KPMG to layoff 400 workers in South Africa after graft scandal

KPMG to layoff 400 employees in South Africa after graft scandal

JOHANNESBURG (Reuters) - Global auditor KPMG said on Monday it will layoff 400 people as it closes offices in South Africa following a corruption scandal that resulted in the firm losing several major clients.

FILE PHOTO: The offices of auditors KMPG are seen in Cape Town, South Africa, September 19, 2017. Picture taken September 19, 2017. REUTERS/Mike Hutchings/File Photo

“These hard decisions were necessary to put the firm on a more sustainable footing, while ensuring we continue to offer our clients the best service and support,” Nhlamulo Dlomu, chief executive of KPMG South Africa, said in a statement.

KPMG has been under close scrutiny since 2017 over work done for a company owned by the Gupta family — who have been accused of using their links to former president Jacob Zuma to influence government decisions.

Reporting by Nqobile Dludla; Editing by Joe Brock

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July 18, 2018