KPMG Layoffs 2026: What’s Happening & Severance Rights in Canada

KPMG has eliminated hundreds of jobs in 2026 — affecting around 440 “assistant manager” roles in its audit business and roughly 120 positions in its advisory arm. (City AM)

The latest workforce reduction at the firm is aimed at further reducing redundancies.

It remains unclear if any Canadian employees at KPMG have been let go. According to LinkedIn, the company currently has more than 2,000 workers in the country.

This page explains:

• What’s happening with KPMG layoffs
• Whether a layoff at KPMG is permanent
• How much severance Canadian employees at KPMG may be owed
• What to do before signing a severance offer

KPMG Layoffs: A Timeline of Recent Job Cuts

KPMG has experienced several restructuring cycles in recent years, with job cuts that have affected teams linked to Canadian operations.

• June 2023: KPMG is set to reduce its workforce by 5% in response to ongoing economic challenges and lower employee turnover.
• Feb. 2023: Over 700 KPMG employees in the firm’s US advisory wing have been laid off, according to an internal memo.
• Oct. 2020: The financial consulting firm fired thousands of workers across the globe in response to the COVID-19 pandemic.

Is a Layoff at KPMG Temporary or Permanent?

For non-unionized employees at KPMG, a layoff is almost always treated as a termination without cause, even if the following language is used:

• “Restructuring”
• “Reorganization”
• “Transformation”
• “Temporary layoff”

Unless your employment contract explicitly allows for KPMG to temporarily lay you off, the company can’t place you on indefinite layoff without terminating your employment — meaning they must provide full severance pay.

Severance Pay for KPMG Employees

In Canada, non-unionized employees, including those at KPMG, are often owed far more severance pay than what’s outlined in their initial offer.

Severance is based on common law entitlements, not just minimum standards. Factors include:

• Age
• Length of service
• Position and seniority
• Availability of comparable jobs

In many cases, KPMG employees in Canada can be owed up to 24 months of compensation.

Severance may include:

• Base salary
• Continued benefits
• Bonus and incentive compensation
• Stock, equity, or RRSP contributions (where applicable)
• Vacation pay
• Other earned compensation

First offers often:

• Cover only minimum entitlements
• Exclude bonuses or incentives
• Impose short signing deadlines
• Undervalue long-service or senior employees

Severance Offers: Common Problems

Canadian employees affected by layoffs frequently report issues such as:

• Severance offers far below legal entitlements
• Missing or unclear compensation breakdowns
• Benefits cut off too early
• Bonuses excluded without justification
• “Temporary layoff” language used improperly
• Pressure to sign within 24–48 hours

Wrongful Dismissal and KPMG Layoffs

A wrongful dismissal occurs when major employers, including KPMG, fail to provide full severance required under common law.

You may have a claim if:

• Your severance offer is too low
• A termination clause isn’t enforceable
• You were pressured to accept your severance offer on the spot
• Bonuses or benefits were excluded from your severance package
• You were terminated while on medical, parental, or disability leave
• KPMG labelled your termination a “temporary layoff” without contractual authority

Large-scale layoffs at KPMG don’t reduce their legal obligations in Canada.

Laid Off at KPMG? Next Steps

If you’ve been laid off at KPMG:

1. Don’t sign your severance offer immediately
2. Gather your employment contract, bonus plans, and benefits information
3. Use the Severance Pay Calculator to double-check your entitlements
4. Keep records of your role, compensation, and length of service
5. Speak with an employment lawyer before agreeing to anything

KPMG Layoffs: Frequently Asked Questions

How much severance can employees at KPMG receive?

Up to 24 months — depending on age, service, and position.

Are KPMG layoffs permanent?

For non-unionized employees, yes. A layoff is typically a termination.

Does KPMG have to include bonuses in severance?

Often yes — especially if bonuses were a regular part of compensation.

Can KPMG terminate employees on leave?

This can raise serious wrongful dismissal and human rights issues.

Can employment lawyers represent unionized KPMG staff?

No. Unionized employees at KPMG must go through their union.

Lost Your Job at KPMG? Get Help Now

If KPMG has laid you off, or offered a severance/buyout package, don’t do anything before seeking legal advice.

Samfiru Tumarkin LLP, one of Canada’s most reviewed employment law firms, has helped more than 50,000 Canadians secure the compensation they’re legally entitled to.

Disclaimer: The materials above are provided as general information about the rights of non-unionized employees in Canada. It is not specific to any one company and SHOULD NOT be read as suggesting any improper conduct on the part of any specific employer, or a relationship between Samfiru Tumarkin LLP and a specific employer.