changes. The whole professional services industry is feeling the pressure. In the UK and Ireland, EY has already cut 30 partners and downsized its legal business, putting more jobs at risk. Across Europe, many partners are quietly leaving as firms look to cut costs.

Other Big Four firms like KPMG and Deloitte are restructuring too—merging partnerships and streamlining their business units to cope with a tougher market and the shift toward offshore consulting.

While EY says these changes will make it more efficient, some worry the firm could lose focus on its people in the process. Employees may feel they have less freedom or clarity during the transition. “You want people to feel empowered,” said Fiona Czerniawska, CEO of Source Global. “But they also need to see the upside of working in bigger, broader teams.”

There’s also concern that all this internal focus might distract from what really matters—serving clients. “The risk is you spend 18 months looking inward instead of winning new business,” said a former partner from another Big Four firm.

Some industry watchers are still unsure if this shake-up will truly make a difference. “It feels like shuffling the deckchairs,” said James O’Dowd, founder of Patrick Morgan. Another EY partner echoed that sentiment: “It’s not enough to just move people around. We need to see real change.”

You may also like:

• Why hiring the right talent takes time & strategic HR investments pay off
• New hiring mantra for onboarding long-term high-performers
• UAE Dirham gets a new symbol; Here’s what it looks like
• 5 ways (with Insights) to build a more positive workplace culture
• The real cost of hiring and losing the 'right' talent

With July fast approaching, all eyes are on EY to see whether this bold move will pay off—and if it can truly deliver on its promise of a more agile, globally connected future.